Each year, the United States produces more per person than most other advanced economies. In 2015 real GDP per capita was $56,000 in the United States. The real GDP per capita in that same year was only $47,000 in Germany, $41,000 in France and the United Kingdom, and just $36,000 in Italy, adjusting for purchasing power.
In short, the U.S. remains richer than its peers. But why? I can think of 10 features that distinguish America from other industrial economies. . . .
An entrepreneurial culture. Individuals in the U.S. demonstrate a desire to start businesses and grow them, as well as a willingness to take risks. There is less penalty  in U.S. culture for failing and starting again.
Even students who have gone to college or a business school show this entrepreneurial desire, and it is self-reinforcing: Silicon Valley successes like Facebook inspire further entrepreneurship.
A financial system that supports entrepreneurship.
The U.S. has a more developed system of equity finance than the countries of Europe, including angel investors willing to finance startups and a very active venture capital market that helps finance the growth of those firms. We also have a decentralized banking system, including more than 7,000 small banks, that provides loans to entrepreneurs.
World-class research universities. U.S. universities produce much of the basic research that drives high-tech entrepreneurship.
Faculty members and doctoral graduates often spend time with nearby startups, and the culture of both the universities and the businesses encourage this overlap. Top research universities attract talented students from around the world, many of whom end up remaining in the United States.
Labor markets that generally link workers and jobs unimpeded by large trade unions, state-owned enterprises, or excessively restrictive labor regulations. Less than 7% of the private sector U.S. labor force is unionized, and there are virtually no state-owned enterprises.
While the U.S. does regulate working conditions and hiring, the rules are much less onerous than in Europe. As a result, workers have a better chance of finding the right job, firms find it easier to innovate, and new firms find it easier to get started.
A growing population, including from immigration. America’s growing population means a younger and therefore more flexible and trainable workforce. Although there are restrictions on immigration to the United States, there are also special rules that provide access to the U.S. economy and a path for citizenship (green cards), based on individual talent and industrial sponsorship.
A separate “green card lottery” provides a way for eager people to come to the United States. The country’s ability to attract immigrants has been an important reason for its prosperity............

Questions to Discuss

1. Which attributes of the United States listed in this article do you think best explain U.S. prosperity? Why?
2. Which of the attributes listed in this article do you think are most at risk of being undermined by poor policy choices? Why?