The purpose of this paper is to analyze the role of the knowledge diffusion process in employment effects of sustainable development investments for large international firms. We present an empirical analysis based upon a dataset composed of worldwide R&D-intensive firms over the period 2002-2010. In order to identify the technological relatedness measure between the firms, we use the friendly environmental patents’ distribution. The drivers of labor innovation effects are identified as a complex combination of job displacement and compensation forces of innovation. Two research questions are investigated: first, we wonder whether green economy investments stimulate firm-level jobs within three different environmental contexts: water, waster and energy; second, we would like to learn the extent to which the knowledge diffusion is an important channel supporting labor in the environmental context, by analysing the impact of intra-industry externalities. From the empirical results, we can observe that environmental spillovers have a negative impact, by confirming the prevalence of the displacement effect. This finding is extremely important for policy implications. Indeed, not only economic incentives to allow the transition to cleaner technologies are required, but also stronger actions to favor job creation relative to environmental activities are needed for a full sustainable achievement of firms.

Green Economy and Sustainable Development: The Economic Impact of Innovation on Employment

Aldieri, L.;Vinci, C. P.
2018

Abstract

The purpose of this paper is to analyze the role of the knowledge diffusion process in employment effects of sustainable development investments for large international firms. We present an empirical analysis based upon a dataset composed of worldwide R&D-intensive firms over the period 2002-2010. In order to identify the technological relatedness measure between the firms, we use the friendly environmental patents’ distribution. The drivers of labor innovation effects are identified as a complex combination of job displacement and compensation forces of innovation. Two research questions are investigated: first, we wonder whether green economy investments stimulate firm-level jobs within three different environmental contexts: water, waster and energy; second, we would like to learn the extent to which the knowledge diffusion is an important channel supporting labor in the environmental context, by analysing the impact of intra-industry externalities. From the empirical results, we can observe that environmental spillovers have a negative impact, by confirming the prevalence of the displacement effect. This finding is extremely important for policy implications. Indeed, not only economic incentives to allow the transition to cleaner technologies are required, but also stronger actions to favor job creation relative to environmental activities are needed for a full sustainable achievement of firms.
File in questo prodotto:
Non ci sono file associati a questo prodotto.

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/11386/4716367
 Attenzione

Attenzione! I dati visualizzati non sono stati sottoposti a validazione da parte dell'ateneo

Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 52
  • ???jsp.display-item.citation.isi??? 52
social impact