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Firm-level employment growth in South Africa: The role of innovation and exports

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  • Karmen Naidoo

Abstract

This paper investigates the effect of innovation on employment growth at the firm level in South Africa. Innovation is typically associated with better export performance at the firm level due to productivity enhancements and new products. However, the link between innovation and employment is more ambiguous. R&D targeted towards product innovation has been typically associated with employment growth. Process innovations may have a positive effect, but also have the potential to reduce the demand for labour.

Suggested Citation

  • Karmen Naidoo, 2019. "Firm-level employment growth in South Africa: The role of innovation and exports," WIDER Working Paper Series wp-2019-83, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2019-83
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    References listed on IDEAS

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    Keywords

    Employment; Exports; Firm growth; R&D;
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