As for innovation, that's relative. Europe, for centuries, was the undisputed worldwide leader in innovation, now that has shifted a bit to the USA and seems to be on its way to shift to China or maybe India in the next few decades.
There's also the problem that Europe can't really focus on organizing itself in a self-sufficient manner because there's still separatists bitching about everything and always screaming for separation instead of forcing governments to address issues, and the impending rise of fascism in east-europe that may or may not become a huge deal for the rest of the 2020es. The USA has this problem as well, but to a far lesser degree.