Report sparks productivity/innovation debate
A new report critical of the lack of productivity in the economy highlighted a lack of government action, Labour says.
A new report critical of the lack of productivity in the economy highlighted a lack of government action, Labour says.
But Finance Minister Bill English said the Government was doing something about it while Labour didn't during its nine years in office.
The New Zealand Institute's latest discussion paper -- A goal is not a strategy -- said productivity in the mainstays of this country's economy, agriculture and tourism, was low, so new high productivity industries had to be developed.
The paper said raising the level of entrepreneurial activity and encouraging training for international business success should be a core part of the labour productivity agenda.
While New Zealand scored well on levels of entrepreneurship, it arguably had too many small independent businesspeople called entrepreneurs, and too few highly skilled entrepreneurs targeting international business success.
That shortage meant the product of this country's inventiveness -- large research output, inventions, and new business opportunities -- was not being converted into international business success, the paper said.
In Parliament Labour's David Parker tabled the report and criticised the Government for axing his party's research and development tax credit and the Fast Forward innovation fund.
Mr English replied: "I have seen reports that those two initiatives of the previous Government were cut by this Government, and for good reason: we had a better policy.
"We have put that in place, and we have a more positive attitude towards science and innovation in that sector of the economy than there has been for many years."
Mr Parker asked whether the Government had a credible plan to address the savings and innovation deficit hampering New Zealand.
The Engineering, Printing and Manufacturing Union national secretary Andrew Little said the report highlighted the lack of government commitment over many years to fostering the development of a manufacturing sector capable of earning high margins.
NZPA
Thu, 19 Aug 2010
Thu, 19 Aug 2010
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Report sparks productivity/innovation debate
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