Competitive position of the European Union member states with regard to socio-economic development according to the Human Development Index

Abstract

The aim of the study was to analyse the competitiveness of European countries among themselves in terms of socio-economic development. 27 countries of the European Union were included in the analysis. Real gross domestic product per capita was selected for analysis as the main indicator of the economic development of the country. As the main indicator of social development – the aggregate index of human development. To determine the level of competitiveness of each country, a two-dimensional matrix was used, which was based on the calculation of integral indicators of real gross domestic product per capita and the Human Development Index in dynamics for the period 2013-2022. The competitiveness study was able to develop nine quadrants of a two-dimensional matrix, each describing the competitive position of a European country. Countries such as Germany, France, and Italy, although they had high absolute performance both in 2013 and in 2023, but the dynamics of improvement of such performance is much lower compared to the rest of European countries. Some countries have better development of economic indicators than social indicators in the dynamics, such as Hungary and Bulgaria. The only country with predominant rates of social development over economic development is Luxembourg. The other 16 countries of the European Union occupy medium positions of competitiveness, which indicates their gradual development with low rates. Croatia, Lithuania, Poland, Cyprus, and Malta are sustainable competitive countries that, during 2013-2023, most efficiently utilised existing resources and potential for both social and economic development. The results obtained will be useful for professionals developing national competitive strategies and programmes, as the results of the analysis provided a 10-year view of the sustainable competitiveness of each European country.