This article reviews important recent changes in the world economy, an
alysing their implications for industrializing economies' skill requir
ements and international competitiveness. It is argued that the North'
s information technology revolution has not so far dented the South's
competitiveness. With the infrastructure of education, science, techno
logy and training systems industrializing countries now possess (parti
cularly those in Asia), such technological challenges can be met. The
other global institutional changes represent a greater threat and requ
ire greater market access and reciprocity from these countries. it wil
l be hard for many industrializing countries to continue successfully
operating their national systems of technological accumulation.