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Productivity and innovation
At the heart of research in this area is the study of firm’s behaviour and the role of institutions and public policy. Research to date has covered several topics, including: the determinants of R&D, innovation and technology transfer; how firms are structured and why firms outsource or offshore activities; and what are the determinants and consequences of firms' location decisions. Work has included consideration of the role of the following on firms’ decisions and outcomes: corporate taxes; product and labour market regulation; planning regulations; the role of universities; agglomeration of activities; skills and wages.

Our work is mostly empirical, with a strong ground in economic theory and a focus on linking our empirical findings to practical policy issues. Our research is often used to help to better understand factors that underlie the UK's productivity performance and what determines differences in aggregate trends in productivity and innovation across industries and countries.

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Year: 190 publications
02 January 2000
W00/02
Rachel Griffith, Stephen Redding and John Van Reenen
In this paper we document that there has been convergence of TFP within a panel of industries across thirteen OECD countries since 1970.nonpara-metric statistical tests of stochastic dominance criteria to bivariate distributions.
01 November 1999
W99/08
Nick Bloom, Rachel Griffith and John Van Reenen
This paper examines the impact of fiscal incentives on the level of R&D investment.
19 October 1999
W99/25
Zvi Griliches and Tor Jakob Klette
We present a model of endogenous rm growth with R&D investment and stochastic innovation as the engines of growth.
01 September 1999
W99/26
Michael P Devereux, Rachel Griffith and Helen Simpson
There has much recent academic and policy interest in the issue of spatial clustering of
26 June 1999
W99/22
Wendy Carlin, Andrew Glyn and John Van Reenen
This paper investigates the relationship between export market shares and relative unit labour
01 April 1999
W99/11
Many sectors of the UK economy experienced rapid productivity growth over the 1980's. This coincided with an increase in the flow of inward investment.
30 March 1999
W99/05
Steve Bond, Dietmar Harhoff and John Van Reenen
This paper tests for the importance of cash flow on investment in fixed capital and R&D using firm-level panel data in two countries between 1985 and 1994.
01 January 1999
W99/27
Lucy Chennells and John Van Reenen
This paper surveys the evidence on the effects of technical change on skills, wages and employment by examining the micro-econometric evidence.
01 January 1999
W99/06
Recently the data underlying the Annual Census of Production has been made available to academic
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Impact on Society
IFS researchers helped make a case against proposed cuts to public spending on science.
IFS researchers used knowledge from past findings to analyse the potential impact of a proposed reduction in corporation tax to encourage innovation.
IFS researchers responded to a consultation on the design of a new policy to reduce corporation tax on some forms of income.