A couple of years ago, the front page of news bulletins presented great union demonstrations and manifestations that almost paralyzed iconic cities. We have witnessed, concerned and bewildered, the terrifying show Europe offered to the entire world. The “Bolkestein Directive”, against which tens of thousands of people manifested for months, seemed to become the title of a horror movie threatening to overthrow the social favours of the welfare state. In France, the intentions to increase the labour market flexibility transformed Paris into a capital under siege, used by the unions in order to colonize the state.

When the economic history of Europe from the last third of the 20th century will be written, then we will understand the entire series of battles the national governments launched against economic reality, with the illusion that victory can be granted by forming a simple electoral majority. In this period, Europe was dominated by the institutional arrangement of the welfare state, whose practices promised education, health, security, prosperity, jobs - in one word, happiness for everyone. In order to achieve this ideal, national governments increased government spending up to 50% of GDP.