Part 11/12:
Tax Increases: Already among the highest in the world, taxes will likely increase further, impacting individuals and businesses.
Cutting Social Programs: France’s extensive social safety net—including healthcare, unemployment benefits, and family assistance—might be scaled back to save money.
These measures are politically painful and could lead to social unrest, but they are arguably unavoidable if France is to avoid outright default.
The Broader Warning: Relying on Governments Is a Risk
The lesson extends beyond France. Governments worldwide face similar issues—high debt, aging populations, declining productivity—and often resort to raising taxes, cutting services, or defaulting. Relying on government intervention or bailouts is a dangerous strategy.