Learning from China and the United States, the new Nobel Prize in Economics winner warns Europe that Europe has clearly fallen behind China and the United States! On October 14, Professor Aghion, from the Paris Institute of Political Studies in France, stated that the global economy is at a critical turning point, and artificial intelligence, biotechnology, and green energy will determine the future growth pattern. However, Europe's conservative stance on innovation and industrial policy has already made it significantly lag behind in competition with the United States and China.
De-globalization and tariff barriers are becoming obstacles to growth. The larger the market, the more opportunities there are for exchange of ideas, technology, and competition. Any policy that restricts openness is an obstacle to growth. Aghion said that Europe needs to learn from the United States and China. While the United States and China are striving to balance competition and industrial policy, Europe has excessively excluded any form of industrial support under the name of "competition policy." It is obvious that the new Nobel Prize winner has given Europe a warning regarding its current difficulties.
In short, Europe is currently implementing the wrong policies. At least two mistakes can be identified. First, Europe cannot continue with trade protectionism, closing its doors, and limiting competition. Europe should continue to implement open policies and actively participate in global competition. Second, Europe should learn from China and the United States, supporting emerging industries when necessary, and balancing support with free competition. This is a key factor in improving Europe's competitiveness.
Evidently, this latest Nobel Prize in Economics winner has seen a very unclear prospect for Europe, believing that Europe is falling behind in key industry competitions and implementing the wrong policies. Naturally, such advice is very uncomfortable for Europe. Especially, it is too uncomfortable to make Europe realize that it needs to learn from China and acknowledge that Europe's industrial competitiveness has fallen behind China. At present, there is a widespread ideological perspective toward China in European politics, and it is obviously very difficult to change Europe's policies.
Original: www.toutiao.com/article/1845915562690569/
Statement: This article represents the personal views of the author.