[A-List] French Pension Strike

["Henry C.K. Liu" <hliu@xxxxxxxxxxxxxx>]

The French pension system, the foundation of European socialism, is 
again under attack.  The public is unhappy with the strikes of public 
sector workers. Neoliberal economists argue that France cannot 
competitively afford a "generous" pension system in view of globalized 
captialism in which capital always seeks regimes that does not syphon 
off return on capital to pay generous pensions.  The begger thy neighbor 
syndrome has now come home to rooste in developed economies from the 
Thrid World.  Capital flight will result if an economy does not 
sacrifice its aged.  It is the same argument Greenspan uses to tolerate 
derviative risks.  Yes, it is dangerous, but if we regulate it, the 
danger will merely move off shore, then we will still be hit by global 
contagion without even capturing the benefits of the derivative market.

One of the big component of the pension system is health care cost, 
which has skyrocketed because improved medical services and treatments 
have extended longevity.  Cutting pension health payments would reverse 
this trend and let the retired die earlier, and lessen the cost burden 
of the system. Yet lowering longevity also cut consumption demand, a no 
no in an overcapacity environment.

My suggestiion is if pension reduction is unavoidable because of 
political dynamics, why not introduce a senior citizen price structure, 
that any retiree can purchase all goods and services at 50% discount? 
Hollywood already has a system in place for movie admission, so does the 
National Parks system and some airline ticketing plans.  Let them cut 
the pension payment by half, but increase the purchasing power of 
retirees by 100%.  Every body would be happy.  Now that an idea worth of 
a Nobel prize.

Henry C.K. Liu