@TechReport{iza:izadps:dp9147, author={Roy, Vincent Van and Vertesy, Daniel and Vivarelli, Marco}, title={Innovation and Employment in Patenting Firms: Empirical Evidence from Europe}, year={2015}, month={Jun}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={9147}, url={https://www.iza.org/index.php/publications/dp9147}, abstract={This paper explores the possible job creation effect of innovation activity. We analyze a unique panel dataset covering almost 20,000 patenting firms from Europe over the period 2003-2012. The main outcome from the proposed GMM-SYS estimations is the labour-friendly nature of innovation, which we measure in terms of forward-citation weighted patents. However, this positive impact of innovation is statistically significant only for firms in the high-tech manufacturing sectors, while not significant in low-tech manufacturing and services.}, keywords={GMM-SYS;employment;patents;innovation;technological change}, }