An enabling policy: creating the institutions to support innovation

摘要

The Government's focus on closing the productivity gap has lead to two broad policy responses. Firstly, the Treasury has sought to ensure macroeconomic stability in he interests of simulating investment at a corporate and individual level and secondly , it has introduced a swathe of micro-economic reforms to tackle market failures and increase the efficiency with which markets function. These include, for example, and R&D tax credit designed to stimulate innovative activity that the market left to its elf might under-provide.