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Macron’s measures unlikely to boost the economy

Protests in France are likely to put a serious dent in GDP growth in Q4. And while the giveaways announced yesterday will boost disposable incomes next year, any positive effect on the economy is likely to be offset by deteriorating confidence and tax hikes or spending cuts in other areas. Meanwhile, the entire episode has clearly dealt a blow to hopes of reform boosting French growth in the longer term.

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