Why does Europe have a negative growth forecast for 2012? Why is a country’s competitiveness associated with the competitiveness of its enterprises? What does Europe’s competitiveness mean in the global marketplace? Where are the surpluses and the reserves? How can we save and promote growth alongside limited purchasing power?
Negative economic growth raises concerns for companies, especially for those that are dependent solely on the national and internal European market. The market dictates the level of competition for companies; to be the best in quality, the time to market, and the quality of after-sales activities. The EU budget accounts for only 1% of all revenue from the twenty-seven Member States. Many Europeans are not aware of this and many only consider the costs of the community, rather than all of the benefits we have because of it.
Europe will be competitive if the Member States are competitive and if the efficiency of the European institutions is improved. One of the foundations of a country’s competitiveness is the competitiveness of its businesses and an efficient public sector. Similarly, reforms that lead to an effective public sector are very difficult and painful, but without them the end of the crisis cannot be envisaged. The European institutions will also have to adapt to competitive conditions if we want to be competitive in the global market. Poor management, a lack of supervision, a lack of transparency, and a lack of regulation are also reasons that have led to negative economic growth at the European level.
European Commission President Barroso, presented a strategy to increase competitiveness, which includes among other things, guidelines for the elimination of administrative barriers and the simplification of European institution procedures. He also outlined planned measures for youth employment. Considerable emphasis will be put on promoting entrepreneurship, private investment and a number of projects, financed from European funds. Key measures to achieve this will be made in areas of employment, investment in research and development and new skills. The revival of social entrepreneurship, which will be oriented towards sustainability, will also employ people with disabilities.
The imbalance of development between countries leads to significant differences in minimum wages and pensions. More emphasis should be placed on combating poverty that has significantly expanding because of the crisis. Slovenia is unfortunately in last place when it comes to necessary reforms at the national level. We need a comprehensive industrial policy, which will be centred on competitiveness and sustainability. The success of the new European industrial policy and national policies needs to be based on innovation, energy sources, the digital agenda, health and social services, innovative approaches to management and non-technological innovation. It is essential to offer workers the possibility of retraining and self-employment. Lifelong learning is crucial to reducing the duration of joblessness and the retention of personal competitiveness.
The world is imbalanced. In Europe there are 5 million young people who are not working nor studying, and yet across the world there are 150 million children under the age of 15 that have to work.
