Hours after he won the economics Nobel Prize, [Jean] Tirole said he felt “sad” the French economy was experiencing difficulties…
France is plagued by record unemployment and Tirole described the French job market as “catastrophic”…arguing that the excessive protection for employees had frozen the country’s job market.
“We haven’t succeeded also in downsizing the state, which is an issue because we have a social model that I approve of – I’m very much in favour of this social model – but it won’t be sustainable if the state is too big,” he added…there will not be “enough money to pay for it in the long run”.
He doesn’t quite make the connection, that a social model which is unsustainable (his notion) is not any sort of model that any economist should “approve” of.
But for awhile there, he almost made sense.