What was Europe's economy after mercantilism?

After mercantilism, Europe later became dominated my what is termed a social market economy. With the advent of the EU and pressure from the u.s. and Asian power rising, this system is being tempered (says the optimist) or dismantled (says the cynic) by free-market capitalism. This is most evident in France where large-scale reforms in social security schemes are underway in an effort to maintain economic solubility.