The indicators identified in the analysis of the productivity drivers all contribute to economic success.� However, performance ultimately needs to be judged by results.� This section looks at indicators that measure how successful the UK has been in terms of achieving competitiveness in the knowledge driven economy:

��� � ��������� Macroeconomic stability � macroeconomic instability��
����������� affects�business�confidence and can have a negative��
����������� effect� on investment� and long term planning decisions.

������ ������� Output per head � the best measure of overall economic
������������ performance.

�������� Labour productivity � the most important determinant
����� of� prosperity.

�������� Employment � a successful and sustainable economy
����� should be able to provide employment for its workforce.�

�������� Trade specialisation � the UK�s trade performance can�
����� indicate the�extent to which we are specialising in
����� knowledge intensive activities.

�������� Composition of output � analysis of how the structure
����� of� the UK� economy is changing shows the extent to�
����� which the� increased use�and importance of knowledge is
����� being reflected across the economy�as a whole.

������ ������ Quality of life � a goal in itself but also a key
����������� determinant of� economic� performance in a globalised
����������� economy where attracting� key knowledge workers is an
����������� important factor in competitiveness.