Ramblings about American Competitiveness

How can we help our kids get good paying jobs after college?

With the average cost of a home approaching $300,000, how much earning power does a graduate need to own a home, support a family, provide for retirement and healthcare, and enjoy life?

Does the average starting salary out of college support an average life-style?

The answers are uncertain.

That uncertainty causes fear and anxiety.

But I'm excited to see what our new President Elect, Vice President Elect and all those who have won elections can do.

To President Elect Barack Obama: Congratulations!!! Even though I didn't vote for you, you have my support. The challenge to prepare our children for a competitive world is almost overwhelming. I've been inspired by your work ethic and by your dreams for our future. You have my full support in uniting this nation, so that we can meet the challenges of a competitive world, and help our children enjoy the freedoms of life, liberty and the pursuit of happiness. I applaud the international support, which also appears to be yours.

Michael E. Porter, a competitive guru from Harvard Business School, offered several ideas in a recent Business Week article titled "Why America Needs An Economic Strategy".

It is an interesting paradox to me that the deep fears and anxiety, identified by Mr. Porter, over the competition for wages and jobs from international sources like China and India, has led to the greatest prosperity that the world has ever known.

Someone once said that if you're going to have a competitor, you might as well have a good one. A competitor that keeps you from improving, or that doesn't help you improve does no good.

Mr. Porter identified seven comparative competitive advantages that we enjoy in America:

1. Entrepreneurship.

2. Science, Technology and Innovation.

3. Institutions of Higher Learning.

4. Free and competitive markets.

5. Decentralization across States and regions.

6. Efficient Capital Markets.

7. Dynamism and Resilience.

Mr. Porter also identified two weaknesses that undermine our potential:

1. Protectionism.

2. Favoritism.

The cool thing about comparative competitive advantage, is that we don't have to be better than someone else to be prosperous and successful. We just have to do our best, specialize, and then trade and share with each other.

It seems to me that we should embrace competition that makes us better.

By so doing, the potential prosperity for us, for our children and for the world is breath-taking.

It is my hope and prayer that the blessings of Heaven will be with all of us as we embark on this new leg of the journey to help our children and the world prosper in a competitive world.