This study investigates the links between privatization and changes in working practices using data from the UK 1990 Workplace Employees Relations Survey. Privatization raises the probability of an establishment of experiencing reduced job demarcation and/or increased flexibility in the use of...

In this paper we investigate the pattern of R&D efficiency in terms of the number of product innovations achieved by firms over time. Embodied in the R&D capital stock, we distinguish among physical R&D capital and human R&D capital, and allow the latter to be subject to dynamic returns along...

This paper presents fresh evidence on the interaction between industrial property rights (patents) and competition, and their joint effect on firms' innovation. We use panel data of Spanish manufacturing firms for 1990-2006, as well as external information on European Patent Office and US Patent...

In this paper, we explore in depth the effect of process innovations on total factor productivity growth for small and medium enterprises (SMEs), taking into account the potential endogeneity problem that may be caused by self-selection into these activities. First, we analyse whether the...

The usual analysis of privatization and X-inefficiency uses agency theory to model managerial effort. The authors model worker effort as determined by a bargain between firms and workers. Workers dislike effort because it lowers utility. Firms prefer high effort because it raises productivity....

An enormous number of empirical papers have estimated technical efficiency, the distance of firms inside a frontier, following the model of Farrell (1957). We propose a theory that explains the distance these empirical papers seek to measure. The theory is based on the idea that workers can...

The usual analysis of privatization and X-inefficiency uses agency theory to model managerial effort. We model worker effort as determined by a bargain between firms and workers. Workers dislike effort because it lowers utility. Firms prefer high effort because it raises productivity....

In this paper we analyse the effect of ownership on the response of firms?’ R&D expenditures to the business cycles in the economy, using a panel dataset of Spanish manufacturing firms for the period 1990-2006. Following Aghion et al. (2012), we allow the impact of the business cycle on...