U.S. Economy Ranks as World’s Most Competitive
Innovation, market efficiency contribute most to U.S. standing


Washington -- The U.S. economy has regained its ranking as the world's most competitive, largely as a result of its efficient markets and corporate innovation, according to a major report.
Following the United States were Switzerland, Denmark, Sweden and Germany in the 2007 edition of The Global Competitiveness Report, published by the World Economic Forum (WEF), an international research and policy-support group. In 2006, the U.S. economy ranked Number 6 in overall competitiveness.
“The efficiency of the country’s markets, the sophistication of its business community, the impressive capacity for technological innovation that exists within a first-rate system of universities and research centers, all contribute to making the United States a highly competitive economy," said economist Xavier Sala-i-Martin, a co-editor of the report.
However, the report warns that macroeconomic imbalances, including current account deficit, and some weaknesses of U.S. institutions “pose a risk to the country’s overall competitiveness potential.”