Abstract
Research analyzing the importance of human capital for innovation usually focuses on secondary and tertiary education. This paper takes a different perspective by focusing on in-firm training. We argue that continuous training guarantees access to leading-edge knowledge and thus increases a firm’s propensity to innovate. Using German establishment-level data, we show a strong association between lagged continuous training and innovation. Applying instrumental variable methods, we cautiously argue that the association between training and innovation is indeed a causal effect. In the quest for a relevant and valid instrument, we exploit legal regulations of the German Works Constitution Act.
Item Type: | Journal article |
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Faculties: | Economics Economics > Chairs > CESifo-Professorship for Empirical Innovation Economics |
Subjects: | 300 Social sciences > 330 Economics |
Language: | English |
Item ID: | 20136 |
Date Deposited: | 15. Apr 2014, 08:56 |
Last Modified: | 04. Nov 2020, 13:01 |