The United States has slipped down the rankings of the World Economic Forum's "The Global Competitiveness Report 2012-2013″ from fifth place last year to seventh. Political deadlock and problems with the deficit were among the issues that dragged on the U.S. rating. Describing the evaluation, the WEF states:
We define competitiveness as the set of institutions,policies, and factors that determine the level of productivity of a country. The level of productivity, in turn, sets the level of prosperity that can be earned by an economy. The productivity level also determines the rates of return obtained by investments in an economy, which in turn are the fundamental drivers of its growth rates.
Switzerland, Singapore, Finland, Sweden, The Netherlands and Germany rate ahead of the United States. It is worth noting that not only do the nations have strong, open economies. They also have homogeneous populations. At the bottom of the list are Mozambique, Chad, Yemen, Guinea, Haiti, Sierra Leone and Burundi.
Douglas A. McIntyre
Filed under: 24/7 Wall St. Wire, Economy, Politics Tagged: featured