While legislation restricting innovation is a problem, Germany, France, Italy, Spain, United Kingdom, all have the same bigger problem of expecting smaller and smaller working populations to support bigger and bigger non working populations.
In the long term, the level of wealth transfer in these countries is not sustainable, and each year it incentivizes those who produce to seek greener pastures where they get more rewards.
You could outgrow the problem, by increasing individual productivity or you can stop the wealth transfer. It will stop sooner or later anyway.
I made some comments elsewhere about the long term. It is delusional to think that it is possible to continually have jobs that pay significantly more than identical jobs elsewhere in the world.
Yes, but the two are related because increasing earned income tax and other taxes to fund non workers on people who do work sap the incentive to work in a manner that increases productivity (either via working more hours or working on hard problems).
Absolutely, definitely those two problems can only be solved together. Although right now I see very little effort going in that direction. If anything social benefits and taxes are increasing.
Germany's progressive tax system also directly incentivizes working fewer hours, as the more you work the smaller your hourly wage becomes.
I made some comments elsewhere about the long term. It is delusional to think that it is possible to continually have jobs that pay significantly more than identical jobs elsewhere in the world.