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Innovation and productivity

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  • Hall, Bronwyn H.

    ()
    (UNU-MERIT, Maastricht University, and University of California at Berkeley)

Abstract

What do we know about the relationship between innovation and productivity among firms? The workhorse model of this relationship is presented and the implications of analysis using this model and the usually available data on product and process innovation are derived. The recent empirical evidence on the relationship between innovation and productivity in firms is then surveyed. The conclusion is that there are substantial positive impacts of product innovation on revenue productivity, but that the impact of process innovation is more ambiguous, suggesting some market power on the part of the firms being analyzed.

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Bibliographic Info

Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 028.

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Date of creation: 2011
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Handle: RePEc:unm:unumer:2011028

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Keywords: innovation; TFP; revenue productivity; cross-country analysis;

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References

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Citations

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Cited by:
  1. Masayuki Morikawa, 2014. "Innovation in the Service Sector and the Role of Patents and Trade Secrets," CAMA Working Papers 2014-48, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
  2. Grigorii V. Teplykh, 2014. "Innovations and productivity: the shift during the 2008 crisis," HSE Working papers, National Research University Higher School of Economics WP BRP 23/STI/2014, National Research University Higher School of Economics.
  3. Barge-Gil, Andrés & López, Alberto, 2013. "R&D and productivity: In search of complementarity between research and development activities," MPRA Paper 43808, University Library of Munich, Germany.
  4. Francesco Aiello & Fernanda Ricotta, 2014. "Firm Heterogeneity In Productivity Across Europe. What Explains What?," Working Papers, Università della Calabria, Dipartimento di Economia, Statistica e Finanza (Ex Dipartimento di Economia e Statistica) 201404, Università della Calabria, Dipartimento di Economia, Statistica e Finanza (Ex Dipartimento di Economia e Statistica).
  5. Carlo Altomonte & Tommaso Aquilante & Gábor Békés & Gianmarco I.P. Ottaviano, 2013. "Internationalization and innovation of firms: evidence and policy," Economic Policy, CEPR;CES;MSH, CEPR;CES;MSH, vol. 28(76), pages 663-700, October.
  6. Michele Battisti & Filippo Belloc & Massimo Del Gatto, 2012. "Unbundling Technology Adoption and TFP at the Firm Level. Do Intangibles Matter?," Working Paper Series, The Rimini Centre for Economic Analysis 71_12, The Rimini Centre for Economic Analysis.
  7. Pierre Mohnen & Bronwyn H. Hall, 2013. "Innovation and Productivity: An Update," Eurasian Business Review, Eurasia Business and Economics Society, Eurasia Business and Economics Society, vol. 3(1), pages 47-65, Spring.
  8. Peters, Bettina & Roberts, Mark J. & Vuong, Van Anh & Fryges, Helmut, 2013. "Estimating dynamic R&D demand: An analysis of costs and long-run benefits," ZEW Discussion Papers, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research 13-089, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  9. Eric Bartelsman & Sabien Dobbelaere & Bettina Peters, 2013. "Allocation of Human Capital and Innovation at the Frontier: Firm-level Evidence on Germany and the Netherlands," Tinbergen Institute Discussion Papers, Tinbergen Institute 13-095/VII, Tinbergen Institute.
  10. Jean Pierre Huiban & Antonio Musolesi, 2012. "Augmenting the production function with knowledge capital to test the Porter hypothesis: the case of French food industries," Working Papers, Institut National de la Recherche Agronomique, France 168914, Institut National de la Recherche Agronomique, France.
  11. Leandro D’Aurizio & Marco Marinucci, 2013. "Italian firms’ innovation strategies in 2008-2010," Questioni di Economia e Finanza (Occasional Papers), Bank of Italy, Economic Research and International Relations Area 197, Bank of Italy, Economic Research and International Relations Area.

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