TY - RPRT AU - Barbieri, Laura AU - Piva, Mariacristina AU - Vivarelli, Marco TI - R&D, Embodied Technological Change and Employment: Evidence from Italian Microdata PY - 2016/Nov/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 10354 UR - https://www.iza.org/index.php/publications/dp10354 AB - This paper explores the employment impact of innovation activity, taking into account both R&D expenditures and embodied technological change (ETC). We use a novel panel dataset covering 265 innovative Italian firms over the period 1998-2010. The main outcome from the proposed fixed effect estimations is a labor-friendly nature of total innovation expenditures; however, this positive effect is barely significant when the sole in-house R&D expenditures are considered and fades away when ETC is included as a proxy for innovation activities. Moreover, the positive employment impacts of innovation activities and R&D expenditures are totally due to firms operating in high-tech industries and large companies, while no job-creation due to technical change is detectable in traditional sectors and SMEs. KW - technology KW - innovation KW - R&D KW - embodied technological change KW - employment ER -