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Alain Lambert, former Budget Minister:

transfers or public spending create no supplementary wealth... They are financed by a levy on the most productive, whose cost prices rise... With risk of job outsourcing...

Econ blogger Bouba-Olga:


  1. Vital innovation feeds on R&D investment and highly-qualified labour (human capital)... Public spending on education and R&D is doubtless therefore wealth-creating...

  2. Competitivity of enterprises depends to a large extent on the environment they find in the country, (labour skills, research labs, communications and transport infrastructure, framework of everyday life [eg public health], etc)... Public spending can bring company costs down if they provide positive externalities for which enterprises don't pay the full price...

  3. Outsourcing? Or Direct Foreign Investment, which continues to be very high into France? France is highly competitive re company costs, see report by KPMG...
by afew (afew(a in a circle)eurotrib_dot_com) on Tue Aug 29th, 2006 at 03:35:31 PM EST
[ Parent ]
"if they provide" = "if it provides"...
by afew (afew(a in a circle)eurotrib_dot_com) on Tue Aug 29th, 2006 at 03:37:26 PM EST
[ Parent ]
This seems to be the 'If I personally haven't got it to spend, it doesn't exist' school of economic theory.

It's not so much autistic as narcissistic.

by ThatBritGuy (thatbritguy (at) googlemail.com) on Tue Aug 29th, 2006 at 06:23:52 PM EST
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