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on Technology and Industrial Dynamics |
| By: | Albanesi, Stefania; Da Silva, António Dias; Jimeno, Juan F.; Lamo, Ana; Wabitsch, Alena |
| Abstract: | We examine the link between labour market developments and new technologies such as artificial intelligence (AI) and software in 16 European countries over the period 2011-2019. Using data for occupations at the 3-digit level in Europe, we find that on average employment shares have increased in occupations more exposed to AI. This is particularly the case for occupations with a relatively higher proportion of younger and skilled workers. This evidence is in line with the Skill Biased Technological Change theory. While there exists heterogeneity across countries, only very few countries show a decline in employment shares of occupations more exposed to AI-enabled automation. Country heterogeneity for this result seems to be linked to the pace of technology diffusion and education, but also to the level of product market regulation (competition) and employment protection laws. In contrast to the findings for employment, we find little evidence for a relationship between wages and potential exposures to new technologies. JEL Classification: J23, O33 |
| Keywords: | artificial intelligence, employment, occupations, skills |
| Date: | 2023–07 |
| URL: | http://d.repec.org/n?u=RePEc:ecb:ecbwps:20232831&r=tid |
| By: | Filippo Mezzanotti; Timothy Simcoe |
| Abstract: | It is more than 25 years since the authors of the Yale and Carnegie surveys studied how firms seek to protect the rents from innovation. In this paper, we revisit that question using a nationally representative sample of firms over the period 2008-2015, with the goal of updating and extending a set of stylized facts that has been influential for our understanding of the economics of innovation. There are five main findings. First, while patenting firms are relatively uncommon in the economy, they account for an overwhelming share of R&D spending. Second, firms consider utility patents less important on average than other forms of IP protection, like trade secrets, trademarks, and copyrights. Third, industry differences explain a great deal of the level of firms’ engagement with IP, with high-tech firms on average being more active on all forms of IP. Fourth, we find no significant differences in the use of IP strategies across firms at different points of their life cycle. Lastly, unlike age, firms of different size appear to manage IP significantly differently. On average, larger firms tend to engage much more extensively in the protection of IP, and this pattern cannot be easily explained by differences in the type of R&D or innovation produced by a firm. We also discuss the implications of these findings for innovation research and policy. |
| JEL: | D2 L25 O3 |
| Date: | 2023–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:31428&r=tid |
| By: | Damien Dussaux; Alberto Agnelli; Nordine Es-Sadki |
| Abstract: | Several efforts have been made to track progress on environmental innovations using very different approaches. However, many lack coverage, granularity, timeliness and may involve high data collection costs, especially when conducted on a large scale. Traditional indicators also overlook commercialised innovation and breakthrough innovation. This issue is particularly relevant for environmental innovation, where scaling-up is considered key to address the climate, biodiversity and pollution crises. The paper reviews potential metrics to measure commercialised climate change-related innovation and to measure breakthrough environmental innovation. By comparing advantages and drawbacks of various options, the paper selects two families of metrics to measure commercialised climate change-related innovation: one based on patent assignments and the other one based on licensing agreements. For breakthrough environmental innovation, the paper concludes that a family of metrics based on venture capital data is currently the most promising option to pursue. The paper then develops the selected new metrics and provides trends in environmental innovation over time, across sectors and when possible across countries. The paper concludes that additional data sources should be explored to extend the application of the proposed new metrics in more countries and consider a more comprehensive set of supports to innovation. |
| Keywords: | assignment, breakthrough innovation, green innovation, innovation metrics, licensing, patent, transfer, venture capital |
| JEL: | O31 Q55 |
| Date: | 2023–07–24 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:221-en&r=tid |
| By: | Daron Acemoglu; David Autor; Christina Patterson |
| Abstract: | Despite the rapid pace of innovation in information and communications technologies (ICT) and electronics, aggregate US productivity growth has been disappointing since the 1970s. We propose and empirically explore the hypothesis that slow growth stems in part from an unbalanced sectoral distribution of innovation over the last several decades. Because an industry's success in innovation depends on complementary innovations among its input suppliers, rapid productivity growth that is concentrated in a subset of sectors may create bottlenecks and consequently fail to translate into commensurate aggregate productivity gains. Using data on input-output linkages, citation linkages, industry productivity growth and patenting, we find evidence consistent with this hypothesis: the variance of suppliers' Total Factor Productivity growth or innovation adversely affects an industry's own TFP growth and innovation. Our estimates suggest that a substantial share of the productivity slowdown in the United States (and several other industrialized economies) can be accounted for by a sizable increase in cross-industry variance of TFP growth and innovation. For example, if TFP growth variance had remained at the 1977-1987 level, US manufacturing productivity would have grown twice as rapidly in 1997-2007 as it did—yielding a counterfactual growth rate that would have been close to that of 1977-1987 and 1987-1997. |
| JEL: | O30 O47 |
| Date: | 2023–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:31427&r=tid |
| By: | Mengyu Wang; Jeffrey Wurgler; Hong Zhang |
| Abstract: | Government subsidies are often used to stimulate environment-friendly investment. We find that Chinese firms reduce green investment as the uncertainty of subsidies rises. This effect is identified from weather-driven fluctuations in air pollution that lead to fluctuations in subsidy allocations: Firms in cities where weather-driven subsidy uncertainty is high engage in less green R&D investment, patent applications, and research staff. Industries that are heavy emitters and those focused on environmental technologies are more affected. The results suggest that policy uncertainty may originate not only from political and macroeconomic shocks but from behavioral mechanisms that link policy to salient recent conditions. |
| JEL: | D8 O13 O3 |
| Date: | 2023–06 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:31401&r=tid |
| By: | Jasny, Johannes; Schubert, Torben |
| Abstract: | The post-growth discourse emphasizes the role need to limit economic growth as a primary means to stop continuous environmental degradation associated with production induced overexploitation of natural resources. A criticism of the post-growth discourse is, however, that innovation is known to be demand-driven implying that limiting growth may then undermine incentives to innovate. This may reduce the speed with which new environmentally friendly technologies are developed. Empirical analysis of this claim however do not exist. Relying on data from the European Manufacturing Survey 2018 for Germany, we match macroeconomic sector-growth statistics from the German Statistical Office and analyse how firm-level and sector level growth drive firms' innovation activities with a specific focus to environmental innovations. We find that while firm-level growth is strongly associated with all kinds of innovation activities, sector-level growth is not. Our results suggest that limiting overall economic growth may not undermine incentives to innovate as long as growth is still feasible on the level of the firm. |
| Keywords: | Economic growth, Innovation, Post-growth, Demand pull hypothesis, Green growth |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fisidp:76&r=tid |
| By: | Daisuke Matsuzaki; Yoshiyasu Ono |
| Abstract: | When confronting economic stagnation, innovation (product innovation in particular) is often cited as an effective stimulus because it is assumed to encourage household consumption and lead to higher demand. Using a secular stagnation model with wealth preference, we examine the effects of product innovation on employment and consumption. This study examines three types of product innovation, including quantity-augmenting-like innovation, addictive innovation, and variety expansion. The first works as if a larger quantity were consumed although the actual quantity remains the same, the second reduces the elasticity of the marginal utility of consumption, and the third increases the variety of consumption commodities. We find that the first and third reduce both consumption and employment, whereas the second expands them. It suggests that policy makers should carefully choose the type of product innovation to promote as an economic stimulus: addictive innovation stimulates business activity whereas quantity-augmenting-like innovation and variety expansion worsen stagnation. |
| Date: | 2023–03 |
| URL: | http://d.repec.org/n?u=RePEc:dpr:wpaper:1204r&r=tid |
| By: | Sebbesen, Anja |
| Abstract: | Until recently, the geographical coverage of empirical studies on regional technology diffusion was usually rather limited or biased towards the industrialized world. This paper extends the sample of analysis and investigates regional TFP growth and the factors determining productivity spillovers for an extensive amount of regions. Nonlinearities in the effects of the explanatory variables as well as spatial spillovers are considered in the estimation model. The findings confirm a robust direct impact of technological catch-up on regional TFP growth. Catch-up speeds increase with higher levels of human capital and in countries with larger inflows of FDI. Furthermore, positive spatial spillovers of technology levels are observed. |
| Keywords: | Regional TFP growth; transmission channels; spatial spillovers; human capital; spatial switching regression |
| Date: | 2023–07 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wus005:44831905&r=tid |