The European Union needs to change its economical strategies because the world’s economical strategies are changing and the traditional competitive methods do no longer suffice . To tell the truth inrecent years new growing economies have come to surface such as China, India and Brazil.
Such countries exploit a lot of underpaid labour and its economical policies let them have an uncontrolled economy; for example there are no unions and workers are often exploited. The only effective way to renovate EU economy is to improve the use of knowledge to set a clear strategic goal by enhancing innovation and economic reform and modernising social welfare and education systems.
The financial aspect is very important because without financial stability every economy collapses. To achieve such goal some important reforms have been edited by the EU; the most important among them was the introduction of the common European currency in February 2002, the EURO. Benefits following that important step have already come.
The EU possesses a well-educated labour force but it won’t be enough. Unfortunately such knowledge cannot compete with the fastest growing economies in the world, and so EU must develop a knowledge-based economy and, of course, a knowledge-based society to balance the amount of the growing economies industrial output by the quality of its products and the know-how they have bee realised. For this reason instruction must be encouraged.
But EU has also got some weaknesses in its economy, especially the number of unemployed people, that are more than 15 millions people. Many of them are women or old people. Moreover, the distribution of the unemployment rate and the kind of work offered are very different from region to region.
Some economic sectors are underdeveloped, such as telecommunications and the Internet; in this way Europe will soon become the most “ancient” part of the advanced economies.
Now EU has got a new strategic goal: to make itself the best knowledge-based economy on the planet to balance the enormous amount of technologies and products coming from countries like China, India and Brazil.
To achieve the goal some social and economical policies must be carried out. Some examples of the reforms are the implementation of policies for information and internal market and consumption; the modernisation of the social structure by fighting social exclusion; encouraging economic growth especially at continental level.
In the end, in Europe a new cooperative method needs to be introduced at all levels, both in economy and in politics. For this reason the European Council should meet every Spring to define the strategies for this goal.