Euroland's political leaders continue to talk of reform, as they have done for a decade. But there is no real action to match the rhetoric. In fact the trend is towards greater labour market regulation. France has recently introduced the 35-hour week. In June 2000, the Governor of the Italian Central Bank reported that the rigidity of the labour market is restricting the growth of the Italian economy.
Large firms can absorb the costs of new regulation more easily.
But 99.2 per cent of British companies have less than 50 employees. With far less red tape and a more entrepreneurial business climate, the US has delivered stronger growth and faster job creation. The detailed business case 1. Executive summary 3. Once we're in, we're locked in 4.