Is the US losing its edge?: innovation and competitiveness in the global economy

To what degree is the US remaining competitive with the rest of the world? This question is of critical concern in this era of globalization. Is the US becoming less capable of competing in this increasingly “flat” world that is the result of the globalized economy? My presentation is part of a book I am writing for John Wiley & Sons (to be published in 2006) that will explore the relative competitiveness of the US vs. the world’s other “Super” economy, the European Union. Both the US and EU have instituted centralized programs –committing similar funds-- to upgrade their competitiveness over the next 10-15 years. Who then is winning –or will win—this competitiveness race over the next decade and half, what are the reasons underlying success and failure, what are the implications for US competitiveness with the rest of the world? I examine these issues from the point of view of innovation and advanced technology. I identify those emerging and pivotal technologies –identified in the literature and by industry experts – that are at the center of productivity and economic expansion over the next decade and half. Countries and regions will need to master and properly manage these technologies if they are to maintain their competitive edge. Those that fall behind as managers in developing and employing these technologies will lose the competitiveness race. In my presentation, I discuss critical country differences and the pitfalls or difficulties both the US and EU may face in terms of competitiveness in the years to come