With the only caveat being to get that next contract.

Not that I'm disagreeing with you, it is the way to go. You just need the constant stream of work, which is easier said then done.

You can do similar in Europe as well. At least when I was there, many of my colleagues at Schneider Electric were contractors making decent money (even for US rates).

Actually being a contractor in a country with good social safety net is even better... as you're employment isn't responsible for healthcare benefits* , your options are much better.

* France has a public/private deal where you (or your employer) can pay extra for better service, but the baseline social safety net is quite ample.