The European Union will not last another Decade Essay - 1

The European Union will not last another Decade - Essay Example The general view among many Europeans is that the Union is gradually becoming an immaterial isthmus of the Eurasian continent. Analysts have identified key issues that make the European Union weak and unable to progress further soon. Structural economic challenges pose the greatest threat to the Unions survival. It is said that globalization has made other regions become more competitive than the Eurozone. Many members of the European Union lack competitiveness. Globalization has allowed business establishments to produce where expenses of producing goods and services are lowest. Third world countries, as well as some of the emerging markets, are competitively outpacing the developed nations in growing and developing their economies. These countries are quickly adapting specialized high-value productions (Sanchis Marco, n.d.). Their labor markets are very skilled, therefore, able to be productive in high technological industries. It is a fact that the working conditions in the European Union for workers is better, that they provide better social amenities and that the working conditions are supremely better in terms of social benefits. However, the better quality of social amenities offered means that the cost of production must sufficiently accommodate those costs, and, therefore, translates to higher prices for goods and services delivered. Private investors have not made the situation any better as they relocate production to the much cheaper cost of production locations in the emerging markets, which serve a double purpose of offering ready markets for some of their products. The proportion of inactive and active individuals in the Eurozone is worsening by the day (Laursen, 2013). It is projected that countries within the European Union will not have enough human assets, while at the same time these countries have failed to