A large and rich body of literature has shown that the relationship between innovation and employment is complex and dynamic in nature. From a firm's level analysis, recent researches have shown heterogeneous empirical patterns for developed and developing countries. This paper contributes by inquiry in the role of innovation strategies as determinants of the firm's employment growth in a Latin American small middleincome country. Adapting econometric structural models currently in vogue, we discuss the effects of three innovation strategies (Make, Buy, Make&Buy) on the firm's workforce growth. In line with the literature, we identify a significant positive relation between product innovation associated with Make and Make&Buy strategies, however, on the contrary to most recent research we find a positive and significant effects of process innovation associated to Buy strategies. Considering technological, sectoral and firm characteristics, our findings show a clear positive effect of any innovation strategy in the growth of the firm's workforce. Meanwhile, no innovative strategies negatively affect workforce growth. Our findings contribute by deepening the understanding of the firm level determinants of employment in developing countries. We analyze our result in the light of a recent but extensive evidence on the relationship between innovation and employment at firm's level in Uruguay. In particular, we discuss the traditional explanation on the firm's technological behavior in Latin America, to discuss the effects on employment of integrative innovation strategies in Uruguay.
This article discusses the evolution of the total and social public expenditure in Uruguay during the 20 th century. It analyzes the growth path of the social public expenditure and the extent up to which it could be preserved from the cyclical economic downturns and the fiscal constraints of the Public Sector. The paper finds a low long-run elasticity of public spending to GDPleading to a slow growth of social public expenditure and a remarkable procyclical pattern of total and social public expenditure. It also shows that social spending, especially education expenditure, has often been used as an instrument to curb budget deficits. No distinctive «fiscal regimes» for the period could be identified.
By the turn of the 20th century, nation-building reformers in Spain tried to stimulate schooling expansion to improve (or at least dignify) Spain's position in the international arena. However, in this paper we find that democratic imperfections help explaining the modest spread of primary schooling after the 1902 reforms. Regression results show that the lack of effective electoral competition and political patronage lowered public primary education spending across Spanish provinces in 1902-22. Voter turnout had a positive impact but it was not big enough to compensate for this negative effect.
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