Journal
INDUSTRIAL AND CORPORATE CHANGE
Volume 27, Issue 4, Pages 639-655Publisher
OXFORD UNIV PRESS
DOI: 10.1093/icc/dty013
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Examining employment growth in local labor markets across Europe, this article finds that each worker in a high-skilled occupation creates up to five extra jobs in local less-skilled-intensive services in the same region. However, it is also shown that there exist persistent differences in the size of this local high-tech job multiplier across regions. In particular, we find that the multiplier is larger in regions with higher immigration, an abundance of less-skilled workers, and lower gross output per capita. At the country level, we also show that this results in local high-tech job multipliers that are larger in Southern European countries than in the rest of Europe.
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