Abstract
This paper investigates the nexus between labor diversity and innovation in a population of Danish firms. Specifically, exploiting information retrieved from a comprehensive linked employer-employee database and implementing a proper instrumental variable strategy, we are able to identify the contribution of diversity in cultural background, skills and demographic characteristics to valuable firm's innovation activity. The latter is measured by: (1) the firm's propensity to apply for a patent, (2) the number of patent applications (intensive margin) and (3) the firm's ability to patent in different technological areas (extensive margin). We find that skill diversity plays a key role in propelling firm's innovation outcomes. The positive in uence of heterogeneity in the ethnic dimension turns to be not negligible, too. Conversely, the effect of demographic diversity typically vanishes once detailed firm specifc characteristics are included as control variables.
| Originalsprog | Engelsk |
|---|---|
| Udgivelsessted | Aarhus |
| Udgiver | Aarhus School of Business |
| Antal sider | 41 |
| ISBN (Trykt) | 9788778824875 |
| ISBN (Elektronisk) | 9788778824882 |
| Status | Udgivet - 2010 |