France: The continuous income transfer from the government to companies and households

For 20 years in France we have seen that: The government has supported corporate income (lowering of different tax rates); Especially in the recent period, the government has supported household income. The result of these income transfers from the government to companies and households is, first , a sharp increase in corporate profitability as well as growth in household purchasing power even in years of crisis and, second , a sharp increase in public debt and the risk of loss of debt sustainability. In France, the question is therefore whether it is appropriate to continue with this model, where the government borrows to boost corporate and household income. This model may be appropriate if this income support for companies and households leads to additional potential growth that makes the government solvent, but this is obviously not the case, which shows that the income support has been consumed and not invested.