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Eco-Innovation and Employment: A Task-Based Analysis

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  • Elliott, Robert J. R.

    (University of Birmingham)

  • Kuai, Wenjing

    (University of Birmingham)

  • Maddison, David

    (University of Birmingham)

  • Ozgen, Ceren

    (University of Birmingham)

Abstract

This paper provides some of the first evidence of the relationship between eco-innovation and employment. Adopting a O*NET based task approach, in a study of the Dutch firms, we show that eco-innovation has no impact on overall employment. However, compared to non- eco-innovators there is an 18.2% increase in the number of green jobs (equivalent to 12 new green workers for the average firm). This means an average increase in the share of green workers of around 3.3%. Broadly speaking, the increase in the share of green jobs was driven by a reduction in non-green workers and a smaller but still significant increase in the number of green workers. We further show that subsidy-driven policies, rather than regulation-driven policies positively correlate with the number of green workers.

Suggested Citation

  • Elliott, Robert J. R. & Kuai, Wenjing & Maddison, David & Ozgen, Ceren, 2021. "Eco-Innovation and Employment: A Task-Based Analysis," IZA Discussion Papers 14028, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14028
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    More about this item

    Keywords

    eco-innovation; green jobs; subsidies;
    All these keywords.

    JEL classification:

    • Q52 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Pollution Control Adoption and Costs; Distributional Effects; Employment Effects
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand

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