Competitiveness: The United States in World Trade

The authors of this volume focus on three factors that have contributed to the deterioration of the US trade balance and the erosion of American competitiveness: macroeconomic policy, the fundamental realignment in global competitive conditions, and unfair foreign trade practices. They argue that the first two factors are by far the most important and that America's competitiveness will not be improved simply by making the playing field more level.

They recommend that the major focus in the short run be on restructuring US macroeconomic policies. In the long run, prevailing attitudes and practices, in both the private and the public sectors, must be changed if America is to compete in the world economy. They conclude that the removal of unfair foreign trade practices is an important policy goal but will do little to alleviate US trade and competitiveness problems.