So when do Americans get a chance to vote for someone like this?
Wait until you see what happens at France's next bond auction!
I thought the greatest implications weren't about France at all, but instead about the Eurozone - growth versus austerity.
Though, I have to wonder how quickly financial powers will come-together to make the road very, very rocky for the new government? Having a socialist running a major western nation at a time of "necessary" austerity cannot be allowed to stand.
Many people are already referencing the US, where stimulus—Keynesianism?!—has helped their economy grow faster than ours.
I don't get some of the criticism of Obama. Clearly he does want to increase taxes on the very rich. Congress makes the tax laws.
The main worry is that this will upset the current Euro support plans, destroy the single currency, and lead to absolute financial chaos. Which is not good for anyone, no matter how it might cheer some on the left and the right.
If so many people are for a more progressive tax system, why did they vote all these extreme right-wing republicans into congress?
While a lot of blame can be laid at Obama's feet as a bad negotiator, the much more important difference between the US situation and Hollande's proposals is that their democratic system, like that in most of the developed world (apart from the US and a couple others), actually allows the winners to implement their party's platform.
With Greece the main entry-point for illegal migrants into Europe, thousands of migrants unable to cross to other EU states due to legal constraints have created urban ghettos in Athens, Patras and other cities.
If your only econ education comes via internet forums, you might think that there are two "schools" of economics, "Austrian" and "Keynesian". In truth, "Keynesian" is not really a "school", it's what fringe economists accuse mainstream economists of being.
John Maynard Keynes contributed a lot of ideas to econ, but the big one that sticks in the craw of so-called "Austrian" or "classical" economists is the notion that government deficit-spending can boost economic activity. This is absolutely, 100%, uncontested mainstream economics-- no fortune 1,000 company would ever hire a senior economist who did not believe that government spending could impact economic growth. There is no "school of thought" dispute on this point: right or wrong, what Austrians call "Keynesian" is mainstream, and everything else is fringe or heterodox. Economists do not call themselves "keynesian economists" any more than physicists call themselves "Eisenstein" physicists. That's something you get accused of being, by people who want to imply a sense of parity with non-mainstream ideas.
If you only know econ from internet debates, you might think that "Keynesian" is some kind of liberal theory of social justice or something, but it's not. It's a baked-in-the-cake component of mainstream economics that says that governments have the ability to stimulate economic growth through spending.
Without taking a position on the rightness or wrongness, it is fair to say that "keynsian" is mainstream econ, and those who reject it run the gamut from heterodox to "fringe".
"The time for fear has come," saysNikolaos Michaloliakos, leader of the far-right Golden Dawn in Greece. The far right has been advancing in several European nations.
As a practical matter, this election is probably bad news for Obama. Not only does it set up the argument for the GOP that Obama is just like that new French Socialist president, it also is likely to destabilize the stock market along with much of the global economy.
For Chancellor, Torturous Months Lie Ahead
Oh, and here I was starting to think he was French and not just another European. I guess the taxation and services will be nice for the native born, I guess.
One bizarre sidebar to yesterday’s elections is the phenomenon of voters turning out to post a "vote blanc" or informal vote. Where voting is not compulsory, why bother?
In yet another quirk of Gallic democracy, this is a right taken very seriously indeed. In the village near Nimes where I watched the sacred ceremony of the formal count -- along with 10% of the village’s population -- the votes blancs were 11% of all votes cast. What message does this send? And to whom?
"It is a message to whoever wins," explained one citoyen. "We are not happy with you, nor with your opponent. But we are still voting, and we will vote again next time."
You'll note that there is also a good deal of discussion in this thread about how Hollande's election and stated policies will affect Greece and Germany, as well as the entire EU.
it also is likely to destabilize the stock market along with much of the global economy. -- Muddler
How about major fluctuations?
Because moving off the euro won't do that, but rather lead to a wider meltdown. Even Krugman gets that nowadays.
The French are revolting. The Greeks, too. And it’s about time.
One answer — an answer that makes more sense than almost anyone in Europe is willing to admit — would be to break up the euro, Europe’s common currency. Europe wouldn’t be in this fix if Greece still had its drachma, Spain its peseta, Ireland its punt, and so on, because Greece and Spain would have what they now lack: a quick way to restore cost-competitiveness and boost exports, namely devaluation.
As a counterpoint to Ireland’s sad story, consider the case of Iceland, which was ground zero for the financial crisis but was able to respond by devaluing its currency, the krona (and also had the courage to let its banks fail and default on their debts). Sure enough, Iceland is experiencing the recovery Ireland was supposed to have, but hasn’t.
He goes on to say that stimulus in other countries, rather then Austerity would be a better way to deal with the problem.
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