Impact of innovation on employment and wage in industry

Authors

  • Svitlana Ishchuk Institute of Regional Research named after M.I. Dolishniy of the NAS of Ukraine
  • Lyubomyr Sozanskyy Institute of Regional Research named after M.I. Dolishniy of the NAS of Ukraine https://orcid.org/0000-0001-7854-3310
  • Wiesława Caputa WSB Merito University in Poznań, Poland

DOI:

https://doi.org/10.24917/20801653.374.2

Keywords:

earnings, employment, industry, innovative products, optimisation of industrial products

Abstract

The innovative activity of industrial enterprises is one of the essential prerequisites for national socio- economic development. Innovations contribute to the growth of labour productivity, added value and profit, and, as a result, to an increase in earnings. Accordingly, the study of patterns of the impact of product innovation (expressed as an indicator of the share of innovative products in the volume of industrial products sold) on employment and earnings in the industrial sector of the economy has significant scientific and applied importance. In the article, using the example of Ukraine, a strong direct relationship between the innovativeness of products and industry share in employment is empirically proven (using correlation- regression methods). Using Almon’s method, a distribution- lag model (with a lag of three years) has been created, which reflects the high direct dependence of the average monthly earnings of a full- time employee in the Ukrainian industry on growth in product innovation. A deterministic economic- mathematical model of optimising the technological structure of existing industrial and innovative products in the manufacturing industry has been developed according to the criterion of increasing innovativeness. The modelling results give a scientific basis for strategic planning, as they allow the choice of such a target optimisation (level of product innovation) at which earnings in the manufacturing industry will reach the desired value.

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Author Biographies

Svitlana Ishchuk, Institute of Regional Research named after M.I. Dolishniy of the NAS of Ukraine

Svitlana Ishchuk, DSc in Economics, Professor, Head of the Department of Problems of the Real Sector of the Economy of Regions, SI “Institute of Regional Research n.a. M.I. Dolishniy of the NAS of Ukraine.” Scientific interests: functional problems of the real sector of the economy of Ukraine and its regions, efficiency issues of investment processes and foreign economic activity, all aspects of production, financial and operational management at macro, meso and micro levels. Published over 300 scientific works, including 20 monographs and more than 200 articles.

 

Lyubomyr Sozanskyy, Institute of Regional Research named after M.I. Dolishniy of the NAS of Ukraine

Lyubomyr Sozanskyy, PhD in Economics, Senior Researcher of the Department of Problems of the Real Sector of the Economy of Regions, SI “Institute of Regional Research n.a. M.I. Dolishniy of the NAS of Ukraine.” Scientific interests: problems of functioning of the real sector of the economy, issues of inter- branch and inter- regional imbalances, and economic and mathematical modelling of financial and economic processes at the macro, meso and micro levels. Published over 150 scientific works, including eight monographs and more than 100 articles.

Wiesława Caputa, WSB Merito University in Poznań, Poland

Wiesława Caputa, PhD, Professor, employed at the WSB Merito University in Poznań as a professor. Her
research interests focus on the process of creation and valuation of customer capital. She is the author or co- author of over 170 publications funded by the National Science Centre, including two monographs.

 

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Published

2023-12-29

How to Cite

Ishchuk, S., Sozanskyy, L., & Caputa, W. (2023). Impact of innovation on employment and wage in industry . Studies of the Industrial Geography Commission of the Polish Geographical Society, 37(4), 26–40. https://doi.org/10.24917/20801653.374.2

Issue

Vol. 37 No. 4 (2023): Selected research issues on the functioning of enterprises at various spatial levels

Section

Articles

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