TY - JOUR AU1 - Kraft, Kornelius AU2 - Stank, Jrg AU3 - Dewenter, Ralf AB - This paper examines the effect of the German co-determination law of 1976 (MitbestG) on the innovative activity of German firms. Co-determination applies to firms with 2,000 employees or more. Data from 19711976 and 19811990 on 148 firms are used to compare the number of patents granted to co-determined firms before and after the introduction of the law. Several control variables are applied and in particular, in order to avoid a possible bias from specific effects of firm size, we compare the co-determined firms with others before and after 1976. The results do not support the view that co-determination slows down technological progress and reduces innovativity. TI - Co-determination and innovation JF - Cambridge Journal of Economics DO - 10.1093/cje/bep080 DA - 2011-01-23 UR - https://www.deepdyve.com/lp/oxford-university-press/co-determination-and-innovation-0RbuuXL8xT SP - 145 EP - 172 VL - 35 IS - 1 DP - DeepDyve ER -