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Sustaining Competitiveness In A Global Economy: Insights Offered By Total Factor Productivity Indicators For The U.S

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  • Tony Mutsune:

Abstract

Determination and implementation of effective policies that enhance and sustain U.S. competitiveness internationally requires a clear understanding of the concept of competitiveness as it relates to a nation. This paper addresses the ambiguity that surrounds the notion of nations competing, and presents a Total Factor Productivity (TFP) based model that more adequately measures the state of U.S. ability to compete in the international marketplace. TFP growth and total output are estimated using data from key sectors of the U.S. economy during 1986-1997. Results indicate that the U.S. remained competitive over this period, even though other popularly used indicators discussed in the paper appeared to suggest otherwise. The paper discusses appropriate policy measures and potential for future research in light of the findings.

Suggested Citation

  • Tony Mutsune:, 2010. "Sustaining Competitiveness In A Global Economy: Insights Offered By Total Factor Productivity Indicators For The U.S," International Journal of Management and Marketing Research, The Institute for Business and Finance Research, vol. 3(2), pages 53-64.
    • Handle: RePEc:ibf:ijmmre:v:3:y:2010:i:2:p:53-64
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    References listed on IDEAS

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    1. Nigel Driffield & Karl Taylor, 2002. "Spillovers from FDI and Skill Structures of Host-Country Firms," Discussion Papers in Economics 02/4, Division of Economics, School of Business, University of Leicester.
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    More about this item

    Keywords

    Productivity growth; competitiveness; efficiency;
    All these keywords.

    JEL classification:

    • D2 - Microeconomics - - Production and Organizations
    • F1 - International Economics - - Trade
    • M2 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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