United States Drops to No. 7 in 2012 Global Competitiveness Index Report, US Dropped for 4th Year in a Row

Yeah, here is yet another reason why President Barack Obama needs to be a one term president. The United States has now dropped to #7 in the 2012 Global Competitiveness Index report. Thanks President Obama. The US has dropped for the fourth year in a row because of exploding debt and deficits. Another four years of Obama and his $16 trillion debt and climbing should take the US out of the top 10 or even lower.

The U.S. dropped to No. 7 on the World Economic Forum’s newly released 2012 Global Competitiveness Index report. Switzerland retained its top position as the most competitive nation, followed by Singapore, Finland, Sweden, the Netherlands and Germany.

Asian countries continue to be among the most competitive—and many are gaining strength. Among the top 20, five are from Asia. Compared to last year’s ranking, Singapore retains its No. 2 spot, Hong Kong gained two positions, Taiwan remains No. 13, Korea advanced five spots and Japan

However, leaders in Washington have a bit of work to do to help America regain the top ranking . The report argues that the country’s drawbacks have “deepened since past assessments,” says the report. It points to a business community critical toward public and private institutions, a lack of trust in politicians, and a concern “about the government’s ability to maintain arms-length relationships with the private sector.”

What a novel concept that the economies decline occurs when business is demonized by the government. As reported at The New American, the American economy’s sharp decline in recent years is due to, among other problems, a lack of trust in government and politicians, especially by businesses.

According to the WEF survey, the American economy’s sharp decline in recent years is due to, among other problems, a lack of trust in government and politicians — especially by businesses — as well as declining macroeconomic and political stability. More important to the latest drop in the rankings this year, however: increasing fears over the U.S. economy’s fiscal health as the federal government continues to borrow more than a trillion dollars per year with no end in sight

But that is not all. The wild federal deficit spending projected to reach $1.1 trillion this year and the incredible failure to urgently address it contributed too, as evidenced by rating agencies’ decisions to slash their credit outlook on U.S. government debt last year. There is also the looming “fiscal cliff” economists keep warning about as massive tax hikes — so-called “Taxmageddon” — approaches quickly.

“A number of weaknesses are chipping away at its competitiveness … the U.S. fiscal imbalances and continued political deadlock over resolving these challenges,” another WEF economist, Jennifer Blanke, told CNBC. “If you look at competitiveness, what we are talking about is productivity. It’s countries that are productive that can support the sorts of rising living standards and high wages that everyone is looking for.”