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European Politico-economics QA Mega-thread - Page 1260

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Although this thread does not function under the same strict guidelines as the USPMT, it is still a general practice on TL to provide a source with an explanation on why it is relevant and what purpose it adds to the discussion. Failure to do so will result in a mod action.
xM(Z
Profile Joined November 2006
Romania5281 Posts
Last Edited: 2019-11-15 13:27:33
November 15 2019 13:26 GMT
#25181
i'd go with conspiracy theories ... (then double down on climate change amendments, obviously)
And my fury stands ready. I bring all your plans to nought. My bleak heart beats steady. 'Tis you whom I have sought.
TheDwf
Profile Joined November 2011
France19747 Posts
December 12 2019 19:39 GMT
#25182
A major social conflict is ongoing in France concerning pensions. The government wants to change our system to a points-based system and more or less increase the retirement age (it's 62 years currently, they want 64 for the full pension, even if you'll still be able to retire at 62 with a malus). The pension will also be calculated on the whole career instead of the 25 best years (private) or the 6 last months (public). Basically they want people to work longer for lower pensions. They also want to suppress special regimes which are advantageous for a few professions, notably in the transports.

There was a big day of strike and demonstrations last week, the 5/12. It had been prepared for at least 2 months. It was a grassroots movement, initially coming from the workers of the transport sector (train, metro) who will lose much with the new reform. Between 806 000 (according to the Interior) and 1.5 million (according to unions) people demonstrated against the reform. The strike rate was very high at the SNCF (train company), the RATP (metro in Paris), among the teachers (who are expected to lose hundreds of euros per month with the new system), at EDF (electricity company), etc. That was the biggest start for a social movement for decades, and it was the first time since 2010 that there were that many people in the streets. The demonstrations were particularly crowded in small and medium-sized towns. A successful show of force from the unions, which did not win anything on a national level since 2006.

The Prime minister said that he would make announcements about the reform on the 11/12 (yesterday). A new day of strike and demonstrations gathered between 339 000 and ~900 000 people the day before.

The Prime minister confirmed the main axis of the reform and managed to anger even the most compliant trade unions. Now every union is calling for a day of demonstration the 17/12. It should be big. This is the first time since 2010 (when Sarkozy increased the retirement age from 60 to 62) that there is a relative unity in the ranks of unions, even if it should quickly shatter when the governement makes concessions.

Public transports in Paris' region and trains in the whole country have been heavily disrupted for a week. The activity in ports and refineries is also disrupted by strikes and/or blockades. This should be the beginning of a harsh and long conflict.
opisska
Profile Blog Joined February 2011
Poland8852 Posts
December 12 2019 19:46 GMT
#25183
My very good friends, who are both very socially-minded in politics are moving to Paris in a few weeks. I am looking forward to observing how long their beliefs hold when faced with the daily inconvenience of the strike culture in France
"Jeez, that's far from ideal." - Serral, the king of mild trashtalk
TL+ Member
Nyxisto
Profile Joined August 2010
Germany6287 Posts
December 12 2019 22:55 GMT
#25184
The point-based system that the government seems to propose seems significantly fairer for everyone because it's based on how much people contribute. This just looks like rent-seeking behaviour on part of the unions who don't want to give up their privileged conditions.

Also, the retiring age seems absurdly low given that increasing life expectancy, demographic shift, and better elderly care all increase the cost of the system. Seems completely unsustainable in the long term unless either cost is cut, working-age is increased or payment is increased, none of which I assume the protesters will agree too.
stilt
Profile Joined October 2012
France2749 Posts
Last Edited: 2019-12-13 01:40:58
December 13 2019 01:20 GMT
#25185
On December 13 2019 07:55 Nyxisto wrote:
The point-based system that the government seems to propose seems significantly fairer for everyone because it's based on how much people contribute. This just looks like rent-seeking behaviour on part of the unions who don't want to give up their privileged conditions.

Also, the retiring age seems absurdly low given that increasing life expectancy, demographic shift, and better elderly care all increase the cost of the system. Seems completely unsustainable in the long term unless either cost is cut, working-age is increased or payment is increased, none of which I assume the protesters will agree too.


How can someone seriously think like this ? It's hard to believe in your good faith because it seems so cynical to me.
My pension should lose around 5-600 euros which would make me approximatively at 1300 euros, I better not have grandchildren that's for sure, traveling should be proscrit too.
I suppose "everyone" concern only the people of your social statut, well, that's clearly not a majority.

Btw, what do you make Nixysto ? Not that I am really interested, that's more a rhetorical question anyway because I am pretty sure it's way more than I gonna make on my whole life.
It's weird because for the bourgeoisie, anyone who is above the minimum salary wage is obviously a privileged like ... themselves, no matter what the gap is. What a strange confusion in a time where the inequalities are skyrocketting and the middle classes are suffering.

As for your liberal argument which is trying to explain why a large chunk of people should be impoverished (while your dear Singapor traders will do billions on the back of the whole planet, why on earth it's always the richest who are asking to others a sacrifice ? This dear Bernard Arnaud could spare us a few billions euros while not suffering anything on it while millions on people will actually suffer from this reform)... Anyway, thanks to the policies you support, France has a decreasing healthcare, closed or overcrownded hospitals (cuz saving lives actually cost too much, we're becoming like in USA/England, someone with a cancer has to ask for charity if he lacks money. What a barbaric model it is), the life expenctancy is nowadays heavely depending of your social statut, in France, that's 13 years for the men if you take the 5% richer and poorest. I didn't find much stuffs about the difference between the city and the countryside but in some region it must be ugly.

So if I apply your logic, the retiring age should be rised only for the richest as they are the ones who live the longest, I am not opposed to it for sure, their jobs are not hards anyway. Sadly I am pretty sure you will stop being so reasonnable and tempered if such wise measures were adopted because "it wouldn't be fair".

Oh btw, here is an article about Jean-Paul Delevoye, the High commissioner to Pensions, this dear man is one of the artisan of this reform nominated by Macron and guess what ? He assumed his function while working for a group specialized in insurrance formation and payed by their think tank. https://www.lemonde.fr/politique/article/2019/12/12/cumul-des-postes-jean-paul-delevoye-s-engage-a-rembourser-les-sommes-percues-depuis-2017_6022648_823448.html

Not that I am surprised, a liberal governement is nothing but a clusterfuck of lobbyism and conflict of interests in which the words "virtue" and "public good" are insulting.
He was paid around 3 times what I currently gain just for being part of this. No shame at all.
Nyxisto
Profile Joined August 2010
Germany6287 Posts
Last Edited: 2019-12-13 03:02:37
December 13 2019 03:01 GMT
#25186

Btw, what do you make Nixysto ? Not that I am really interested, that's more a rhetorical question anyway because I am pretty sure it's way more than I gonna make on my whole life.
It's weird because for the bourgeoisie, anyone who is above the minimum salary wage is obviously a privileged like ... themselves, no matter what the gap is. What a strange confusion in a time where the inequalities are skyrocketting and the middle classes are suffering.


I make an upper middle class salary but I had the same political opinions when I lived on 750 bucks in uni, so that has nothing to do with it.

As for your liberal argument which is trying to explain why a large chunk of people should be impoverished (while your dear Singapor traders will do billions on the back of the whole planet, why on earth it's always the richest who are asking to others a sacrifice ?


I don't want people to be impoverished at all. That is some seriously bad faith. I'm actually very interested in getting as many people as possible as good a pension as possible, but the system also needs to be equitable and have the right incentives.

People who contribute most to the pension system and are willing to work longer and pay more into the system than they take out ought to be rewarded. There is no reason why every store clerk, cleaning lady, every single mother who works part-time and or any gig worker should be treated worse than a rail union worker just because the transport worker threatens to shut the public transport system down as they see fit.

There is no reason at all to privilege people in certain industries over the general population, that is the basis of the argument for a point system and against this strike culture which hurts the economy, shuts down vital infrastructure, and undermines the political process by force. There is really no excuse for it or to even treat it as some issue of economic justice.

The move towards a point-based system isn't going to impoverish more people, it's going to be fairer for more people, namely every individual worker who is not part of this vocal minority of organised employees.

And yes there's nuance to it. People who work hard physically obviously should be able to enter retirement earlier than a white-collar worker. Teachers receive too little compensation in general and education is undervalued. Poverty needs to be alleviated.

But this largely fake woke attitude in defense of organisations who disrupt day to day life to largely safeguard cushy jobs is not the way at all.
PoulsenB
Profile Joined June 2011
Poland7710 Posts
December 13 2019 09:09 GMT
#25187
Just FYI Nyxisto, $750 is almost twice as much as current minimum monthly wage in Poland, it would be a very decent salary for many people here. I know the discussion is about France, just putting things into perspective a bit
IdrA fan forever <3 || the clueless one || Marci must be protected at all costs
Harris1st
Profile Blog Joined May 2010
Germany6889 Posts
December 13 2019 12:20 GMT
#25188
On December 13 2019 18:09 PoulsenB wrote:
Just FYI Nyxisto, $750 is almost twice as much as current minimum monthly wage in Poland, it would be a very decent salary for many people here. I know the discussion is about France, just putting things into perspective a bit


Hard to compare really. Rent, food, water, electricity, ... is waaaay more expensive in countries like France, Germany, UK ,..

The only real way to compare IMO is % based. Like 20% from salary for rent, 25% food,...

To the discussion at hand:
There are a lot of valid points made by Nyxisto
Most countries in Europe already have retirement age of 65+ thanks to the demographic changes

I don't really know the system in place right now in France but it sounds horribly unfair. A point system seems way fairer.

I can't really follow your live expectancy example. It is a measured in average after all. And the average is slowly rising.

Obviously the pension payout needs to be capped at some point so the "rich" pay somewhat for the pension of the "poor" as well with this system. And they probably don't need it anyway.

To put in perspective: This is just my opinion on stuff I heard in the media. I don't really have any deeper knowledge
Go Serral! GG EZ for Ence. Flashbang dance FTW
TheDwf
Profile Joined November 2011
France19747 Posts
December 13 2019 12:39 GMT
#25189
France has one of the best pension systems in the world. It works, though of course it comes with a certain cost. That's why neoliberals want to destroy it.

[image loading]
arbiter_md
Profile Joined February 2008
Moldova1219 Posts
December 13 2019 12:41 GMT
#25190
France was always one of the more socialistic countries of Europe. And socialism is just not going to work in this globalized world. The money will always move to places that are safe and can multiply better. France is a safe place for money, but the more socialistic they are the less investments they will get. Which means the less growth for economy.

So far, I see Macron as a good president, at least for the country's economy. He will probably not get re-elected, but the measures he is taking will at least allow the country to get through the next populist they will elect.

It's obvious that 62 retirement age cannot work, and must be increased. The faster, the better for the future generations. And it's obvious that it's fairer to give the pension benefit based on the whole contribution that you've made to the system. And of course there will be plenty of people that will oppose the change, because they see only their own personal loss.
The copyright of this post belongs solely to me. Nobody else, not teamliquid, not greetech and not even blizzard have any share of this copyright. You can copy, distribute, use in commercial purposes the content of this post or parts of it freely.
farvacola
Profile Blog Joined January 2011
United States18824 Posts
December 13 2019 14:13 GMT
#25191
None of those things are obvious whatsoever, they are loaded conclusions based on ideals that are not shared by anywhere close to a majority.
"when the Dead Kennedys found out they had skinhead fans, they literally wrote a song titled 'Nazi Punks Fuck Off'"
Nyxisto
Profile Joined August 2010
Germany6287 Posts
December 13 2019 20:27 GMT
#25192
On December 13 2019 21:39 TheDwf wrote:
France has one of the best pension systems in the world. It works, though of course it comes with a certain cost. That's why neoliberals want to destroy it.


There are plenty of structural differences between multiple of the systems that do well on the metric of poverty. The Dutch system is a typical three-pillar system with plenty of private support and it does fairly well for example. The problem with the French system is not that it isn't relatively generous enough, it is its high cost and the way in which it is a very two class system depending on what kind of job it is you're working.

Nobody wants to destroy a pension system as some kind of evil plan of making people worse off, that's silly. But the cost is important. Reforms that manage to bring down the cost of pension systems are needed everywhere if you want to keep them sustainable for the future. That's a basic obligation any society has to the people who are going to pay for the system in the decades to come.

For example if you want to argue that elderly poverty needs to be avoided I completely agree. But that can be done by subsidizing pensions to above poverty levels rather than keep the pension age at 62 at a time when many people at 62 are still perfectly capable and healthy and can continue to contribute to the system.
opisska
Profile Blog Joined February 2011
Poland8852 Posts
December 13 2019 21:38 GMT
#25193
Well I don't understand how anyone can really defend unequal rules where specific occupation get higher pensions than others. What is good about that? It quite seems to me that the transport sector has better conditions because they have better leverage because they can keep the rest of the society hostage. I am not a big fan of pensions based on how much you "contributed" because I consider them services of the state and the "social insurance" to be a tax and tax-based benefits should be equally distributed to everyone, so I am not in favor of that part of the reform, but removing benefits that some groups have achieved instead of others by having a better strike impact is definitely good.
"Jeez, that's far from ideal." - Serral, the king of mild trashtalk
TL+ Member
Big J
Profile Joined March 2011
Austria16289 Posts
December 13 2019 22:41 GMT
#25194
On December 14 2019 06:38 opisska wrote:
Well I don't understand how anyone can really defend unequal rules where specific occupation get higher pensions than others. What is good about that? It quite seems to me that the transport sector has better conditions because they have better leverage because they can keep the rest of the society hostage. I am not a big fan of pensions based on how much you "contributed" because I consider them services of the state and the "social insurance" to be a tax and tax-based benefits should be equally distributed to everyone, so I am not in favor of that part of the reform, but removing benefits that some groups have achieved instead of others by having a better strike impact is definitely good.


Yeah OK, but instead of pensioneers let's start with entepreneurs. Instead of having 2000 different regulations for occuptions we make one: If it is a transfer of a good or a service it is equally taxed.
No more "oh, but this is for busness purposes so no VAT", "oh, but this is capital gain and not wage so we only tax the gains and not the whole volume of transfer like with wages (regardless of the persons spending unlike with gain taxes)".

It's silly to start with pensions when the whole fucking economic system is based on the fact that we treat entrepreneurs, workers and consumers all differently. (but somehow the bourgeoise propaganda tells us it is a "free" market)
farvacola
Profile Blog Joined January 2011
United States18824 Posts
December 13 2019 23:28 GMT
#25195
On December 14 2019 07:41 Big J wrote:
Show nested quote +
On December 14 2019 06:38 opisska wrote:
Well I don't understand how anyone can really defend unequal rules where specific occupation get higher pensions than others. What is good about that? It quite seems to me that the transport sector has better conditions because they have better leverage because they can keep the rest of the society hostage. I am not a big fan of pensions based on how much you "contributed" because I consider them services of the state and the "social insurance" to be a tax and tax-based benefits should be equally distributed to everyone, so I am not in favor of that part of the reform, but removing benefits that some groups have achieved instead of others by having a better strike impact is definitely good.


Yeah OK, but instead of pensioneers let's start with entepreneurs. Instead of having 2000 different regulations for occuptions we make one: If it is a transfer of a good or a service it is equally taxed.
No more "oh, but this is for busness purposes so no VAT", "oh, but this is capital gain and not wage so we only tax the gains and not the whole volume of transfer like with wages (regardless of the persons spending unlike with gain taxes)".

It's silly to start with pensions when the whole fucking economic system is based on the fact that we treat entrepreneurs, workers and consumers all differently. (but somehow the bourgeoise propaganda tells us it is a "free" market)

Totally agree, this framing makes a lot of sense to me in terms of how priorities inform the positions that people take.
"when the Dead Kennedys found out they had skinhead fans, they literally wrote a song titled 'Nazi Punks Fuck Off'"
opisska
Profile Blog Joined February 2011
Poland8852 Posts
December 14 2019 09:09 GMT
#25196
On December 14 2019 07:41 Big J wrote:
Show nested quote +
On December 14 2019 06:38 opisska wrote:
Well I don't understand how anyone can really defend unequal rules where specific occupation get higher pensions than others. What is good about that? It quite seems to me that the transport sector has better conditions because they have better leverage because they can keep the rest of the society hostage. I am not a big fan of pensions based on how much you "contributed" because I consider them services of the state and the "social insurance" to be a tax and tax-based benefits should be equally distributed to everyone, so I am not in favor of that part of the reform, but removing benefits that some groups have achieved instead of others by having a better strike impact is definitely good.


Yeah OK, but instead of pensioneers let's start with entepreneurs. Instead of having 2000 different regulations for occuptions we make one: If it is a transfer of a good or a service it is equally taxed.
No more "oh, but this is for busness purposes so no VAT", "oh, but this is capital gain and not wage so we only tax the gains and not the whole volume of transfer like with wages (regardless of the persons spending unlike with gain taxes)".

It's silly to start with pensions when the whole fucking economic system is based on the fact that we treat entrepreneurs, workers and consumers all differently. (but somehow the bourgeoise propaganda tells us it is a "free" market)


This is pure whataboutism. Having other problems to solve is not an argument for ignoring any. Also I am not sure you understand how VAT works, because your qualm with it doesn't make technical sense. Can't agree more on that capital gains are tragically undertaxed though. But the idea of naively equal treatment if everything would probably rbd up doing the opposite of what you want and helping the rich, a lot of exceptions actually protect small enterprises.

I don't really understand your rage about "touching the pensioners" - there always will be some sum of money, why not distribute it more fairly?
"Jeez, that's far from ideal." - Serral, the king of mild trashtalk
TL+ Member
Simberto
Profile Blog Joined July 2010
Germany11486 Posts
December 14 2019 11:27 GMT
#25197
I think most people wouldn't complain if the same amount of money would be distributed more fairly. But in these cases, the idea of such a "reform" is usually to spend less money in total, which means that on average, people get less pensions. So instead of some privileged pensioneers (like the people working with trains in france) getting less, and everyone else getting slightly more, the result will be the the privileged pensioneers get less, no one gets any more, and the owner class gets a tax cut in a few years when people don't think about this anymore.

And what BigJ would prefer is if instead of spending less money on the working class part of the population, we could take more money from the owner class, if there is indeed not enough money to pay for the pension system.
Sr18
Profile Joined April 2006
Netherlands1141 Posts
December 14 2019 11:27 GMT
#25198
Raising the pension age to account for increased life expectancy seems pretty logical to me. Same with basing the pension on how much the employee contributed to the pension fund during his lifetime. None of these things have to lead to a bad pension either. The Netherlands has both of these things (I'm likely not to retire before age 70) and it's pensioensystem is widely regarded as very good (see for instance the chart posted earlier on this page).

The thing with analysing social security measures is however that you need to look at the whole picture. This means that it's pretty hard to just compare systems of two otherwise very different countries.
If it ain't Dutch, it ain't Park Yeong Min - CJ fighting!
Big J
Profile Joined March 2011
Austria16289 Posts
Last Edited: 2019-12-14 12:12:49
December 14 2019 12:10 GMT
#25199
On December 14 2019 18:09 opisska wrote:
Show nested quote +
On December 14 2019 07:41 Big J wrote:
On December 14 2019 06:38 opisska wrote:
Well I don't understand how anyone can really defend unequal rules where specific occupation get higher pensions than others. What is good about that? It quite seems to me that the transport sector has better conditions because they have better leverage because they can keep the rest of the society hostage. I am not a big fan of pensions based on how much you "contributed" because I consider them services of the state and the "social insurance" to be a tax and tax-based benefits should be equally distributed to everyone, so I am not in favor of that part of the reform, but removing benefits that some groups have achieved instead of others by having a better strike impact is definitely good.


Yeah OK, but instead of pensioneers let's start with entepreneurs. Instead of having 2000 different regulations for occuptions we make one: If it is a transfer of a good or a service it is equally taxed.
No more "oh, but this is for busness purposes so no VAT", "oh, but this is capital gain and not wage so we only tax the gains and not the whole volume of transfer like with wages (regardless of the persons spending unlike with gain taxes)".

It's silly to start with pensions when the whole fucking economic system is based on the fact that we treat entrepreneurs, workers and consumers all differently. (but somehow the bourgeoise propaganda tells us it is a "free" market)


This is pure whataboutism. Having other problems to solve is not an argument for ignoring any. Also I am not sure you understand how VAT works, because your qualm with it doesn't make technical sense.


That is not what I am saying. What I am saying is that the system is not meant to work like that at all. We have different regulations for every type of job, every type of product.
We have a whole economical system based on the thought that some people declare what they are doing to "business operations" and those operations are basically untaxed. Only when those people start interacting with whatever the state defines as "private operation" than we demand a VAT (and those can differ, e.g. for food, drugs, tourism or "luxury" products...). And then there is one type of business operation which we tax particularily high, which is whatever the state declares to be "work".
So no, don't tell me that there is an underlying thought that we treat everyone and everything with the same ruleset, that is just not true and was never meant to be true. If the same people that accept all of that and often want to make those things even worse suddenly start with "but how is it fair when one pensioneer gets a better return of investment" then you know that you are being played.

On December 14 2019 06:38 opisska wrote:
I don't really understand your rage about "touching the pensioners" - there always will be some sum of money, why not distribute it more fairly?


And how is this "more fairly" per se? You realize that when I take on a job I may already start calculating what type of longrun benefits like pensions I will get?! now you reform that 30 years later. How is that any different from not repaying some debt that was made 30 years ago. But somehow the one promise always gets kept - on the cost of everyone elses.
Sure, if the whole system of promises cannot be kept then we should reform and someone will lose out. But the promise to pay out certain pensions or help someone in need are always under attack. Start treating the promises that were made to rich people equally to those of pensioneers, before you start to micromanage which pensioneer gets too much.
Dangermousecatdog
Profile Joined December 2010
United Kingdom7084 Posts
Last Edited: 2019-12-14 16:36:16
December 14 2019 16:35 GMT
#25200
I agree that there is no need to privilege people in certain industries over the general population and that a point-based system isn't going to impoverish more people, it's going to be fairer for more people.

That said I also agree that tax should be reformed to be simpler, but France is already a country where half the GDP is government. Should tax reform take precedence? Or pension reform? Which one is more burdensome currently, and which reform would provide the greater benefit?
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