Empirical research indicates that ____ best enhances productivity gains for firms and industries.

Question

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Empirical research has shown that global competition is the best enhancer of productivity for firms and industries. This is because global competition not only brings in more competitors but also encourages the adoption of new technologies and greatly increases market opportunities for firms, leading to greater efficiency, innovation, and productivity gains. Local and regional competition can also have positive effects but to a lesser extent. No competition, on the other hand, can lead to complacency and lack of innovation.

Empirical Research Indicates That ____ Best Enhances Productivity Gains for Firms