Productivity and Growth in UK Industries: An Intangible Investment Approach
29 Pages Posted: 22 Nov 2013
Date Written: December 2013
Abstract
This article calculates some facts for the ‘knowledge economy’. Using new data, first we document UK intangible investment and find that (i) this is greater than tangible investment by £37bn in 2008; (ii) R&D is 11% of total intangible investment, software 15%, and training and organizational capital 22% each; (iii) the most intangible‐intensive industries are manufacturing and financial services. Next, we measure the contribution of intangible capital to growth for 2000–08. We find that intangible capital accounts for 23% of labour productivity growth and treating intangibles as investment lowers total factor productivity growth in the 2000s by 24% (R&D lowers it by 3%).
JEL Classification: O47, E22, E01
Suggested Citation: Suggested Citation
Register to save articles to
your library
Productivity and Growth in UK Industries: An Intangible Investment Approach
This is a Wiley-Blackwell Publishing paper. Wiley-Blackwell Publishing charges $42.00 .
File name: OBES.pdf
Size: 658K
If you wish to purchase the right to make copies of this paper for distribution to others, please select the quantity.
