The battle for Europe’s economic soul

Over theeueu’eueueu past two weeks, a flurry of proposals to reshape Europe’s economic model has emerged from the Berlaymont, a cruciform building in Brussels, which is home to the European Commission. The commission usually fiercely guards the ’s rules. But things are now in flux. The proposals contain ideas for how governments can help companies invest in green technology, cut reliance on dominant suppliers (read: China) and boost industry. On March 23rd, after we went to press, leaders from the ’s 27 member states were due to come together to discuss the changes and set plans in motion.The discussions may reshape the blocs very core. The is in essence the deepest and most comprehensive free-trade agreement in the world. Restrictions on subsidies, along with common rules and regulations, some extremely stringent, ensure a level playing-field. This market-mindedness is reflected in the fact that the has long had a carbon-trading scheme for industry and electricity generation, which will in time be extended to heating and transport. The is relatively open to trade and investment from the outside world, too. Only agriculture remains subsidised and protected from competition.