Mon Jul 2nd, 2007 at 09:44:22 AM EST
Here's an interesting post from the new vox website (h/t Mark Thoma):
US-vs-Europe structural rigidities: A re-think
The pessimism that has prevailed in Europe for at least ten years is unwarranted. True, there are structural problems that should be tackled. But this focus on structural problems is excessive, if not pathological. It also falsely implies that all we have to do is to introduce structural reforms to get better. Compared to the US, Europe has structural strengths and weaknesses. Seen from this perspective, it is not evident that Europe suffers more from structural weaknesses than the US.
From the diaries ~ whataboutbob
Here's more -- apparently the US can use some "structural reform" too:
EU rigidities are well known, but low US energy-productivity and low social mobility (probability of the poor breaking out of poverty) are less often noted. Structural reforms are necessary if the US is to emulate European successes on social mobility and energy efficiency.
About the author:
Paul De Grauwe is Professor of international economics at the University of Leuven, Belgium, having also been a visiting scholar at the IMF, the Board of Governors of the Federal Reserve, and the Bank of Japan.