Competitiveness In The European Economy

This book deals with the relationship between the competitiveness of countries in Europe and the analysis of macroeconomic imbalances. It focuses mainly on a European analysis, along with special studies of the German economy, which is rarely considered to be a cause for the current crisis. The book also compares Germany with Italy, providing a comparative perspective on structural reforms. The first part of this book analyses macroeconomic imbalances based on a new framework from the analysis of the flow of founds rather than balance of payments, and presents an alternative measure of unit labour cost comparisons to investigate the relationship between imbalances and competitiveness. The second part is dedicated to the analysis of the trade performance of Germany and Italy and the sustainability of the German model in the EMU. The third part describes the reform policies implemented by Germany and their effect on imbalances; this includes wage moderation, the labour market reforms and weak labour demand. The final part explores the regional inequalities within Germany and Italy, providing useful lessons regarding fiscal federalism and regional banking developments. In conclusion, a big part of the problems within the Euro Area are generated by the use of a wrong framework of analysis, where the EMU is considered as a fixed exchange rate regime and not a single country. This book provides an alternative view which holds at the core the relationship between sectors. It is stressed throughout the book that the German behaviour has contributed to the rise of imbalances between countries due to its growth model, not suitable for a big developed country in a currency union. This book also finds that stressing banking integration within countries helps to reduce regional inequalities, which has important implications for the management of Europe’s future banking union and macroeconomic imbalances.

The success of an economy to adapt quickly, flexibly, and effectively to the demands of the changing international economic environment can only be investigated using the achievements of other national economies or regions as a benchmark. This book analyzes the fundamental factors of competitiveness, which will, in turn, facilitate economic development and growth, in the new post-crisis environment. In the economic, social, legal, and technological environment that has emerged in recent years, as well as in the period after the recent financial crisis, it is critical to define, assess, and implement new pathways to competitiveness and economic development. The book covers all aspects of competitiveness and economic growth, from financial intermediaries to tourism and the digital economy, and from regulation and corporate governance to exchange rate dynamics and monetary policy issues. It uses empirical findings from a variety of different countries with divergent economic structures and policies. It examines the new system of production, and the technological, commercial, financial and institutional environment, with the aim of recommending a proportional division of benefits and costs of economic growth. It offers a fresh, holistic, and flexible concept to underscore the new relationship between competitiveness and economic growth. Such an approach is needed, whereby competitiveness is no longer a zero-sum game between countries, but is achievable for all countries. The book recommends future directions and offers policy solutions, and as such, will appeal to students, researchers, and policymakers, as well as those interested in the role of competitiveness in the operation of markets, productivity, and economic development, and how it might foster innovation and growth.

Makes recommendations to the European Commission, heads of member states, and the Government of the European Union on improving European competitiveness politically, economically, and socially in order to raise living standards and maintain social cohesion. The four reports focus on the internal market, economy, and enterprise; regulation and environmental policy as they relate to innovation and research; labor; and benchmarks both in Europe and in Asia. Published by the European Communities in Luxembourg in 1995 and 1996. No bibliography. Annotation copyrighted by Book News, Inc., Portland, OR

Starting in the 1980s, competitive pressures and the ideology of competitiveness have shaken and transformed traditional models of development, public policy, and governance in Europe. This edited book carries out a comprehensive, interdisciplinary, and innovative analysis of the relationship between competitiveness and solidarity in the contemporary European Union. It offers an original contribution to the scholarly debates on the current developments and challenges of welfare states, social and economic policies, and forms of governance in the European Union. Bringing together an international team of cutting-edge scholars in the social sciences and the humanities, Competitiveness and Solidarity in the European Union sheds light on the conceptual richness and policy relevance of these relationships, pointing to important avenues to make the European Union more economically successful and socially fairer. This book will be of key interest to scholars and students of European Union studies and, more broadly, of EU Law, Public Policy, Economics, Sociology, Political Science, Geography, and Contemporary History.

The European Union (EU) was launched as a response to the economic dominance of the United States and – to a lesser degree – the Soviet Union. The nations of Western Europe were too small to compete against large scale and diversi?ed economies on their own. Six countries, eventually expanding to 27 (and counting), took a series of steps toward progressively deeper integration: the removal of int- nal tariffs, the construction of a common external tariff, the elimination of many (but not all) non-tariff barriers leading to a single market, and the adoption of a c- mon currency by 15 of the member states. The EU today equals and even exceeds the U. S. on many key indicators of performance. In the process, two similar but nonetheless divergent models of social and economic life stand in contrast with each other. The U. S. is more committed to capitalism and does little to dilute its harsh edges while the nations of Europe support wider social safety nets and more active regulation of commercial activity to mute the crueller aspects of the free-market. Until recently, the economic dynamism of the U. S. called into question whether the so-called European social model was sustainable in an era of globalization. The EU was slipping in competitiveness and was being challenged by new global pow- houses like China and India. Although the U. S. economy has slowed, there is little indication that European countries are capable of leveraging the situation to their advantage.

This book analyses the key factors determining European competitiveness. It focuses in particular on the issues of internationalization of firms and markets, the role of technology and innovation, and of continuing European integration, and deals with these issues on the level of firms, industries and countries. The competitiveness of the EC as a whole, relative to the USA and Japan, is also examined. Part I deals with internationalization, the organization of firms, and the activities of multinationals in Europe. Part II focuses on trends in technological competitiveness, and its importance in growth and trade performance. Part III is concerned with structural change, the integration of the European market, competition and mergers, the role of the public sector, and the role of cultural differences. The book ends by addressing the role of industrial policy in the future of the Eastern European economies.

Europe's space is in a flux. Earlier cores and peripheries in Europe are experiencing a profound transformation. The driving forces include, amongst others, Western European economic and political integration, and Eastern European transition. We are also witnessing fundamental technological and organisational restructuring of industrial systems. Information technology and telecommunications are rapidly altering the requisites for comparative advantage. Peripherality is being determined more by access to networks than by geographical location. Economies of scale can be attained in distributed networks of production with good access to markets as well as in large agglomerations. Clearly, these changes also call for new perspectives in regional analysis. This book derives its impetus from an Advanced Summer institute in Regional Science which was arranged in Joensuu, Finland, in 1993 under the auspices of the European Regional Science Association. Some of the papers, which were discussed at the institute, were thoroughly revised for the present purpose. In addition, chapters on specific topics were specially written for the volume. In most contributions, the focus is on the Nordic countries and their internal peripheries. They form a particularly interesting case in assessing prospects for the multi-faceted centre-periphery confrontation in Europe.

The European Union (EU) was launched as a response to the economic dominance of the United States and – to a lesser degree – the Soviet Union. The nations of Western Europe were too small to compete against large scale and diversi?ed economies on their own. Six countries, eventually expanding to 27 (and counting), took a series of steps toward progressively deeper integration: the removal of int- nal tariffs, the construction of a common external tariff, the elimination of many (but not all) non-tariff barriers leading to a single market, and the adoption of a c- mon currency by 15 of the member states. The EU today equals and even exceeds the U. S. on many key indicators of performance. In the process, two similar but nonetheless divergent models of social and economic life stand in contrast with each other. The U. S. is more committed to capitalism and does little to dilute its harsh edges while the nations of Europe support wider social safety nets and more active regulation of commercial activity to mute the crueller aspects of the free-market. Until recently, the economic dynamism of the U. S. called into question whether the so-called European social model was sustainable in an era of globalization. The EU was slipping in competitiveness and was being challenged by new global pow- houses like China and India. Although the U. S. economy has slowed, there is little indication that European countries are capable of leveraging the situation to their advantage.