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Production, Information Costs, and Economic Organization

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Expenditure on R&D is low by OECD standards. Business R&D (BERD) is particularly low but is growing faster than the OECD mean. However, as a proportion of total industry value added, New Zealand small fi rms undertake more BERD than small fi rms in most other OECD countries. International patenting rates are also well below the OECD mean and are not growing. New Zealand has a relatively large proportion of R&D personnel in its workforce but they are concentrated in the higher education sector and government. It produces more science and engineering articles per head than the OECD mean