But they remain higher, and stronger, than those of other comparable economies. The European model of development has made it possible to combine economic growth with widely shared prosperity, economic efficiency and social justice. Living standards in the EU have doubled in the past 40 years. This has been achieved while maintaining social cohesion and avoiding the longer-term costs of widespread unrest that come if social inequalities are ignored. Social protection is not spending and regulation.
Social protection is a productive factor.
Let me illustrate this basic principle with a few facts on distribution of income and opportunities. But we did not leave people to the mercy of the markets. Thanks to redistribution, through social protection and taxation systems, we have reduced that share to 17 per cent. That means that almost 100 million people have been moved from poverty to a more decent living. 100 million people - that is the single most important measure of the importance of the European Social Model.