An empirical investigation of the relationship between science, technology, and total factor productivity growth rate

The hypothesis that the rate of technological change in the industrial sector of a country is a direct function of its science and technology capability is tested empirically. The science and technology data were investigated for a number of countries to see whether one can show that those countries with a high level of commitment to science and technology experience corresponding high levels of total factor productivity growth. The results show that the relationship considered is complex and that current data and measurement parameters are inadequate.<>