Labor Mobility Foster Innovation? Evidence from Sweden Pontus Braunerhjelm, Ding Ding and Per Thulin...
-
Upload
lisa-wilson -
Category
Documents
-
view
215 -
download
1
Transcript of Labor Mobility Foster Innovation? Evidence from Sweden Pontus Braunerhjelm, Ding Ding and Per Thulin...
Labor Mobility Foster Innovation?Evidence from Sweden
Pontus Braunerhjelm, Ding Ding and Per Thulin
Royal Institute of Technology
Department of Industrial Economics and Management
Structure of the Presentation
Why is this interesting? (Motivation)
Previous Research
Hypotheses (Research Question)
Methodology and Data
Results (Tesing the Hypotheses)
Why is this interesting? (Motivation)
Firm
Labor Market
Firm
Firm
Firm
Firm
FirmFirm
Firm
Firm
Firm
Firm
Firm
Why is this interesting? (Motivation)
Firm
Labor Market
Firm
Firm
Firm
Firm
FirmFirm
Firm
Firm
Firm
Firm
Firm
Firm
Why is this interesting? (Motivation)
Firm
Labor Market
Firm
Firm
Firm
Firm
FirmFirm
Firm
Firm
Firm
Firm
Firm
Patenting FirmNon-Patenting
Firm
Firm
Why is this interesting? (Motivation)
Firms
Patenting Firms
Non-Patenting
Firms
Patenting Firms
Non-Patenting
FirmsTurnover from Firm’s perspective
Why is this interesting? (Motivation)
Firms
Patenting Firms
Non-Patenting
Firms
Patenting Firms
Non-Patenting
Firms
Difference?
What if the job switching cross region?
Why is this interesting? (Motivation)
Firms
Patenting Firms
Non-Patenting
Firms
Patenting Firms
Non-Patenting
Firms
?Difference?
What if the job switching cross region?
Why is this interesting? (Motivation)
Firms
Patenting Firms
Non-Patenting
Firms
Patenting Firms
Non-Patenting
Firms
?Difference?
What kind of workers we focus ?
Defined: R&D WorkersJob Function as Professional and Technicians and associate professional
Tertiary Education worker in Nature, Technical , Agriculture or Health Science
Total Employment
According to Swedish Standard Classification of Occupations (SSYK).
According to Swedish Educational Terminology (SUN2000).
Job Function as Professional and Technicians and associate professional
Tertiary Education worker in Nature, Technical , Agriculture or Health Science
Total Employment
Defined: R&D WorkersAccording to Swedish Standard Classification of Occupations (SSYK).
According to Swedish Educational Terminology (SUN2000).
Defined: R&D Workers
Support Worker :
• Job Function as Technicians and associate professionals (head group NO.3)
• Hold at least a bachelor degree or beyond in Nature, Technical, Agriculture or Health Science.
Defined: R&D Workers
Professional Worker:
• Job Function as Professionals (Head Group No.2)
• Hold at least a bachelor degree or beyond in Nature, Technical, Agriculture or Health Science.
Support Worker :
• Job Function as Technicians and associate professionals (head group NO.3)
• Hold at least a bachelor degree or beyond in Nature, Technical, Agriculture or Health Science.
Defined: R&D Workers
R&D workers
Support WorkersProfessional workers
Stayers
Joiners
from patenting firms
Joiners
from non patenting firms
Graduate
Other
joiners
Leavers to
patenting firms
Leavers to
non patenting firms
Intra-region Inter-region
Defined: R&D Workers
R&D workers
Support WorkersProfessional workers
Stayers
Joiners
from patenting firms
Joiners
from non patenting firms
Graduate
Other
joiners
Leavers to
patenting firms
Leavers to
non patenting firms
Intra-region Inter-region
Defined: R&D Workers
R&D workers
Support WorkersProfessional workers
Stayers
Joiners
from patenting firms
Joiners
from non patenting firms
Graduate
Other
joiners
Leavers to
patenting firms
Leavers to
non patenting firms
Intra-region Inter-region
Defined: R&D Workers
R&D workers
Support WorkersProfessional workers
Stayers
Joiners
from patenting firms
Joiners
from non patenting firms
Graduate
Other
joiners
Leavers to
patenting firms
Leavers to
non patenting firms
Intra-region Inter-region
Previous Research
• Almeida and Kogut (1999) : In Silicon Valley, engineers who move inter-firm are the major patent holder.
• Agrawal and Cockburn et al (2006) : Social relationship stimulate the knowledge flow.
• Oettl and Agrawal (2008) : The former firm lost the human capital but receive the knowledge flow from worker’s new firms.
• Kaiser and Kongsted et al (2011) : Between Danish firms, there exist positive relationship between labor mobility and the firm’s innovative activity. This relationship is stronger if workers join from innovative firms.
Hypotheses (Research Question)
• Hypothesis 1: We expect inter firm labor movement of R&D workers increase the knowledge flow and represented as an increase of the number of patent application.
• Hypothesis 2: We expect the effect the the labor mobility of R&D workers who comes or goes to a firm had patent application before, is stronger.
• Hypothesis 3: We expect the effect the inter-regional labor movement is stronger, due to the knowledge similarity in same region.
• Estimator: Negative Binomial Regression (Count data)
Methodology
2
exp ln ln lnR
r rr
P A K L s
Sub-index St denotes stayers, J,P joiners from patenting firms, J,NP joiners from non-patenting firms, G joiners from tertiary education, Su support workers, L,P leavers to patenting firms and L,NP leavers to non-patenting firms, Oj other joiner without former firm’s information, Else the rest labor.
, , , ,
, , , ,
ln ln lnexp
St St J P J P J NP J NP
G G Su Su Oj Oj L P L P L NP L NP
A K L s s sP
s s s s s
P AK QL QL denotes quality-adjusted labor input, K refers to the physical capital stock.
Normalizing marginal productivity for Stayers to one.
Pre-sample estimation (1987-2000)
,1
T
i t tt
i
P PPs
T
Control Firm-Specific
Heterogeneity in Innovative Capacity
Pre-sample Dummy
Pre-sample Estimator
Equal to 1 if the firm had ever innovated during the pre-sample period.
Controls
Firm level Controls Firm Size(Employee/ R&D worker)Capital Stock
Pre-Sample Controls Pre-sample DummyPre-sample Estimator
Regional Controls Inter-Region Labor Mobility InInter-Region Labor Mobility OutIntra-Region Labor MobilityRegional Teri RateDensityLn(Access Measurement)
Industry Dummies (12 Industries)
Year Dummies (8 Year)
Regional Dummies (72 FA regions)
Data
Patent Application Data
Firm Level Data
Individual Level Data
From 1987, the data include 24,649 observations, 8573 unique firms and 154,642 patent application.
Contains 1,137,028 firms and 1,214,900 establishments.
• Exclude firms from public sector• Exclude firms founded during estimation period• Exclude firms without R&D workers• Covers 2001 to 2008
Descriptive StatisticsAll Observations Observation with pre-
sample patentObservations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
Number of Patent Applications 0.4 12.5 3.7 40.88 0.01 0.2
Firm Size and Capital Stock
Employ 79.8 449.93 326.4 1214.83 54.3 255.83
R&D Relevant worker 7.2 76.34 33.1 230.49 4.6 30.32
Tertiary education worker 13.1 105.50 52.9 308.56 9 48.57
Capital Stock (in Mio, SEK) 60.5 744 267.7 1640 39.3 574
Firms had patent application during pre-sample period.
Firms had no patent application during pre-sample period.
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
Number of Patent Applications 0.4 12.5 3.7 40.88 0.01 0.2
Firm Size and Capital Stock
Employ 79.8 449.93 326.4 1214.83 54.3 255.83
R&D Relevant worker 7.2 76.34 33.1 230.49 4.6 30.32
Tertiary education worker 13.1 105.50 52.9 308.56 9 48.57
Capital Stock (in Mio, SEK) 60.5 744 267.7 1640 39.3 574
Descriptive StatisticsFirms had patent application during pre-sample period.
Firms had no patent application during pre-sample period.
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
R&D Mobility (share of employee)Joiners from patenting firms 0.002 0.02 0.005 0.02 0.002 0.02
Intra-Regional Joiners from patenting firms
0.001 0.01 0.003 0.02 0.001 0.01
Inter-Regional Joiners from patenting firms
0.0008 0.01 0.002 0.01 0.0007 0.01
Joiners from non-patenting firms 0.01 0.07 0.006 0.03 0.01 0.07
Intra-Regional Joiners from non-patenting firms
0.008 0.06 0.004 0.02 0.009 0.06
Inter-Regional Joiners from non-patenting firms
0.003 0.02 0.002 0.02 0.003 0.03
Descriptive Statistics
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
R&D Mobility (share of employee)Joiners from patenting firms 0.002 0.02 0.005 0.02 0.002 0.02
Intra-Regional Joiners from patenting firms
0.001 0.01 0.003 0.02 0.001 0.01
Inter-Regional Joiners from patenting firms
0.0008 0.01 0.002 0.01 0.0007 0.01
Joiners from non-patenting firms 0.01 0.07 0.006 0.03 0.01 0.07
Intra-Regional Joiners from non-patenting firms
0.008 0.06 0.004 0.02 0.009 0.06
Inter-Regional Joiners from non-patenting firms
0.003 0.02 0.002 0.02 0.003 0.03
Descriptive Statistics
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
R&D Mobility (share of employee)Leavers to patenting firms 0.002 0.03 0.004 0.05 0.001 0.02
Intra-Regional leavers to patenting firms
0.001 0.02 0.003 0.05 0.0008 0.02
Inter-Regional leavers to patenting firms
0.0006 0.01 0.001 0.01 0.0006 0.01
Leavers to non-patenting firms 0.007 0.06 0.006 0.04 0.007 0.06
Intra-Regional leavers to non-patenting firms
0.005 0.05 0.003 0.03 0.005 0.05
Inter-Regional leavers to non-patenting firms
0.002 0.02 0.002 0.02 0.002 0.03
Descriptive Statistics
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
R&D Mobility (share of employee)Leavers to patenting firms 0.002 0.03 0.004 0.05 0.001 0.02
Intra-Regional leavers to patenting firms
0.001 0.02 0.003 0.05 0.0008 0.02
Inter-Regional leavers to patenting firms
0.0006 0.01 0.001 0.01 0.0006 0.01
Leavers to non-patenting firms 0.007 0.06 0.006 0.04 0.007 0.06
Intra-Regional leavers to non-patenting firms
0.005 0.05 0.003 0.03 0.005 0.05
Inter-Regional leavers to non-patenting firms
0.002 0.02 0.002 0.02 0.002 0.03
Descriptive Statistics
All Observations Observation with pre-sample patent
Observations without pre-sample patent
Variables Means Std. Dev Means Std. Dev Means Std. Dev
R&D Mobility (share of employee)Graduates 0.002 0.02 0.002 0.02 0.002 0.02
Other joiners 0.005 0.04 0.003 0.02 0.005 0.04
Stayers 0.27 0.34 0.09 0.17 0.3 0.35
Support workers 0.08 0.19 0.04 0.09 0.08 0.20High
Turnover
Descriptive Statistics
Results-JoinerShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient
Coefficient Coefficient Coefficient
Patent dummy t-1 2.280*** 2.275*** 2.272*** 2.318*** 2.311*** 2.312***
R&D worker share (Base on Stayer)Joiners 0.517*** 1.447***
Joiners from patenting firms 0.773*** 3.083***
Intra-Regional Joiners from patenting firms
1.036*** 3.122***
Inter-Regional Joiners from patenting firms
0.308 3.143***
Joiners from non-patenting firms 0.284* 0.630
Intra-Regional Joiners from non-patenting firms
0.171 0.172
Inter-Regional Joiners from non-patenting firms
0.457* 2.131***
Different Types of R&D workers
The number of total R&D workers
Different Types of R&D workers
The number of total Employee
Results-JoinerShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientPatent dummy t-1 2.280*** 2.275*** 2.272*** 2.318*** 2.311*** 2.312***
R&D worker share (Base on Stayer)Joiners 0.517*** 1.447***
Joiners from patenting firms 0.773*** 3.083***
Intra-Regional Joiners from patenting firms
1.036*** 3.122***
Inter-Regional Joiners from patenting firms
0.308 3.143***
Joiners from non-patenting firms 0.284* 0.630
Intra-Regional Joiners from non-patenting firms
0.171 0.172
Inter-Regional Joiners from non-patenting firms
0.457* 2.131***
Results-JoinerShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientPatent dummy t-1 2.280*** 2.275*** 2.272*** 2.318*** 2.311*** 2.312***
R&D worker share (Base on Stayer)Joiners 0.517*** 1.447***
Joiners from patenting firms 0.773*** 3.083***
Intra-Regional Joiners from patenting firms
1.036*** 3.122***
Inter-Regional Joiners from patenting firms
0.308 3.143***
Joiners from non-patenting firms 0.284* 0.630
Intra-Regional Joiners from non-patenting firms
0.171 0.172
Inter-Regional Joiners from non-patenting firms
0.457* 2.131***
Results-JoinerShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientPatent dummy t-1 2.280*** 2.275*** 2.272*** 2.318*** 2.311*** 2.312***
R&D worker share (Base on Stayer)Joiners 0.517*** 1.447***
Joiners from patenting firms 0.773*** 3.083***
Intra-Regional Joiners from patenting firms
1.036*** 3.122***
Inter-Regional Joiners from patenting firms
1.308 3.143***
Joiners from non-patenting firms 0.284* 0.630
Intra-Regional Joiners from non-patenting firms
0.171 0.172
Inter-Regional Joiners from non-patenting firms
0.457* 2.131***
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Leaver and OthersShare of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientGraduates 0.150 0.160 0.175 2.002*** 2.035*** 2.001***
Other Joiners 0.428* 0.421* 0.422* 1.407*** 1.337*** 1.356***
Support Workers 0.0594 0.0574 0.0562 0.395* 0.386* 0.392*
Leavers -0.330* -1.259
Leavers to patenting firms -0.261 -0.583
Intra-Regional leavers to patenting firms
-0.263 -2.561
Inter-Regional leavers to patenting firms
-0.317 1.900*
Leavers to non-patenting firms -0.379* -1.753*
Intra-Regional leavers to non-patenting firms
-0.631* -2.671*
Inter-Regional leavers to non-patenting firms
-0.0201 -0.324
Non R&D worker -0.736* -0.726* -0.730*
Results-Firm Controls and Pre-Sample Controls Share of Total R&D worker Share of Total Employment worker
Patent Application Coefficient Coefficient Coefficient Coefficient Coefficient CoefficientFirm Size and Capital
Stock
Ln(Labor Force) 0.258*** 0.257*** 0.259*** 0.246*** 0.246*** 0.246***
(6.87) (6.83) (6.87) (5.84) (5.86) (5.84)
Ln(Capital Stock) 0.0571*** 0.0573*** 0.0574*** 0.0542*** 0.0538*** 0.0546***
(5.70) (5.66) (5.61) (5.11) (5.04) (4.98)
Pre-sample variables
Ln(FE) 0.381*** 0.381*** 0.383*** 0.399*** 0.399*** 0.401***
(8.14) (7.98) (7.90) (8.05) (7.95) (7.78)
FE dummy 2.949*** 2.942*** 2.943*** 3.034*** 3.018*** 3.020***
(21.58) (21.42) (21.28) (22.18) (21.91) (21.63)
• Labor Mobility increase the knowledge flow.
• Joiners from patenting firms have stronger effect compare to joiners from non-patenting firms to innovation activity.
• Inter-regional joiner from patenting firm have a stronger effect compare to intra-regional joiner to innovation activity.
• Inter-regional joiner from non-patenting firms have a positive effect to innovation activity..
• Gradates, Other joiners and support workers have positive effects to innovation activity.
Conclusion
• Inter-regional leaver to patenting firms have a positivity effect but less significant.
• Leavers to non-patenting firms have a negative effect to innovation activity.
• Robustness Test shows the result are stable.
Conclusion
Thank you very much.