Posts Tagged ‘France’
Frexit – France out of the EU?

France’s Le Pen Promises to Withdraw from EU and NATO if Elected — in an effort to make France great again.


  • French exposure in pictures. An FT Alphaville post showing why European sovereign defaults my come in clusters. It’s an interconnected world out there and this in part explains why French spreads at 21-year high.
  • Rising prices cutesy of increasing Chinese wages. Increasing wages in the workshop of the world could feed through to increased prices in the developed world. Together with any decrease in the value of Western currencies, this could signal the next stage in the global reset. A world in which the currently developed countries do not enjoy living standards vastly in excess of all others. Essentially real wage differentials revert to the mean, one in which citizens of civilised countries earn similar sums. The speed of change in Shanghai show how fast this can occur.
  • Brilliant graphic showing the odds of your existence. I am sure this shows up something fundamental about reality. As perhaps does the Ponzo illusion in its demonstration of how our mental heuristics can lead us astray. Our cognitive failings probably explains why so much of our world today is built on ponzi schemes, in Hyman Minsky‘s Financial Instability sense of the word.
  • I suspect Bank of America rakes in big debit-card fees from people withdrawing unemployment benefits is another government contracting fail. The beauty of capitalism is that it enables man’s inherent nature, including greed and the lust for power, to work for the good of all.  Government monopoly granting undermines this.
Indignez Vous!

A 93 year old publishes a book that is a runaway success in France:

Political essay by 93-year-old tops Christmas bestseller list in France: Hessel’s book argues that French people should re-embrace the values of the French resistance, which have been lost, which was driven by indignation, and French people need to get outraged again. “This is an appeal to citizens, young and old, to take responsibility for the things in our society that don’t work,” he said. “I wish every one of you to find your own reason for indignation. It’s precious.”

The ornery Frenchman needs to rise up. I think there will be a lot of that going on in the Western world, irrespective of the writings of Mr Hessel. But if they are driven by the same concerns as Hessel, then they will end up sorely disappointed with what they create:

Hessel’s reasons for personal outrage include the growing gap between the very rich and the very poor, France’s shocking treatment of its illegal immigrants, the need to re-establish a free press, protecting the environment, the plight of Palestinians and the importance of protecting the French welfare system. He calls for peaceful and non-violent insurrection.

Socialisms time in the sun may not be done, but France and the rest of the West needs to live within their means. This means creating more means or reducing expenditures. If you want a generous welfare system then you somehow have to keep people creating more means. Easier said than done.