Interview: The Wrong Answer; Charlie McGreevy says Europe must dump the status quo, or doom future generations.(Cover story)

Byline: Rana Foroohar

Protectionism is undermining Europe's future, says EU Internal Market Commissioner Charlie McCreevy, and Brussels needs to stop it. Last week McCreevy ordered the French government to explain its role in the merger of state-owned Gaz de France and the private utility Suez (which was widely seen as a move to block an Italian bid for Suez). The free marketer and former Finance minister of Ireland discussed Europe's globalization fears with NEWSWEEK's Rana Foroohar. Excerpts:

RF: Is protectionism shaking the foundations of the EU? CM: Over a year ago, I said there was a protectionist wind blowing across Europe. And this is before there were any of these specific cases. There's been low economic growth for a number of years. That has resulted in higher unemployment, greater pressure on the public finances and people have been insecure. Therefore, many people in Europe believe that by keeping things as they are and keeping up the barriers, you're going to protect your citizens. All evidence would suggest to me that this is the wrong policy prescription. It slackens ...