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This paper assesses the innovative process of Argentinian manufacturing firms and its impact on labour productivity. Applying a CDM model, we combined firms’ innovative decisions with innovation results and their impacts on labour productivity. We used recent data from Argentina’s National Survey on Employment and Innovation Dynamics (ENDEI in Spanish) from 2010-2012 and 2014-2016. Our findings verify the innovative process which links innovation with productivity regardless of prevailing macroeconomic and industrial conditions.

The productivity impact of innovation on industry in Argentina