ABSTRACT

Although the European Union has all the resources to be a leader in the modern global economy, in recent years it has lagged the United States and China in cutting-edge technologies and new, fast-growing industrial sectors. The main reason for this result is the growing lack of innovation in the European economy. Europe is failing to turn its ideas into new, marketable technologies and to integrate these technologies into its industrial base. The analysis of the existing problems shows that innovation must be at the heart of European revival, while removing other constraints that hinder growth. Addressing these problems and reforming the European economy means enabling innovative companies to operate under a single, harmonized set of rules within the European market, rather than having to deal with 27 different legal regimes. In this respect, the European Commission is expected to propose the creation, adoption and implementation of a 28th legal regime that will simplify the applicable rules and reduce the costs of failure, including in areas such as company law, insolvency, labor and tax law. The present scientific paper examines the characteristics of the new concept of the European regulatory regime for the economy and its most important aspects. Focus is given to the process of building the new legal framework, the integration of European capital markets and the optimization of tax legislation. In conclusion, recommendations are provided regarding the necessary legal, organizational and institutional measures for the successful preparation of the implementation of the 28^th regulatory regime in Bulgaria.