The European dream is under assault, as the wave of inflation sweeping the globe mixes with this continent’s long-stagnant wages. Families that once enjoyed Europe’s vaunted quality of life are pinching pennies to buy necessities, and cutting back on extras like movies and vacations abroad.

Potentially more disturbing — especially to the political and social order — are the millions across the continent grappling with the realization that they may have lives worse, not better, than their parents.

Since 1999, prices have risen 22.5 percent in the 27 member states of the European Union, and 18.8 percent in the 15 countries that use the euro. Much of the declining purchasing power of European workers can be traced to those numbers, and to policy decisions and economic developments over the last decade when globalization began to reshape Europe and the world.

[Read](http://www.nytimes.com/2008/05/01/business/worldbusiness/01middle.html?_r=1&partner=rssnyt&emc=rss&oref=slogin “Read the Article”) (New York Times)