Declining international competitiveness

Declining industrial competitiveness
Fluctuations in international competitiveness
Decline in competitiveness of domestic industries
Declining international market share
Gap in international competition
Poor competitive standing

Nature

Declining international competitiveness refers to a country’s reduced ability to compete effectively in global markets. This problem manifests as a loss of market share, decreased exports, and diminished attractiveness for foreign investment. Causes include rising production costs, outdated technology, insufficient innovation, and regulatory barriers. The consequences can be severe: slower economic growth, job losses, and a weakened currency. Addressing declining international competitiveness typically requires policy reforms, investment in education and infrastructure, and fostering innovation. If left unaddressed, this decline can erode a nation’s economic standing and overall prosperity in the increasingly interconnected global economy.

Background

The issue of declining international competitiveness emerged prominently in the late 20th century, as nations observed persistent trade imbalances, loss of market share, and stagnating productivity in key industries. Heightened by globalization and rapid technological change, policymakers and economists began systematically tracking competitiveness indices in the 1980s. International organizations, such as the World Economic Forum, have since underscored the problem’s significance, linking it to economic resilience, employment, and long-term growth prospects worldwide.

Incidence

A 1993 report found that UK industry faces a 25% gap between its productivity and that of its French and German counterparts.

Claim

Declining international competitiveness is a critical crisis that threatens our nation’s economic future. If we fail to address this urgent issue, we risk losing jobs, innovation, and global influence to more dynamic economies. This decline undermines our prosperity, weakens our industries, and jeopardizes the well-being of future generations. Immediate, decisive action is essential—ignoring this problem is not just irresponsible, it is a direct threat to our country’s long-term stability and success.

Counter-claim

The chant of "internationally competitive" sweeps away all efforts to retain economic diversity as jobs and social expenditure, food and environmental standards are sacrificed on this unforgiving two-word altar.