France ready to erupt - average citizens have had enough

Yes sure but not to this extent. @Heartlander

@Heartlander I live in Belgium but have relatives in France, and this hasn't happened in the same circumstances since 1968, when mid-class citizens start shouting too.

What do hype hear? Will this result in a government overthrow? @VelvetDoll

@jackjjackson Macron declared yesterday that all small revenues will get 100€ additional net revenue starting January 2019. It's a start!

I’m not familiar with that currency or concept. Is it a tax break? What does it actually amount to? @VelvetDoll

@jackjjackson In Europe, we pay all taxes before getting our net salary. So, with Macron's decision, if you earn 1000€ per month now, you will earn 1100€ per month as from 1st of January 2019.

@VelvetDoll :

[quote]with Macron's decision, if you earn 1000€ per month now, you will earn 1100€ per month as from 1st of January 2019.[/quote]

So, where does the extra 100€ come from? Is the employer forced to pay it? From a government payout? It doesn't materialize on its own.

@Heartlander No charges at all to the employer either. So, I can only assume it will be provided by the government.

@VelvetDoll :

[quote]this hasn't happened in the same circumstances since 1968[/quote]

Yes, I remember the "Danny the Red" led movements of the 60's. I also remember the way the unions can bring France to its knees with sympathetic strikes.

@Heartlander I wasn't born yet, but that event is still impacting everyday's life in whole Europe!

That’s a 10% tax reduction? @VelvetDoll

I can’t imagine that the employers will like paying the 10% not even a little bit. @Heartlander

@jackjjackson It's a tax-free salary increase. And the example of 1000€ was just an example. If it's 1500€, then it would be a 7% salary increase, tax-free for the employee and for the employer.

Where does the money come from? Someone or something must be paying it? @VelvetDoll

@jackjjackson I'm pretty sure that, despite the national debts, the countries have some kind of financial provisions they dig in when they face particular financial issues. Like any other big company.

So the ten percent will come from a French government slush fund? @VelvetDoll

@jackjjackson If they promise they will do it, that means they will do it. Otherwise, heads will fall, like in 1789...

I don’t think France has a slush fund so it will add to deficit spending. @VelvetDoll

@jackjjackson I looked up the word "slush fund" and can also tell you that no European nation is able to hide illegal funds to the European auditors. However, all nations, like any big companies hold part of their budgets into provisions, just in case they would have to deal with exceptional situations.

Personally I would be shocked if the French government has funds on hand to pay for this. @VelvetDoll

@jackjjackson Then you would be shocked by many things we don't know, whatever the country is!

Well. It wasn’t a guess. The only country with more than it owes is China. @VelvetDoll

@jackjjackson @VelvetDoll There is no slush fund. There is no handing out of funds from the government. Unless I'm very much mistaken, it is a reduction of tax paid.

which would increase the French deficit. @room101

@jackjjackson I'm assuming that you mean it's budget deficit.

I've read a little more on the recent promises made by Macron. They include a whole raft of measures ranging from an increase in the minimum wage, eliminating tax on overtime and
to the €100 supplement mentioned by @VelvetDoll.

Obviously, this will have an impact on the fiscal budget of France. So how will this impact be managed? I've no idea.

Bottom line, in 2017 he did the same thing as trump ie he reduced tax on the wealthiest. He also cut public spending. That, along with his recent rise in fuel tax, is now severely biting him in the arse.