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‘Fantasy economics’ hit reality: Boomer vs. Gen Z fight roils France as pension costs drive debt crisis and education cuts that fuel student riots
"Thus the fiscal pressure caused largely by France’s very generous government pension plan has led to cutbacks in other spending, notably on education."
Bond market turmoil and the simultaneous mass student protests at French schools are not a coincidence and point to the generational tradeoffs made in government spending, according to Nobel laureate Paul Krugman. In a Substack post on Thursday, the economics professor at the City University of New York’s Graduate Center acknowledged that the high debt and deficits driving up French bond yields lately are not unique to the…
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