According to endogenous growth theories, innovations is one of the key drivers of economic growth. To boost innovations and technical progress, countries spend a lot of money on Research and Development. In most developed countries expenditures on research and development exceed 2% of GDP. And about 70-75% of R&D expenditures are covered by private business corporations.
According to common sense, the more time you spend at work, the higher earnings you hope to get. Cross country comparison shows opposite result. The higher is the number of hours worked by employees, the smaller are their wages. For example, Greece, with its 5.5 hours, is among top 10 countries having the longest work day. Nevertheless, per capita income in Greece much lower compared to Netherlands, Germany, Norway, France or Luxemburg, where one employee works no more than 4 hours per day. The key point here is a level of labor productivity, which in Netherlands almost 2 times higher compared to Greece. *Number of hours worked per day is...
The United States’ economic performance compared to other countries is strong in terms of GDP per capita as one might would guess; however, tax revenue as a percent of GDP is much lower in relation to the other countries studied.