The Europe 2020 Competitiveness Report

The 2014 Europe 2020 Competitiveness Report finds that while the EU has recovered from the financial crisis, it trails the United States and other advanced economies in building a knowledge-driven, innovative economy. Significant disparities exist within Europe, with Nordic and North-Western countries leading in innovation and digital readiness, while Southern and Central and Eastern Europe lag. The report emphasizes the need for structural reforms in labour markets and increased investment in R&D and ICT to close the productivity gap with the US.

• The European Union continues to underperform compared to the United States and other advanced economies in establishing a smart, innovation-based, and knowledge-driven economy, trailing in all four 'smart' areas of the Europe 2020 strategy.
• A significant 'innovation divide' exists within the EU, with a three-point gap on a seven-point scale separating top performers in Nordic countries from the lowest performers, specifically Hungary, Bulgaria, and Romania.
• The EU's labour markets are characterized by rigidities that have constrained inclusive growth, leading to high long-term unemployment, particularly among the youth population.
• While the EU lags in smart growth, it outperforms the United States in social inclusiveness and environmental sustainability, specifically in healthcare accessibility, lower income inequality, and the use of renewable energies.
• Productivity in Europe is more than 20% lower than in the United States, a gap that has widened since the mid-1990s and accelerated after the financial crisis.
• EU R&D expenditure stands at 1.6% of GDP, which is significantly below the Europe 2020 target of 3% and lower than the United States' expenditure of nearly 2.8%.
• Finland is ranked 1st in the 2014 Europe 2020 Competitiveness Index, leading in education, training, and the digital economy.
• Romania is ranked 28th, the lowest among EU Member States, particularly struggling in the 'smart' category.
• The EU's digital infrastructure and innovative capacity are falling behind globally, with the roll-out of high-speed internet identified as a decisive factor for future competitiveness.
• There is a stark regional disparity in the enterprise environment, with Northern and North-Western Europe performing strongly, while Southern and Central and Eastern Europe lag.

APA

World Economic Forum (2014). The Europe 2020 Competitiveness Report. http://www3.weforum.org/docs/WEF_Europe2020_CompetitivenessReport_2014.pdf

Chicago

World Economic Forum. The Europe 2020 Competitiveness Report. 2014. http://www3.weforum.org/docs/WEF_Europe2020_CompetitivenessReport_2014.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=The Europe 2020 Competitiveness Report |date=2014 |url=http://www3.weforum.org/docs/WEF_Europe2020_CompetitivenessReport_2014.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2014europe, author = {{World Economic Forum}}, title = {{The Europe 2020 Competitiveness Report}}, institution = {World Economic Forum}, year = {2014}, url = {http://www3.weforum.org/docs/WEF_Europe2020_CompetitivenessReport_2014.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }