“The blind spot in the debates on public deficits is the anachronism of French management” | EUROtoday

Lhe debates on the discount of public deficits in France, which ought to quantity, in 2024, to greater than 5% of the annual gross home product (GDP), or round 150 billion euros, systematically concern will increase in taxes and/or reductions in public spending.

Without refraining from finding out extra aggressive taxation on earnings thought of speculative – for instance superprofits not serving funding -, or a discount in social expenditure thought of non-productive – for instance reimbursements of medicines to the questionable therapeutic effectiveness – it’s clear that selections on this space result in an deadlock.

On the one hand, in reality, France is already one of many developed nations with the very best obligatory taxes on the planet (48% of GDP). Did this stop public deficits? Obviously, no.

On the opposite hand, reductions in social spending would have a right away impact on consumption, and subsequently on the mutilation of our already very weak progress, to not point out the populist reactions that they secrete and which become an actual democratic poison. A preferable manner out of the deadlock would ask political leaders to look extra rigorously at how GDP is produced, from which public budgets derive most of their sources, by means of taxes.

By definition, a rustic’s GDP is the sum of the added worth created by its non-public firms and public organizations. However, analysis on the creation of added worth in organizations, akin to that of the multidisciplinary collective What will we learn about work?, demonstrates that firms and organizations in France endure from large leaks of added worth. This is because of a administration of human potential and a corporation of labor that continues to be too Taylorian (division of labor, standardization, and so forth.), within the non-public sector, and too Weberian (hierarchy, guidelines, procedures, and so forth.), within the public sector. .

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