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ECB: Big Firms Narrow US Productivity Gap
Today, the European Central Bank reminded that increasing the number of large companies in the European Union could reduce the productivity gap with the United States by a third, provided that the distribution of companies is similar to that of the Americans. It pointed out that large companies generate significantly higher value added than small ones, although the low productivity in Europe also reflects lower levels of innovation, fragmented regulations, and the evolution of capital markets. The bank proposed the "EU Inc" initiative to unify the legal framework for companies across the Union, aiming to boost competitiveness, growth, and innovation.
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