Data and Code for: Innovation through Inventor Mobility: Evidence from Non-Compete Agreements

Principal Investigator(s): View help for Principal Investigator(s) Kate Reinmuth, Stanford University; Emma Rockall, Stanford University

Version: View help for Version V1

Name	File Type	Size	Last Modified
final_kr_er_2026_02_06			02/11/2026 06:23:PM
logs			02/09/2026 12:43:AM

Project Citation:

Reinmuth, Kate, and Rockall, Emma. Data and Code for: Innovation through Inventor Mobility: Evidence from Non-Compete Agreements. Nashville, TN: American Economic Association [publisher], 2026. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2026-04-07. https://doi.org/10.3886/E235901V1

Project Description

Summary:

Proponents of labor mobility restrictions argue that innovation incentives more than offset harm to workers. Yet the causal effect of such policies on innovation is an open empirical question. Leveraging plausibly exogenous state-level changes in the enforceability of noncompete agreements, we find a significant negative effect on innovation. This effect is even larger for the most novel and innovative patents and firms. Further analysis shows that these negative effects on innovation cannot be explained by entry alone and instead likely result from reduced knowledge flows. Our findings suggest that labor mobility plays a crucial role in spreading knowledge across firms.

Scope of Project

Subject Terms: innovation; labor mobility; knowledge diffusion; non-compete agreements

JEL Classification:
      E24 Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
      J08 Labor Economics Policies
      J21 Labor Force and Employment, Size, and Structure
      K31 Labor Law
      O31 Innovation and Invention: Processes and Incentives
      O33 Technological Change: Choices and Consequences; Diffusion Processes

Geographic Coverage: United States

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Published Versions

V1 [2026-04-07]

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DDI 2.5

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