2017/03/27 by Benoît Dostie · 1 voice · 1 citation
Economics, Econometrics and Finance · #Firm Innovation and Growth #Innovation Policy and R&D #Labor market dynamics and wage inequality
paper · doi:10.1177/0019793917701116
openalex publication_date 2017/03/27 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/17
The firm’s stock of human capital is an important determinant of its ability to innovate. As such, any increase in this stock through firm-sponsored training might lead to more innovation. The author tests this hypothesis using detailed data on firms’ human capital investments and innovation performance from the Canadian Workplace and Employee Survey, 1999–2006. The regression results, including workplace fixed effects and allowing for time-varying productivity shocks, demonstrate that more training leads to more product and process innovation, with on-the-job training playing a role that is as important as classroom training. Results from an event history analysis show, however, that this impact fades over time.