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Technological Innovation and Performance in the United Kingdom

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  • Stephen Nickell
  • John Van Reenen

Abstract

Over the period since 1970, Britain has improved its relative productivity performance, but there remains a significant gap in market sector productivity between Britain and both Continental Europe and the United States. Much of the gap between Britain and Continental Europe is due to lower levels of capital intensity and skill. However, even taking these into account, there remains a significant gap between Britain and the United States. This reflects not just a weakness in high tech areas but an inability to absorb best-practice techniques and methods in wide swathes of the market sector. Part of this is due to a weakness in technological innovation despite a high quality science base. This includes comparatively low and falling levels of R\&D and patenting as well as a distinct lag in the diffusion of innovations relative to other countries.

Suggested Citation

  • Stephen Nickell & John Van Reenen, 2001. "Technological Innovation and Performance in the United Kingdom," CEP Discussion Papers dp0488, Centre for Economic Performance, LSE.
  • Handle: RePEc:cep:cepdps:dp0488
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    References listed on IDEAS

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    Cited by:

    1. Stephen Redding & Mercedes Vera-Martin, 2006. "Factor Endowments and Production in European Regions," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 142(1), pages 1-32, April.
    2. Rafael Gomez & Seymour Martin Lipset & Noah Meltz, 2001. "Frustrated Demand for Unionisation: the Case of the United States and Canada Revisited," CEP Discussion Papers dp0492, Centre for Economic Performance, LSE.
    3. Stefania Lionetti, 2010. "Tourism productivity: incentives and obstacles to fostering growth," Quaderni della facoltà di Scienze economiche dell'Università di Lugano 1009, USI Università della Svizzera italiana.
    4. Burgess, Simon & Profit, Stefan, 2001. "Externalities in the matching of workers and firms in ritain," Labour Economics, Elsevier, vol. 8(3), pages 313-333, June.
    5. Dickens & David T. Ellwood, 2004. "Whither Poverty in Great Britain and the United States? The Determinants of Changing Poverty and Whether Work Will Work," NBER Chapters,in: Seeking a Premier Economy: The Economic Effects of British Economic Reforms, 1980-2000, pages 313-370 National Bureau of Economic Research, Inc.
    6. Duranton, Gilles & Puga, Diego, 2005. "From sectoral to functional urban specialisation," Journal of Urban Economics, Elsevier, vol. 57(2), pages 343-370, March.
    7. Combes, Pierre-Philippe & Duranton, Gilles, 2006. "Labour pooling, labour poaching, and spatial clustering," Regional Science and Urban Economics, Elsevier, vol. 36(1), pages 1-28, January.
    8. Alan Manning, 2006. "A Generalised Model of Monopsony," Economic Journal, Royal Economic Society, vol. 116(508), pages 84-100, January.
    9. Gomez, Rafael & Gunderson, Morley & Meltz, Noah, 2001. "From 'playstations' to 'workstations': youth preferences for unionisation in Canada," LSE Research Online Documents on Economics 20100, London School of Economics and Political Science, LSE Library.
    10. Jonathan Michie & Christine Oughton & Mario Pianta, 2002. "Innovation and the Economy," International Review of Applied Economics, Taylor & Francis Journals, vol. 16(3), pages 253-264.
    11. Hilary Steedman, 2001. "Benchmarking Apprenticeship: UK and Continental Europe Compared," CEP Discussion Papers dp0513, Centre for Economic Performance, LSE.
    12. Manfred W. Keil & Donald Robertson & James Symons, 2001. "Minimum Wages and Employment," Claremont Colleges Working Papers 2001-08, Claremont Colleges.
    13. Di Liberto, Adriana, 2008. "Education and Italian regional development," Economics of Education Review, Elsevier, vol. 27(1), pages 94-107, February.

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    Keywords

    Innovation; technology; productivity growth;

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