SCOTS are working harder but not necessarily smarter, according to a new report.
Employment rates have increased but labour productivity relative to other countries has declined, it found. There has, however, been a slight improvement in business formation, and in spending on research and development.
The findings came in a report on the progress being made towards the Scottish Executive’s “smart successful Scotland” economic and industrial strategy.
Jim Wallace, Enterprise Minister, welcomed the report’s publication, saying: “We want to grow and strengthen the Scottish economy, and to do that it is vital we have an accurate picture of our strengths and weaknesses.”
The analysis was carried by a team led by Alan McGregor of Glasgow University’s training and employment research unit. While Scotland’s gross domestic product grew by 7 per cent between 1999 and 2002, this was below the UK average of 8.4 per cent. Scotland is strong on skills and learning, but weak on measures to grow businesses, it said. It also painted a picture of an economy with a relatively low output and underperforming business sector.