But to bring out a law dating back to 1955 means sending the kids in the banlieues an incredibly violent message: 50 years later, France will treat them like their grandparents. The prime minister should remember that this spiral of misunderstanding, nervous toughness and powerlessness had led our Republic to dire consequences.

Dire consequences indeed: the Algerian crisis precipitated the end of the 4th Republic:

The instability and ineffectiveness problems of the Fourth Republic came to a head in 1958, when the current government suggested that it would negotiate with the Algerian nationalists. Right-wing elements in the French Army, led by General Jacques Massu seized power in Algiers and threatened to conduct a parachute assault on Paris unless Charles de Gaulle, the WWII hero, was placed in charge of the Republic. De Gaulle did so under the precondition that a new constitution would be introduced creating a powerful presidency. These changes were introduced and the Fifth Republic was born.

When a government cracks down on a protest by a significant part of the population (what fraction of the French population are Banlieu youths? And, more importantly, what fraction is sympathetic to their plight even if disapproving of the riots?) it can cause a crisis of legitimacy. I hope de Villepin knows what he's doing, but apparently even Le Monde does hot think he does.

A society committed to the notion that government is always bad will have bad government. And it doesn't have to be that way. — Paul Krugman

The current events are hard to grasp. There are no claims, even less of a political discourse: any incident can lead to the worst consequences. The twin "toughness- fairness" goals stated by Sarkozy (the first applied with measure, the second requiring to be made credible by long term programmes) can legitimately bring the country together. That mayors, locally, also decide to set a curfew is also understandable.

I seem to remember that Sarkozy made some pretty inflammatory statements in the past few days? How is it that this editorial now says that Sarkozy is the moderate trying to bring the country together?

Didn´t you say something about "local police stations" discontinued under Sarkozy?
Moreover, did Sarkozy make any suggestions to deal with the situation without invoking a state of emergency?
If not, then he is as responsible as Villepin....

Featured on the front page of the FT this morning:

De Villepin attacked for imposing riot law

Dominique de Villepin, France's prime minister, was accused on Tuesday of losing his sang-froid after resorting to a state of emergency to quell riots that have set the suburbs of France's biggest cities alight during the past 12 days.

(...)

Le Monde, the newspaper of France's political elite, accused the prime minister of sending a message of "staggering brutality" to the youth of the suburbs, who are for the most part children and grandchildren of African immigrants.

By invoking a law created in 1955 to put down unrest during the Algerian war of independence, Le Monde said, Mr de Villepin had "lost his sang-froid" and was sending the message that "France intends to treat them [the French-born children of immigrants] as it did their grandparents. The prime minister should remember that this spiral of incomprehension, of martial fever and powerlessness has driven the republic to its worst setbacks".

(...)

While France's political parties support the government's decision to impose a state of emergency to restore order - albeit with some reservations - a number of deputies and mayors said on Tuesday they would refuse to implement the measures.

André Labarrère, a Socialist senator and mayor of the south-western city of Pau, said he was "totally opposed" to the state of emergency. "It is a form of discrimination that will be very badly received."

Jean-Marc Ayrault president of the Socialist party, said the opposition was prepared to accept the measures because of the urgent need to restore order. However, he warned against using the state of emergency, which will be in place for the next 12 days, as a smokescreen to cover up deeper social problems. It was "first and foremost a social state of emergency", he said. "The young people in revolt are the lost children of a liberal society."

In the long run, we're all dead. John Maynard Keynes