Abstract
This paper investigates the potential impact of increased R & D efforts and structural change in Portugal on labour productivity. Based on existing literature on the relation between R & D expenditures, structural change and productivity, we evaluate the contribution of R & D and hightech industries to productivity over the last 30 years. Our results confirm the importance of business R & D in the medium to high-tech sectors and of public R & D, as they stimulate productivity growth. However, we cannot support the hypothosis that productivity growth was primarily rooted in the development of medium-high technology industries.
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