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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
01 November 1998
C073
Rachel Griffith and Helen Simpson
This commentary asks whether a productivity gap is really the problem facing Britain. Do lower levels of output per worker suggest greater inefficiency or do they reflect differences in levels of inputs? Historically low levels of investment suggest that our stock of R&D, physical and human capital may be lower than it is in the other main industrialised countries.
01 October 1998
W98/11
Bronwyn H. Hall, Jacques Mairesse and Benoit Mulkay
The role of financial institutions and corporate governance in the conduct and performance of industrial firrm, especially in the area of technological innovation and international competition has been hotly debated in the recent past.
06 September 1998
W98/04
Stephen Machin and John Van Reenen
Much of the dramatic change in skill and wage structure observed in recent years in the United States is believed to stem from the impact of new technology.
01 June 1998
Michael P Devereux and Rachel Griffith
This paper considers the factors that influence the locational decisions of multinational firms.
16 August 1997
W97/09
Andres Gomez-Lobo and Stefan Szymanski
This paper concerns the relationship between refuse collection contract costs and the number of bidders for a sample of English local authorities.
01 January 1997
W97/03
Nicholas Bloom, Lucy Chennells, Rachel Griffith and John Van Reenen
This paper describes the evolution of the tax treatment of investment in R&D
06 September 1996
W96/06
Stephen Machin, Annette Ryan and John Van Reenen
Much of the dramatic change in skill and wage structure observed in recent years in the United States is believed to stem from the impact of new technology.
16 August 1996
W96/14
Michael P Devereux and Rachel Griffith
This paper investigates a set of strategic decisions facing US firms.
01 January 1996
01 May 1995
Rachel Griffith, David Sandler and John Van Reenen
A long-standing concern surrounding the performance of the UK economy is its perceived failure to maintain the same technological pace as its competitors.
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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.