NEW AND REVISED: The Endangered Competitive Edge of the American Economy

America is rich because it supplies the world with innovative solutions. The edge of innovation is very prevalent in the United States but other sources around the globe are becoming more prevalent. An example of innovation in the US is world’s top business consulting firm, Accenture. Accenture beats all the rest by being able to get projects done many times faster than its competitors. The company does this having headquarters set up in the United States, Europe, and in Asia as well as having all projects and information electronically linked and available between all the locations. So as the globe turns, and one location goes to bed, the next headquarters picks up the project from where the previous one left off so work on a project never stops until it is done. This is innovation of electronic information sharing, outsourcing, and time management at its best!

Ever since the Industrial Revolution, manufacturing has headed overseas. Check out outsourcing here. Most everything is manufactured in China and Korea in highly efficient workshops. For services and support, India handles most technical support and human-required electronic operator services through complex routing systems. I found it astounding that the emergency call button in my high school elevator linked me to a help desk in Delhi, India. Japan manufactures and sells us most all of our high-end consumer electronics and even a good chunk of our automobile industry. Japan is actually surpassed us in some areas of advanced technologies. The Middle East, South America, and Canada ship most of our petroleum supply to us. Check out petroleum imports.

In the lucrative educational arena, the vast majority of our doctorate degrees are being earned by foreign students at our universities. The American student populace has stopped pursuing higher levels of education past the bachelors’ and masters’ degrees while Asian and Southeast Asian levels increase. Check out the numbers of foreign students at out top universities here.

As it turns out, American culture, because of its high levels of freedom, produces the most innovation of any society. The Asian and Indian cultures may have the ability to make our ideas more efficient and streamlined but the creation of them is our forte. But this grasp is waning. As we sell our highest end educational degree spots to foreign students and as the rest of the world gains more freedoms, they increase their creation of innovation. Meanwhile our government ramps up rules, regulations, and taxes, which leave less room for innovation and shuts off possibilities that are now becoming more available in other parts of the world. We need to let up on regulations and taxes so new ideas may flourish through our private sector. Check out progressive taxation in the United States here. We need to regain a resolute hold on our edge of innovative competitiveness in the global market.

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