Can wages be increased in France?
The economic policy debate in France also includes a debate on wages: should wages be higher in France in order to boost demand, employment and tax revenues, and therefore the ability to make social welfare more generous? Unfortunately, the answer is very probably no: Real wages are already outpacing productivity; The minimum wage is already high relative to the median wage; Past episodes of sharp wage increases (1981-82) led to a sharp rise in unemployment despite the ability at the time to devalue the exchange rate.