Firm Employment Growth, R&D Expenditures and Exports

35 Pages Posted: 27 Jun 2016

See all articles by Marco Di Cintio

Marco Di Cintio

University of Salento - Department of Economics and Mathematics and Statistics

Sucharita Ghosh

The University of Akron

Emanuele Grassi

University of Salento - Dipartimento di Scienze dell'Economia

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Date Written: June 27, 2016

Abstract

This paper studies firms’ decisions to export and invest in R&D and their effects on employment growth and labor flows for a sample of Italian SMEs operating in the manufacturing industry. After accounting for the under-reporting of R&D in SMEs, our quantile regressions reveal that:

(i) R&D is associated with higher employment growth rates, higher hiring rates and lower separation rates;

(ii) R&D-induced exports are negatively related to employment growth and accessions and positively related to separations; and

(iii) pure exports are not a driver of employment growth and labor flows.

Keywords: Exports, R&D, Firm Growth, Quantile Regression

JEL Classification: J63, M51, O31, F14

Suggested Citation

Di Cintio, Marco and Ghosh, Sucharita and Grassi, Emanuele, Firm Employment Growth, R&D Expenditures and Exports (June 27, 2016). FEEM Working Paper No. 44.2016, Available at SSRN: https://ssrn.com/abstract=2800973 or http://dx.doi.org/10.2139/ssrn.2800973

Marco Di Cintio (Contact Author)

University of Salento - Department of Economics and Mathematics and Statistics ( email )

Piazza Tancredi, n7
Lecce, 73100
Italy

Sucharita Ghosh

The University of Akron ( email )

Department of Economics
Akron, OH 44325-1908
United States

Emanuele Grassi

University of Salento - Dipartimento di Scienze dell'Economia ( email )

via per Monteroni
Lecce, 73100
Italy

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