This year's European Competitiveness Report addresses three priority actions: 'Knowledge and innovation', 'Unlocking the business potential', and 'Towards an efficient and integrated energy policy'. It also examines the competitive position of the information and communication technology industry as well as the pharmaceutical industry. The book deals a.o. with development trends in productivity and employment, the liberalisation of European energy markets, and innovation financing and policy. It is rounded off by statistics on competitiveness at sectoral level.