The lack of “creative destruction” in the euro zone

The lack of “creative destruction” in the euro zone, compared with the United States, is clear to see from: The limited renewal of large companies in the euro zone; The strong job protection in the euro zone; The low levels of investment in new technologies and R&D spending. In the euro zone, the low level of renewal of the corporate fabric, low labour mobility and a weak innovation effort probably explain the low level of productivity gains, when compared with those achieved in the United States.