NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Erika Harden

Rutgers University
40 South Street
Chagrin Falls, OH 44022

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NBER Working Papers and Publications

April 2010Who Has a Better Idea? Innovation, Shared Capitalism, and Human Resources Policies
with Douglas L. Kruse, Joseph R. Blasi
in Shared Capitalism at Work: Employee Ownership, Profit and Gain Sharing, and Broad-based Stock Options , Douglas L. Kruse, Richard B. Freeman and Joseph R. Blasi, editors
August 2008Who Has a Better Idea? Innovation, Shared Capitalism, and HR Policies
with Douglas L. Kruse, Joseph R. Blasi: w14234
We investigate the relationship of "shared capitalist" compensation systems - profit/gainsharing, employee ownership, and stock options - to the culture for innovation and employees' ability and willingness to engage in innovative activity. Using a large dataset with over 25,000 employee surveys in over 200 worksites of a large multinational organization, we find that both shared capitalism compensation and high performance work policies contribute to these innovation outcomes. Owning company stock is the most consistently positive compensation variable in predicting both an innovation culture and willingness to engage in innovative activity. We also find that shared capitalism and high performance work policies have stronger effects in predicting an innovation culture when they are co...
 
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