gories to make his point, although the data he draws on clearly show that a huge industry like electronics consists of many sectors, some with high value added and others with low. Overall, Krugman notes a figure of value added per worker in the electronics industry of only $64,000. But why did he ignore the tables showing the figures of $443,000 for computers and $234,000 for semiconductors? Krugman concludes by expressing fear of the possible distortion of the U.S. econ omy through the application of flawed competitiveness policies. He could, of course, be right. But can the United States be confident that an analyst who has such obvious gaps of his own and who has now argued both sides of the competitiveness issue can be relied on as the guide? Per haps he is wrong, and competitiveness, far from being a dangerous obsession, is an essential concern. CLYDE V. PRESTOWITZ, JR.