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the progress made in fiscal consolidation and structural reforms
How is that going to support demand?
If we look for a country country in Europe which has done everything the IMF, ECB and Brussels wanted, it is Spain. How are things going there? Growth is anemic, unemployment is sky high.
If France does implement structural reform, we now that this means liberalizing the labor market. Without sufficient demand the first thing to happen is that people will get fired. Collapsing demand even further. When is this going to turn around? We are now 6 to 7 years into the crisis. Nobody can call the situation Spain a turnaround. One wonders when the magic 'long run' will be in which the supply side reforms will work.
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