635 - Wage moderation, innovation and labour productivity: myths and facts revisited

Wetenschappelijke publicatie
Date 1 November 2000

This article surveys arguments on the lack of innovative capacity of the Dutch economy as presented by Kleinknecht in several papers. The arguments are critically discussed and in addition an alternative way to calculte productivity figures is presented. The authors conclude that the hypothesis that wage moderation has led to lower innovative capacity of the Dutch economy is rejected. Key words: labour productivity, R&D, wage moderation JEL codes: 033, 047, D24