If France increases borrowing to contain discontent it will only show the incompetence of this government, which, sadly, is very probable.
France's 'yellow vest' protests could shake up euro zone bond markets
France’s response to “yellow vest” protests could be a turning point for euro zone bond markets if it kicks off an era of increased public borrowing in the bloc and loads additional debt on to a market already nervous over the removal of ECB stimulus. Increased public spending could be the way out for governments struggling to contain discontent over living standards and may face a strong challenge from populist politicians at May’s European parliament elections. But if that pushes up government bond supply, it may also increase concern about some member states’ longer-term ability to service debt, and could hamstring the ... (full story)