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on Technology and Industrial Dynamics |
| By: | Chiappinelli, Olga; Giuffrida, Leonardo M.; Spagnolo, Giancarlo |
| Abstract: | Economics and innovation scholars have long recognized the potential of public procurement to trigger innovation. To what extent has this potential been realized so far? What can be done to improve the performance of PPI in this regard? This paper addresses these issues by providing a literature survey of research on public procurement of innovation (PPI). After categorizing PPI instruments, the paper discusses existing interdisciplinary knowledge to answer four broad questions: i) Does PPI spur innovation? ii) How should PPI be designed to best spur innovation? iii) What are the main barriers to implement PPI? iv) What is the role of PPI in the innovation policy mix? The paper concludes with a discussion of future research needs and policy insights in light of current global challenges. |
| Keywords: | innovation, public procurement, public policy, R&D, green purchases |
| JEL: | H23 H57 O30 O31 O32 O35 O36 O38 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:23002&r=tid |
| By: | Takeda, Kohei |
| Abstract: | The interplay between structural transformation in the aggregate and local economies is key to understanding spatial inequality and worker mobility. This paper develops a dynamic overlapping generations model of economic geography where historical exposure to different industries creates persistence in occupational structure, and non-homothetic preferences and differential productivity growth lead to different rates of structural transformation. Despite the heterogeneity across locations, sectors, and time, the model remains tractable and is calibrated with the U.S. economy from 1980 to 2010. The calibration allows us to back out measures of upward mobility and inequality, thereby providing theoretical underpinnings to the Gatsby Curve. The counterfactual analysis shows that structural transformation has substantial effects on mobility: if there were no productivity growth in the manufacturing sector, income mobility would be about 6 percent higher, and if amenities were equalized across locations, it would rise by around 10 percent. In these effects, we find that different degrees of historical exposure to industries in local economies play an important role. |
| Keywords: | structural transformation; upward mobility; labor mobility; economic geography |
| JEL: | O14 J62 R11 R13 |
| Date: | 2022–12–12 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:118050&r=tid |
| By: | Ann Hipp; Björn Jindra; Kehinde Medase |
| Abstract: | Former socialist systems were considered inferior to Western market economies in terms of innovation and productivity. We provide new evidence on the productivity effects of inventorship in the Soviet-type economy of the German Democratic Republic (GDR). We investigate three types of inventorship: knowledge generation, accumulation and diffusion. By applying a Cobb-Douglas production function using original primary and harmonized productivity data and manually cleaned patent data of the GDR between 1970 and 1989, we show that inventorship contributed to productivity in the industry sectors. This holds for knowledge generation, accumulation and diffusion in general, while in the presence of sufficient local interactive capabilities, international knowledge diffusion did not result in productivity gains. We contribute to empirical evidence on the productivity effects from an alternative system of patenting and innovation. |
| Keywords: | Soviet-type economy, productivity, inventorship, knowledge |
| JEL: | P23 L60 O14 |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:atv:wpaper:2301&r=tid |
| By: | Daniela Bragoli (Università Cattolica del Sacro Cuore - Milano); Flavia Cortelezzi (Insubria University - Como); Massimiliano Rigon (Bank of Italy) |
| Abstract: | In this paper, we investigate whether the cooperation with universities may stimulate the innovative performance of Italian firms. We use a dataset merging information from two different surveys carried out by the Bank of Italy between 2007 and 2010. We derive our results using a two-stage procedure with the aim of ruling out spurious correlations due to the existence of omitted variables. Results show that the cooperation with universities does not affect the likelihood of firms introducing technological innovations. However, when we distinguish between pure technological innovation outcomes (only new products and/or productive processes) and joint innovation outcomes, which involve both organizational and technological changes, we find that only the latter is positively stimulated by the cooperation with universities. These findings are promising since, according to the innovation management literature, joint innovation activities are more successful in transferring new ideas and new business opportunities into market success. |
| Keywords: | university cooperation, technological innovation, organizational innovation, control function |
| JEL: | C35 C36 O30 |
| Date: | 2023–02 |
| URL: | http://d.repec.org/n?u=RePEc:bdi:wptemi:td_1400_23&r=tid |
| By: | Nathalie Greenan (LIRSA - Laboratoire interdisciplinaire de recherche en sciences de l'action - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université, CEET - Centre d'études de l'emploi et du travail - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique); Silvia Napolitano (LIRSA - Laboratoire interdisciplinaire de recherche en sciences de l'action - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université, CEET - Centre d'études de l'emploi et du travail - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé); Imad El Hamma (LIRSA - Laboratoire interdisciplinaire de recherche en sciences de l'action - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université, CEET - Centre d'études de l'emploi et du travail - CNAM - Conservatoire National des Arts et Métiers [CNAM] - HESAM - HESAM Université - Communauté d'universités et d'établissements Hautes écoles Sorbonne Arts et métiers université - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche - Ministère du Travail, de l'Emploi et de la Santé, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This paper investigates the effects of digitalisation and organisational practices on innovation in Europe, between 2010 and 2016. We analyse the cross-country and industry differences in firms' investments and capabilities to adopt and use new technologies and their effects on innovation outputs. Along with traditional drivers of innovation, such as R&D expenditure, two indicators are constructed. One encompasses direct measures of the adoption and use in enterprises of a set of digital technologies. The other measures the learning capacity of organisations, which captures the use of management tools and organisational practices concerned with the improvement of individual and organisational learning. Product, process, organisational and marketing innovations are identified as well as their combination in the company, in order to explore possible synergies between them. Empirical evidence is provided by a unique dataset based on the integration at the sector within country level of EU-wide employers' and employees' surveys: the Community Innovation Survey, the Community ICT usage and e-commerce in enterprises surveys (Eurostat) and the European Working Conditions Survey (Eurofound). The descriptive evidence shows that Digital technologies adoption and use is rapidly growing across Europe while the Learning capacity of organisations remains stagnant. By contrast, our results from the econometric analysis show that their interaction has positive effects on innovations. In particular, a mix of product/process innovations with organisational/marketing innovations rests on joint investments in R&D, digital technology adoption and use and learning capacity. |
| Abstract: | Cet article étudie les effets de la digitalisation et des pratiques organisationnelles sur l'innovation en Europe, entre 2010 et 2016. Les différences entre pays et secteurs en matière d'investissements et de capacités des entreprises à adopter et à utiliser les nouvelles technologies sont analysées ainsi que les effets des technologies numériques sur les innovations. En plus des moteurs traditionnels de l'innovation, tels que les dépenses de R&D, deux indicateurs sont construits. L'un englobe des mesures directes de l'adoption et de l'utilisation par les entreprises d'un ensemble de technologies numériques. L'autre mesure la capacité d'apprentissage de l'organisation, prenant en compte l'utilisation d'outils de gestion et de pratiques organisationelles visant à améliorer l'apprentissage individuel et organisationnel. Les innovations de produit, de procédé, organisationelles et marketing sont identifiées ainsi que leur combinaison dans l'entreprise, afin d'explorer les éventuelles synergies quelles entretiennent entre elles. L'analyse empirique mobilise un ensemble de données unique, reposant sur l'intégration au niveau des secteurs au sein des pays de plusieurs enquêtes couvrant l'Union Européenne (UE) et conduites auprès des employeurs d'une part, des salariés d'autres part : l'enquête communautaire sur l'innovation (Eurostat), l'enquête sur l'utilisation des TIC et le commerce électronique dans les entreprises (Eurostat) et l'enquête européenne sur les conditions de travail (Eurofound). Les statistiques descriptives montrent que l'adoption et l'utilisation des technologies numériques augmentent rapidement en Europe alors que la capacité d'apprentissage des organisations stagne. L'analyse économétrique montre cependant que leur interaction a des effets positifs sur les innovations. En particulier, la combinaison d'innovations de produit/procédé et d'innovations organisationelle/marketing repose sur des investissements conjoints dans la R&D, l'adoption et l'utilisation des technologies numériques et la capacité d'apprentissage. |
| Keywords: | Digital technologies, learning capacity, innovation, knowledge production function, data integration of employers’ and employees’ surveys |
| Date: | 2022–12–23 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03941735&r=tid |
| By: | Ufuk Akcigit; Harun Alp; André Diegmann; Nicolas Serrano-Velarde |
| Abstract: | We study the implications of employment targets on firm dynamics during the privatization of the East German economy. Exploiting novel contract-level data, we document three stylized facts. First, the policy distorted firm size choices and generated bunching of firms around their committed employment target. Second, exploiting heterogeneous labor preferences of privatizers, we how that assigning tight commitments to firms causes an increase in employment growth and leads to higher productivity growth. Finally, tighter commitments also result in significant costs by leading to increased firm exit. We interpret these results through the lens of a dynamic model with endogenous productivity growth at the firm level. The model highlights that while tight commitments distort the employment decision statically and lead to a higher exit probability, they also induce a “catch-up” increase in productivity growth. This is because although firm profits are lower under tight commitments, marginal profits with respect to productivity are higher. We calibrate the model to our data and find that the policy lead to a 3 percentage points higher aggregate TFP growth thanks to the productivity improvements of firms with tight contracts. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:igi:igierp:685&r=tid |
| By: | Filippo Bontadini; Mercedes Campio; Marco Duenas |
| Abstract: | We propose a novel measure to investigate firms' product specialisation: product coreness, that captures the centrality of exported products within the firm's export basket. We study product coreness using firm-product level data between 2018 and 2020 for Colombia, Ecuador, and Peru. Three main findings emerge from our analysis. First, the composition of firms' export baskets changes relatively little from one year to the other, and products far from the firm's core competencies, with low coreness, are more likely to be dropped. Second, higher coreness is associated with larger export flows at the firm level. Third, such firm-level patterns also have implications at the aggregate level: products that are, on average, exported with higher coreness have higher export flows at the country level, which holds across all levels of product complexity. Therefore, the paper shows that how closely a product fits within a firm's capabilities is important for economic performance at both the firm and country level. We explore these issues within an econometric framework, finding robust evidence both across our three countries and for each country separately. |
| Keywords: | International Trade; Diversification; Capabilities; COVID-19. |
| Date: | 2023–02–06 |
| URL: | http://d.repec.org/n?u=RePEc:ssa:lemwps:2023/09&r=tid |
| By: | Luca Colombo (Università Cattolica del Sacro Cuore; Dipartimento di Economia e Finanza, Università Cattolica del Sacro Cuore); Gianluca Femminis (Università Cattolica del Sacro Cuore; Dipartimento di Economia e Finanza, Università Cattolica del Sacro Cuore); Alessandro Pavan |
| Abstract: | How should firms be incentivized to adopt new technologies when the technical merits and spillovers of such technologies are uncertain? We show that, when information is dispersed but exogenous, eciency can be induced with simple (constant) subsidies. When, instead, firms must also be incentivized to collect information eciently, subsidies must be conditioned on the ex-post profitability of the new technology and, when the cost of information acquisition is unknown to the planner, on the aggregate investment in the new technology. The optimal policy has a Pigou's flavor but accounts for the non-observability of firms' acquisition and usage of information. |
| Keywords: | endogenous information, investment spillovers, optimal policy, welfare. |
| JEL: | D21 D62 D83 |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:ctc:serie1:def125&r=tid |
| By: | Kossi-Messanh Agbekponou (SMART-LERECO - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement); Angela Cheptea (SMART-LERECO - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement); Karine Latouche (SMART-LERECO - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement) |
| Abstract: | This paper analyzes the extent to which the quality of the exported food products affect the firms' position in global value chains (GVCs). Extending the theoretical framework of Chor et al. (2021), we argue that the quality upgrading allows firms to span more production stages in GVCs by importing products with a lower level of processing (more upstream), and exporting a goods with higher level of processing (more downstream). Expansion along GVCs through quality upgrading is accompanied by increased input purchases, assets, profits and value added in production. These theoretical predictions are tested using firm-level data on the French agri-food industry. In line with recent work, we identify two-way traders as firms that participate in GVCs and assess their position along the chain through the level of transformation of traded goods. We link the matched French Customs-AMADEUS 2000-2018 data with the US input-output table converted to the NACE Rev.2 level, which identifies agri-food industries at a very detailed level, and compute upstreamness indicators for each industry and firm, following recent approaches in the literature. We find empirical evidence broadly supportive of our key predictions. |
| Keywords: | Global value chains, Production line position, Quality upgrading, Upstreamness, Agri-food industry |
| Date: | 2022–12–11 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03941494&r=tid |
| By: | Fausto Cavalli; Ahmad Naimzada; Enrico Moretto |
| Abstract: | We propose a model for exploring the feasibility of the green transition between dirty and clean technologies. It relies on an evolutionary framework for the technology selection interacting with the environmental domain, which describes the evolution of pollution. A regulator charges an ambient tax to the producers, and the agents can choose between the less profitable clean technology and the more profitable dirty one, which however is taxed to a greater extent with respect to the clean one. The environmental tax depends endogenously on the level of pollution, which rises because of the producers’ emissions. The pollution stock also naturally decays, and can be abated by involving the resources collected from the taxation. We analytically study the resulting two-dimensional model from both the static and the dynamical points of view, to understand under what conditions the green transition can take place and results in an improvement for the environmental quality. We show that excessive over-taxation of the dirty technology may be not always beneficial, as steady state pollution level can increase above a certain taxation threshold and multiple steady states can emerge. Moreover, dynamics can result in persistent endogenous oscillations that systematically lead to a significant increase in pollution levels. Finally, we discuss the economic rationale for the results also in the light of possible policy suggestions. |
| Date: | 2023–01 |
| URL: | http://d.repec.org/n?u=RePEc:mib:wpaper:510&r=tid |