Crisis based on François de Closets (2012)
From Military Battles to Economic Wars
In the autumn of 2009, Greece faced a decisive choice: rigor or economic stimulus. Seventy years earlier, nations were torn apart by military conflict. Today, the battlefield has shifted — from military to economic. Since 2007, the world has been confronted with the most severe crisis in half a century, perhaps in the entire industrial age.
And yet, in France, the impact seemed muted. Beyond the additional one million unemployed, most citizens hardly felt the shock. Standards of living were preserved, the welfare state continued to provide benefits, and social rights remained untouched. The storm was global, but its tremors were strangely cushioned in the French model.
Social Fraud vs. Tax Fraud: A Double Blind Spot
Tax fraud is relatively well documented — estimated around €50 billion — and consistently fought, even if not eradicated. Social fraud, however, remains a foggy and polarizing subject.
For the liberal right, it is immense, almost a national scourge.
For the socialist left, it is marginal at best, an exaggerated problem used for political gain.
A 2011 parliamentary mission estimated undeclared work (“moonlighting”) at about €15 billion. Far from insignificant, but still far from the fantasies that circulate.
Meanwhile, tax cuts and hidden privileges distort perception. In a melting pot of €150 billion in reduced taxes, each group imagines others benefiting disproportionately. In truth, nearly everyone benefits — sometimes unknowingly.
Inequality: The Silent Divider
Income disparities tell their own story:
1% of the French population receives an average of €84,500 per year.
0.01% — 5,800 households — enjoy annual incomes exceeding €1.2 million.
Meanwhile, the vast majority, the “90%” who are neither poor nor elite, have seen their share of national income stagnate (INSEE 2010, data from 2004–2007).
Behind the veil of equality lies a creeping imbalance that fuels resentment and social division.
France and Germany: Diverging Paths
In 2003, Germany launched its battle for competitiveness — a polite term for wage moderation, labor flexibility, and growing precariousness. France, by contrast, took the opposite road: the 35-hour workweek, new civil servants, a rising minimum wage, and public spending to support consumption.
For a time, this strategy seemed sustainable, especially when French labor costs were lower. But within a decade, Germany gained the upper hand. France accumulated a €100 billion trade deficit in bilateral exchanges. Today, the challenge is not China, but Germany — with deficits of €20 billion and €16 billion respectively.
The Weakness of Social Dialogue
France suffers from a fragile culture of negotiation. Employers refuse concessions for fear of losing competitiveness. Unions reject compromise for fear of being deceived. Locked in rigidity, both sides paralyze reform.
In an era of globalized competition, such immobility is not simply inefficient — it is deadly.
Governments, too, have lost the right to be unpopular. They can only add — more spending, more rights, more promises — but never subtract, never reform in reverse.
The Temptation of Rupture
Is it surprising, then, that a disillusioned people feel tempted by rupture? Calls to reject Europe, abandon the euro, close borders, and return to a mythical “yesterday’s France” grow louder. Citizens yearn for an all-risk insurance policy against the uncertainties of the future — a protection only the state could provide.
The indignation is justified, but the response is often reactionary rather than proactive. Instead of rebuilding, many cling desperately to preservation.
Rights, Aspirations, and the Welfare State
Every human need is legitimate. Yet in modern societies, aspirations quickly transform into rights: the right to safety, work, leisure, education, health, children, and more.
With the welfare state, “the right of” becomes “the right to.” Industrial societies lock themselves into this trap, constantly creating hopes they cannot fully satisfy.
Extreme cases expose these contradictions. For decades, dockworkers’ unions blocked French ports, jeopardizing thousands of jobs. In 2011, the Court of Auditors revealed that crane operators in Marseille earned €4,000 net per month for only 13 hours of effective work per week. Such privileges highlight the imbalances and erode social cohesion.
France’s Dilemma
France has never truly found a user manual for the market economy under globalization. And perhaps it is no surprise: how can a nation master a game when it refuses to accept its rules?
When the storm of globalization intensifies, the reflex is often to reject capitalism itself. But then comes the unavoidable question: what is the alternative?
Neither the traditional right nor the conventional left offers convincing solutions. The answer must come from a pragmatic approach, not an ideological one.
One Shared Destiny
Ultimately, France — and the world — face the same reality: we are all in the same boat. In times of crisis, denial and rigidity are dangerous luxuries. What is needed is a willingness to adapt, to innovate, and to rebuild without illusions, but with determination.
The deadline is here. The choice is ours.
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