A BANKSTER ON THE EU'S ECONOMIC PROBLEM

(h/t Atrios)
One again, workers & wages are to blame:

Second, the reform agenda. This needs to be ambitious, in core and periphery alike. Wages and other labour costs are simply too high, even by the standards of rich countries, let alone emerging markets competitors. Services market liberalisation, too, is lagging. Liberalising transportation, communications, retail and protected occupations could raise Europe’s growth potential. These are decades-old political taboos. Overcoming them will entail supportive fiscal and monetary policy.

Also, note that the author is part of the revolving door between regulators & banksters:

The writer, a former director of the IMF’s European department, is vice-chairman of Global Capital Markets at Morgan Stanley