Countering inflation and rising energy prices, financing “whatever the cost” in the face of Covid-19, supporting the green transition… Paris is spending all costs. And would like to lift the European brakes in this area, worries this German newspaper.
For nearly 6 million French people, the distribution of gifts began long before Christmas Day. As the government promised in the fall, it paid them an “energy check” of 100 euros, to compensate for the rise in energy prices. The beneficiaries are low-income households. In addition, there is an “inflation premium” of 100 euros. This should also mitigate the effects of price increases and will for its part bail out the accounts of 38 million French people. That is to say all those who earn less than 2000 euros net per month. Namely more than half of the population.
We can hardly blame President Emmanuel Macron. Inflation is a plague for citizens, they have an appointment at the polls in April and, according to the latest polls, the loss of purchasing power is the first concern of the French – before security, immigration and even unemployment. In such a situation, any president would have given them a boost, all the more so after the “yellow vests” movement.
Money is flowing
Except that: you don’t have to be a mathematician to realize that these two aids represent additional expenses of several billion euros. France tends to loosen the purse strings a little too much. Paris has in fact given the impression that money is flowing for months. The economy is booming again and, since this summer, it has returned to its pre-Covid levels. The time is therefore no longer for crisis management and an expansionary fiscal policy.
The government alleges that this tense situation, between Covid-19 and inflation, justifies extraordinary expenses. It is for this reason that it froze the prices of gas and electricity. Those
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Niklas Záboji
Source
Founded in 1949 and led by a team of five directors, the DOES, a large conservative and liberal daily, is a reference tool in German business and intellectual circles. Over 300 editors and 40 correspondents at
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