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Intangibles in tangible productivity discrepancies

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  • DiMaria, Charles-Henri

Abstract

This paper revisits the role of intangible capital in explaining the productivity slowdown across advanced economies. Using cross-country data for 28 OECD countries over 2000–2021, it shows that extending the asset boundary mainly affects the level of value added, with only limited impact on productivity growth rates. Intangibles therefore do not fundamentally alter the aggregate picture, but provide a measurement framework more consistent with knowledge-service-based economies. Simple cross-sectional evidence highlights that the contribution of intangible capital is highly heterogeneous. In particular, organisational capital emerges as the only component consistently associated with productivity differences across countries. These findings shift the focus from the quantity of investment to firm-level capabilities, emphasising the role of organisational structures and managerial practices in shaping productivity outcomes.

Suggested Citation

  • DiMaria, Charles-Henri, 2026. "Intangibles in tangible productivity discrepancies," MPRA Paper 129321, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:129321
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    References listed on IDEAS

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    4. DiMaria, charles-henri, 2026. "The rise of the knowledge economy: Productivity measurement challenges," MPRA Paper 129021, University Library of Munich, Germany.
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    Keywords

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    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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