U.S. Competitiveness Increased in Last Decade

According to a new report released by the Council on Competitiveness, Competitive Index 1996: A Ten-Year Strategic Assessment, the U.S. has sharply boosted its economic competitiveness over the past decade. The Council attributed the gains to a variety of factors including corporate restructuring, reduction in the budget deficit, a weaker dollar and broadened international markets.

The report warns, however, that the U.S. remains vulnerable in several key areas:

• Wage stagnation and inequality
• Shortfalls in national savings
• Weak investment in manufacturing plant and equipment
• Diminishing edge in R&D outlays
• Poor returns on educational spending
• Low productivity growth
  
  

To compile this year's Competitiveness Index, the Council examined various statistics and surveyed its members -- 123 chief executives from industry, academia and labor. All members were asked a core set of questions regarding national economic competitiveness. They were also questioned about their particular sector (industry/labor or academia). In addition, the Council asked the 54 presidents of its affiliate members (non-profit organizations representing a cross-section of industrial and educational institutions) to complete the survey.

The report is available from the publications office of the Council on Competitiveness at 202/682-4292.