PARIS, July 13 (UPI) -- Unless the eurozone becomes more capitalistic soon, growth will fall in half by about 2025, the Organization for Economic Cooperation and Development says.
The OECD's annual report on the 30-member association said that trends indicate that sustainable economic output would drop from 2 percent currently to 0.9 percent in 2020-2030, the Financial Times reported Wednesday.
"Structural reform is needed to boost growth prospects and resume economic convergence with the OECD's best performers," the OECD report stated Tuesday.
Without reform "population aging implies that the euro area's potential output growth is set to decelerate and the income gap with the U.S. to widen considerably," the OECD said.
Among reforms called for were weaker employment protection, better economic integration and encouraging innovation with the tax code.
The report mirrors a speech by Britain's top treasury official, Gordon Brown, who urged similar steps Tuesday on the European Parliament.
Specifically, he called for an "active competition" policy and removal of "barriers to employment."
