The lectures will look at increasing growth

The Fraser of Allander Institute has warned that the country is facing a competitive threat from the Far East and Europe.

The comments came as the policy think-tank launches a series of lectures aimed at debating a way forward for the Scottish economy.

Speakers include world-renowned commentator Paul Krugman and the Nobel prize-winner James Heckman.

Speaking on the BBC's Good Morning Scotland programme, institute director Professor Brian Ashcroft said the Scottish Executive's Smart, Successful Scotland economic policy needed more development.

As globalisation continues the Scottish economy is increasingly subject to competitive threat Professor Brian Ashcroft

He said: "As globalisation continues the Scottish economy is increasingly subject to competitive threat.

"Locations such as China, India and eastern Europe are attracting investments that would have previously come to Scotland.

"We need to put more flesh on the bones of Smart, Successful Scotland."

Prof Ashcroft said the lectures will look at innovation as a key factor to future competition in markets.

The series was put together by Wendy Alexander MSP, a visiting Professor at the Strathclyde Business School.

Ms Alexander said: "We have brought together the 'Real Madrid' of the economics profession, through the support of leading Scottish companies and entrepreneurs.

"These world-respected economists will discuss how we can best raise growth and improve opportunity in Scotland."