Does Innovation, Investment and Trade influence Labour Productivity? Empirical Evidence from Selected Countries

Cornelia Caroline

doi:10.52812/msbd.16

Authors

Cornelia Caroline Nanjing University of Information Science and Technology

DOI:

https://doi.org/10.52812/msbd.16

Keywords:

Labor Productivity, Foreign direct investment, Patent, Trade, Investment

Abstract

Labour productivity is linked to improved living standards of a country, where higher productivity is usually seen as a competitive advantage for the country. The current study aims to identify the influence of investment, trade, and innovation on labour productivity using multi-regression. The sample involved four countries: the United States, Russia, Japan, and China. The results reveal varying degrees of relationships between labour productivity and other variables. In general, investment showed a strong correlation, trade showed a weaker relationship, and innovation showed insignificant relationship. When needed, the policymakers may consider raising labour productivity by improving investment or trade.

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