If he fails to be tough enough on the deficit, markets will react badly, and France could find itself at the centre of a new euro-zone financing crisis.
On Wednesday we had the so-called whiplash rally — from a 300-point morning deficit, the market swung to a nearly 300-point300-pointgain
"Success in reducing the deficit, calming market pressures and restoring domestic confidence" S.& P. said, "depends upon a more stable political and economic environment than has thus far emerged".
Brands such as St Ivel, Flora, Müller or Kingsmill have already cottoned on to this deficit's market potential and are bunging omega-3s in everything from yogurt to sliced bread.
Taco Bell, with its abrasive commercials seemingly written by 13-year olds with Attention Deficit Disorder, market a new death trap every week!
If she borrows more money and runs up the budget deficit, the markets (and the I.M.F).
"Substantial ongoing deficits," they warn, "may severely and adversely affect expectations and confidence, which in turn can generate a self-reinforcing negative cycle among the underlying fiscal deficit, financial markets, and the real economy...
He listed "information deficits for market participants who cannot observe transactions as they occur and, thus, cannot benefit from the transparent price discovery function of the marketplace; information deficits for the public who cannot see the aggregate scope and scale of the markets; and information deficits for regulators who cannot see and police the markets".
Its widely ridiculed handouts to wealthy farmers and perverse incentives have long united liberals concerned about the environment, conservatives upset about the deficit and market-distorting subsidies, and just about everyone concerned about basic fairness.
