The eurozone economy has been the same size as the US, but has lost ground in the last 15 years. In 2008, the eurozone and the United States GDP were virtually identical, however, by 2023, the US economy already had a 43% higher than the eurozone.
Nominal GDP in the eurozone grew from 9.7 to 14.5 billion € (+49%), however, much of this growth was due to inflation (actual growth of only 15%). On the other hand, the even faster nominal GDP growth in the USA, from 10.0 billion €, in 2008, to 25.6 billion € by 2023 (+156%) – also due to inflation, but with greater growth (+35%) – and the weakening of the euro compared to the dollar (from $ 1.47 for each euro in 2008 to $ 1.08 for each euro in 2023), made the difference between the dimension of economies fired. Converting to dollars, the eurozone GDP went from 14.3 billion $ to 15.7 billion $, while the US fired from 14.8 billion $ to 27.7 billion $.
Europe has lost the train of competitiveness. A good example is in the area of innovation and artificial intelligence (IA). The US is the country that, by large margin, has explored this area and already has a very significant advance about the rest of the world, either at the level of technological advances or the adoption of AI in the business context. Something that shows the US dominion in this area well, is the list of the 50 most promising AI startups in the world, prepared by Forbes. In this top, 78% of companies are headquartered in the US, 12% in EU countries, 4% in the United Kingdom, 4% in Canada and 2% in Australia. Europe has not been able to compete with the US in this race. Among these 50 startups, the eight that have received the most funding since its foundation are headquartered in the US, being the top 10 completed by an EU startup and a Canada startup.
This sleeping Europe in an increasingly challenging international context has lost preponderance, which is reflected in the economic and economic well-being indicators of European societies.
Also read:
