题目：Does Enhanced Job Security Facilitate Corporate Innovation? International Evidence

报告人：Zhengyi Zhang (Assistant Professor, ISEM-CUEB)

报告时间：2016年11月2日（周三） 1：30 pm

地点：国际经管学院会议室（诚明楼三层）

主办方：国际经济管理学院

Abstract:

This paper assesses the effect of changes in job security on corporate innovation activities. Across 20 non-US countries domestic firms’ innovation (both in quantity and quality) decreases if their country’s employment protection law (EPL) is strengthened. Using a difference-in-difference approach and a dynamic model, we establish that a more enhanced EPL causes a decrease in innovation, and not vice versa. As possible channels, we show that employee-friendly labor reforms induce inventors shirking, reduce turnover and innovation efficiency. Further investigation reveals that the negative relation is more pronounced in firms with high external finance dependency, in manufacturing industries, and in more innovative countries. Our extensive micro-level findings indicate that enhanced employment protection impedes corporate innovation productivity.

Biography:

Zhengyi Zhang is an Assistant Professor of ISEM/CUEB. His research interests are in Capital Structure, Corporate Innovation, Corporate Governance, International Finance, Tax Avoidance. For more information, please refer to http://isem.cueb.edu.cn/xyry/jxyj/amc/z/76790.htm.