Innovation: "What Europe Lacks Is Not Money, but Political Courage, Continental-Scale Ambitions, and the Capacity to Execute" Innovation: "What Europe Lacks Is Not Money, but Political Courage, Continental-Scale Ambitions, and the Capacity to Execute"

HEC Paris Professor of Economics Antonin Bergeaud argues, with André Loesekrug-Pietri and Jean Tirole, that Europe's innovation gap is rooted in structural fragmentation rather than a shortage of capital. 

Despite high savings rates, Europe's divided regulatory, fiscal and commercial landscape prevents startups from scaling and discourages long-term investment in technology. 

The authors explain that strengthening the single market, redirecting savings toward innovation and supporting high-risk, high-reward research are more important than creating additional funding vehicles. 

According to them, only deeper market integration and greater political ambition will enable Europe to build globally competitive technology leaders.

Source

Read the full op-ed: "Europe Does Not Lack Capital – It Lacks Scale", by Antonin Bergeaud, André Loesekrug-Pietri and Jean Tirole, Professors at HEC Paris, published in Project Syndicate, January 6, 2026.