This is a separate claim. Transfers, such as pensions, do not constitute GDP. It only counts when the government directly purchase a good or service, otherwise it's double counting. So this citation does not substantiate the first claim.
Social Security taxes are, in general, an entirely separate budget, and shouldn't be talked about for either side of the equation.
30% GDP in taxes
45% with social contributions
51% total government revenues
6% deficit
That's your 57%.
Transfers are about 24% of GDP, which puts the government portion of the economy at about 33% which is pretty much in line with most countries.
I don’t understand your point, it still shows that the ratio of government spending to GDP is very, very high. It just means it’s more because pensions than other types of government spending. It is unrealistic for France to tax themselves out of this deficit.
It's entirely easy and realistic to solve. The cohort receiving the vast majority of the benefit is the same cohort with the vast majority of the wealth.
By age 70 the average French household has about 500k in wealth and receives 20k a year from their pension. So, they literally have enough money as a class to fund their own pensions for 25 years (not suggesting that we literally tax 100% of their wealth to fund their pensions).
The only reason they don't is because they are an enormously political powerful voting block since... they have all that wealth.
Oh, I think we agree. You have to cut spending if the form of pension reform. I thought u were saying spending didn’t need to change and that France just needs to tax themselves rich more.
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u/Quinnvannice 1h ago
60% of France’s GDP is government spending. It is nearly economically impossible to tax yourself out of a deficit with that ratio.