In the strange contagious madness of the presidential election, Jean-Luc Mélenchon’s program will hold a unique place for a long time.
Mélenchon does not hesitate to propose a public investment plan equivalent to 3.5% of GDP, which would completely explode the deficit. Here we find the belief in public spending as a lever for growth.
Where Mélenchon’s program has its key element is obviously in the scheduling of an increase in public spending equivalent to 7 points of GDP. Everything is included: the return to retirement at 60 with full benefits, one million public housing units in five years, a 50% increase in the education budget, and other whimsical ideas.
As Mélenchon dares everything, he takes it a step further by announcing (in a Trump-like way: the bigger the claim, the more it is believed) 3.5 million jobs created in five years, including 2 million in the private sector.
By deduction, we therefore understand that Mélenchon proposes to fund 1.5 million public or associative jobs.
To fund this program, Mélenchon has found several simple solutions.
First, he eliminates all reductions in social contributions (while increasing social security benefits, which amounts to exploding the cost of labor).
Next, he tackles the notorious tax fraud: it seems it will bring in 33 billion. To this, he adds the elimination of tax loopholes: another 38 billion.
In short, on individuals alone, the fiscal effort would be increased by 70 billion euros.
One wonders by which methods the tax administration will achieve these objectives!!!
