There was a time, centuries ago, that France was the dominant superpower in the world.
They had it all. Overseas colonies. An enormous military. Social welfare programs like public hospitals and beautiful monuments.
Most of it was financed by debt.
France, like most superpowers before (and after), felt entitled to overspend as much as they wanted.
And their debts started to grow. And grow.
By the eve of the French revolution in 1788, the national debt of France was so large that the government had to spend 50% of tax revenue just to pay interest to its lenders.
Yet despite being in such dire financial straits the French government was still unable to cut spending.
All of France’s generous social welfare programs, plus its expansive military, were all considered untouchable.
This post was published at Sovereign Man on October 6, 2017.