Neoliberal Economic Policy and Alternatives for France An Empirical SFC Perspective

Introduction

1. The French Economy at a glance

2. Accounting framework and wealth dynamics

3. System of equations: a Kaleckian model of a financialised economy

4. Basic multipliers and economic policy

5. From past policies to future policies

Concluding Remarks

References

Appendix 1. System of equations

Appendix 2. Accounting equilibrium

Index

Biography

Luis Reyes holds a PhD in economics from the University Sorbonne Paris North, a Master’s degree from the University of Paris 1, and a Bachelor’s degree from UNAM. He is currently Associate Professor of Economics at Kedge Business School in Paris and a Visiting Professor at Aalborg University. His main research interest is in macroeconomic modelling, with active participation in the development of four empirical SFC models for France, Vietnam, Algeria and China. His doctoral dissertation analyses shifts in economic policy in France, drawing on a preliminary version of the SFC FR model used in this book.

Jacques Mazier graduated from École Polytechnique in 1968 and earned his doctorate in economics from the University of Paris 1 in 1974. During the 1970s and 1980s, he worked in the Forecasting Department of the French Ministry of Finance and at the French Planning Commission. He served as Professor of Economics at the University of Rennes (1976–1981) and subsequently at University Sorbonne Paris North (1983–2013). Since 2013, he has been Professor Emeritus at the University Sorbonne Paris North and is a member of the Chair Energy and Prosperity.

Chin Yuan Chong holds a PhD in Statistical Signal Processing from CentraleSupélec/Paris-Saclay as well as Master’s degrees in Electrical Engineering from Lund University and in Sustainable Finance from Kedge Business School. Following an initial career in defence research and development in Singapore and France, she transitioned into the field of sustainable finance. Her contribution to this book is based on her postdoctoral work at Kedge. She is currently a project manager at the French Sustainable Finance Institute.

'The authors skillfully construct an impressive and complex empirical stock-flow consistent model which rehabilitates structural macroeconometric modelling, relying on current improvements in the quality of flow-of-funds and wealth accounts. They thus provide a robust tool for the macroeconomic analysis of the French economy that integrates its real and financial sides across agents and time, allowing the assessment of past French macroeconomic policies, especially during the Covid and Ukrainian war periods, as well as various possible counterfactual scenarios, showing there is no easy solution to the woes of the French economy.'

 - Marc Lavoie, Professor Emeritus, University of Ottawa and Université Sorbonne Paris Nord.