France's debt out of control

The Sunday Business Post ^ | 18 December 2005 | Thomas Hubert

[george76]

France's public debt is spiralling out of control, according to a report commissioned by the French government...

The debt stands at €1,117 billion, representing 66 per cent of France's GDP ...

The staggering figure encompasses the debt accumulated by the state and local authorities, as well as social and health insurance bodies, over the past few decades.

However, it does not include the upcoming time bomb of civil servants' pensions.

Over the past ten years, the French debt has increased its claim against GDP by over 10 percentage points.

France saw the worst debt evolution among the then 15 EU member states, while Ireland proved the best at reducing public debt.

The Pébereau report states that, if nothing changes, French debt will be four times the country's GDP by 2050.

French prime minister Dominique de Villepin, who received Pébereau's report last Wednesday...

said: “France spends too much ...

[Lancey Howard]

However, it does not include the upcoming time bomb of civil servants' pensions.

Ah well.... they can always just raise taxes.
That's always been the answer of America's secular socialists, the Democrats.

[Sloth]

I don't think that question mark was a dollar sign.

Hmmm, it's not a question mark on my screen. Maybe your browser is set up w/ a font that doesn't have a Euro symbol?

[gathersnomoss]

"The debt stands at €1,117 billion, representing 66 per cent of France's GDP ... "

Whoa Nellie. Socialism ain't cheap. Eat that liberals.

[Reeses]

What is ours?

About the same. To put this in personal terms, a worker that makes $50,000 per year and has $33,0000 left on their mortgage would have a debt of 66% of their domestic product.

[Reeses]

$33,000 mortgage I meant.

[hermgem]

The French formula:
Accept new members into the European Community, keep new and poor members at their originally agreed upon annual deficit, but then spread total debt of all countries equally throughout Euroland.
France is not productive and grossly, grossly overspends without generating economic growth.
There is a reason why gold prices keep leapfrogging.
France is sucking oxygen out of the performing world's economies.

[oldbrowser]

The debt stands at €1,117 billion, representing 66 per cent of France's GDP ...

The USA debt in 2004 was 65% of GDP.

[Lancey Howard]

In his conclusions, Pébereau criticises successive governments - both right and leftwing

???
Excuse me? He's blaming Napoleon?

[beaver fever]

Sloth, your going to get in trouble for that one.

Debt is only bad when the bank says no.

My brother in law was over extended. He owned a house,an island lot and a boat.

He also quite his job to start up his own business which he borrowed money to get going.

The bank kept giving him credit until he sold the boat which the bank was not interested in foreclosing on since boat sales in his town were flat.

Once the boat was sold they foreclosed on everything and forced him into bankruptcy.

Banks and creditor nations foreclose when it's in their advantage not your convience.

[Personal Responsibility]

Why is this even news? Logic says it can't be any other way.

They don't produce anything, they hardly work. If the government is footing the bill for all of their programs, like that wonderful universal healthcare, it has to come from taxes, tariffs, aid etc... If those are not enough to cover the programs either some programs have to be cut or the government has to go into defecit spending.

Since there is more going out via programs and entitlements than there is coming in, it is restating the obvious to say their books are in the red.

Any other country that follows their model will also suffer their fate. It's inescapable.

[satchmodog9]

Look at what it costs here.

[CAWats]

It's so annoying that all the packages in the stores have french translations. Does anyone know how this got started? I mean how many people speak only french?

[beaver fever]

Sloth, your going to get in trouble for that one.

Debt is only bad when the bank says no.

My brother in law was over extended. He owned a house,an island lot and a boat.

He also quite his job to start up his own business which he borrowed money to get going.

The bank kept giving him credit until he sold the boat which the bank was not interested in foreclosing on since boat sales in his town were flat.

Once the boat was sold they foreclosed on everything and forced him into bankruptcy.

Banks and creditor nations foreclose when it's in their advantage not your convenience.

[Travis McGee]

Banks and creditor nations foreclose when it's in their advantage not your convience.

Thank God the Chinese love us, and will always indulge us.

[beaver fever]

Well as we all know love is a fickle thing.

BTW the Chinese and Japanese are converting their dollar reserves into gold which is driving the latest gold spike.

Unlike Banks, countries generally give you a heads up as to their intensions.

[F.J. Mitchell]

Not to worry. The US tax-payers will bail their prissy asses out. What are snubbed,disdained and pissed on old friends for, anyway?

[old republic]

Sounds like France has been as fiscally responsible as the US. We should be very concerned about the Chinese and Japanese turning their reserves into gold. It threatens to destabilize the dollar and it could be destructive to the US economy. Spikes in gold are often times an ominous sign.

[Rocky]

Love that graphic!

[Savage Beast]

"if nothing changes, French debt will be four times the country's GDP by 2050."

Prepare to pick up some bargains.

[Savage Beast]

“we must take the matter into our own hands.”

Uh...that's the problem, Dominique...you already did.

MESSAGE TO THE PEOPLE OF LA BELLE FRANCE: Try this for a solution: (1) Can Villepin, Chirac, et al. (2) Abandon Marxism. (3) Establish capitalism. (4) Follow the leadership of George W. Bush.