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Dutch retail trade on the rise?

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Author Info
Harold Creusen ()
Björn Vroomen
Henry van der Wiel ()
Fred Kuypers ()
Abstract

The Dutch retail trade demonstrated a relatively meagre performance in terms of productivity (growth) during the 1990s; especially seen from an international perspective. This study analyses the productivity performance of the Dutch retail trade in more detail; and focuses on competition and innovation as two main drivers of productivity growth. More precisely; it takes the mutual relationship between competition; innovation and productivity explicitly into account. Between 1993 and 2002 changes in competition varied substantially within the retail trade. However, on average competition slightly declined. Furthermore, only a few firms in the Dutch retail trade innovate. Regression analysis reveals that both competition and innovation enhance productivity growth directly. Further, fiercer competition induces more innovation, and consequently also raises productivity indirectly via innovation.

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File URL: http://www.cpb.nl/eng/pub/cpbreeksen/document/137/doc137.pdf
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Publisher Info
Paper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Documents with number 137.

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Date of creation: Dec 2006
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Handle: RePEc:cpb:docmnt:137

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Related research
Keywords: competition; innovation; productivity; measurement; productivity policy;

Other versions of this item:

Find related papers by JEL classification:
D24 - Microeconomics - - Production and Organizations - - - Production; Capital and Total Factor Productivity; Capacity
L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
L5 - Industrial Organization - - Regulation and Industrial Policy
L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Giuseppe Nicoletti & Stefano Scarpetta & Olivier Boylaud, 2000. "Summary Indicators of Product Market Regulation with an Extension to Employment Protection Legislation," OECD Economics Department Working Papers 226, OECD, Economics Department. [Downloadable!]
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  3. Olivier Boylaud, 2000. "Regulatory Reform in Road Freight and Retail Distribution," OECD Economics Department Working Papers 255, OECD, Economics Department. [Downloadable!]
  4. Gordon, Robert J, 2004. "Five Puzzles in the Behaviour of Productivity, Investment and Innovation," CEPR Discussion Papers 4414, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  5. Nickell, Stephen J, 1996. "Competition and Corporate Performance," Journal of Political Economy, University of Chicago Press, vol. 104(4), pages 724-46, August. [Downloadable!] (restricted)
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  6. Rauf Gönenç & Maria Maher & Giuseppe Nicoletti, 2000. "The Implementation and the Effects of Regulatory Reform: Past Experience and Current Issues," OECD Economics Department Working Papers 251, OECD, Economics Department. [Downloadable!]
  7. Erik Canton & Bert Minne & Ate Nieuwenhuis & Bert Smid & Marc van der Steeg, 2005. "Human Capital, R&D and Competition in Macroeconomic Analysis," Economics Working Papers 038, European Network of Economic Policy Research Institutes. [Downloadable!]
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  8. Moulton, Brent R., 1986. "Random group effects and the precision of regression estimates," Journal of Econometrics, Elsevier, vol. 32(3), pages 385-397, August. [Downloadable!] (restricted)
  9. Boone, Jan, 2001. "Intensity of competition and the incentive to innovate," International Journal of Industrial Organization, Elsevier, vol. 19(5), pages 705-726, April. [Downloadable!] (restricted)
  10. Philippe Aghion & Nicholas Bloom & Richard Blundell & Rachel Griffith & Peter Howitt, 2002. "Competition and innovation: an inverted U relationship," IFS Working Papers W02/04, Institute for Fiscal Studies. [Downloadable!]
    Other versions:
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