Do Unions Affect Innovation?

• 成果类型: Article
• 署名作者: Bradley, Daniel; Kim, Incheol; Tian, Xuan
• 署名单位: State University System of Florida; University of South Florida; Fordham University; Indiana University System; Indiana University Bloomington; Tsinghua University
• 刊物名称: MANAGEMENT SCIENCE
• ISSN/ISSBN: 0025-1909
• DOI: 10.1287/mnsc.2015.2414
• 发表日期: 2017
• 页码: 2251-2271
• 关键词: innovation; Labor unions; hold-up; shirking; inventor departures

摘要

We examine the effect of unionization on firm innovation, using a regression discontinuity design that relies on locally exogenous variation generated by elections that pass or fail by a small margin of votes. Passing a union election results in an 8.7% (12.5%) decline in patent quantity (quality) three years after the election. A reduction in R&D expenditures, reduced productivity of inventors, and departures of innovative inventors appear to be plausible underlying mechanisms through which unionization impedes firm innovation. In response to unionization, firms move their innovation activities away from states where union elections win. Our paper provides new insights into the real effects of unionization.