TY - GEN AU - Alviarez, Vanessa AU - Cravino, Javier AU - Ramondo, Natalia TI - Research Insights: How Does Firm-Embedded Productivity Affect Cross-Country Income Differences? PY - 2024 Y1 - 2024/12/15 DO - 10.18235/0013376 AB - The gap in productivity among countries is a fundamental factor contributing to income disparities across countries. Firm-embedded productivity, encompassing knowledge, expertise, patents, brands, and business models, contributes to approximately one-third of the variation in output per worker across countries. Country-specific factors, such as institutions and natural resources, account for the remaining variation. Policies that enhance firm- embedded productivity, such as tax incentives for R&D and research grants, can help reduce global income inequality. UR - https://doi.org/10.18235/0013376 ER -