# Nobel Prize winner in economics Philippe Aghion calls for pension reform to be “put on hold” until the presidential election
“I think we need to stop the clock now until the presidential elections,” said the new French Nobel Prize winner in economics on Monday evening on France 2, as the suspension of pension reform is central to the survival of the new government.
He is a “source of French pride” and a “global inspiration” according to Emmanuel Macron. But the new French Nobel Prize winner in economics, Philippe Aghion, has just called for the Macronists’ pension reform to be “paused” until the next presidential election.
“I think we need to stop the clock now until the presidential elections. That means we are at 62 years and 9 months, we stop at 62 years and 9 months until the presidential elections,“ he said Monday evening on France 2’s evening news program, considering that ”this is the way to calm things down“ and that ”it doesn’t cost much to stop.”
“That doesn’t mean the reform is being scrapped,” continued Philippe Aghion, who pointed out that he had “always been in favor of 63 years plus review.” “It means that if nothing happens, it will resume in 2027.”
Philippe Aghion, interviewed by Léa Salamé, reiterated his disagreement with the Zucman tax. “**I think there needs to be an effort on the part of high net worth individuals, but I don’t want to touch the productive tool and I don’t want to touch those who are seeking to innovate**,” argued Philippe Aghion. However, he considered that t**here was “abuse of family holding companies.” “That’s what we need to crack down on,” he said.**
# “Drift to the right”
*Close to the French president since they met in 2007, Philippe Aghion helped Emmanuel Macron develop his economic program, before criticizing in Libération in 2024 “a drift to the right” and “vertical” power.*
Philippe Aghion nevertheless approved many of Emmanuel Macron’s reforms or liberalization reform projects, such as the the flat tax on capital income, and the replacement of the wealth tax (ISF) with the real estate wealth tax (IFI).
The announcement of whether or not to suspend the pension reform will be made on Tuesday during the Prime Minister’s general policy statement. This will be decisive for the survival of the new government, as the Socialists have announced that they will vote for censure if they do not obtain this concession.
The Nobel Prize in Economics awarded to Philippe Aghion on Monday recognized his Schumpeterian-inspired work on growth and innovation, developed with Peter Howitt in the book “The Theory of Endogenous Growth” (1998). France had not won the Nobel Prize in Economics since Esther Duflo in 2019.
WAGRAMWAGRAM on
I don’t know why there’s a “?” at the end of the title as I wrote it
Just-Sale-7015 on
It’s not quite spelled out in the piece, but I think the logic is that the reforms are unpopular enough that they risk the centrist candidate not making it to round 2. And if that were to happen, then you’d have a choice between RN or LFI candidate.
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# Nobel Prize winner in economics Philippe Aghion calls for pension reform to be “put on hold” until the presidential election
“I think we need to stop the clock now until the presidential elections,” said the new French Nobel Prize winner in economics on Monday evening on France 2, as the suspension of pension reform is central to the survival of the new government.
He is a “source of French pride” and a “global inspiration” according to Emmanuel Macron. But the new French Nobel Prize winner in economics, Philippe Aghion, has just called for the Macronists’ pension reform to be “paused” until the next presidential election.
“I think we need to stop the clock now until the presidential elections. That means we are at 62 years and 9 months, we stop at 62 years and 9 months until the presidential elections,“ he said Monday evening on France 2’s evening news program, considering that ”this is the way to calm things down“ and that ”it doesn’t cost much to stop.”
“That doesn’t mean the reform is being scrapped,” continued Philippe Aghion, who pointed out that he had “always been in favor of 63 years plus review.” “It means that if nothing happens, it will resume in 2027.”
Philippe Aghion, interviewed by Léa Salamé, reiterated his disagreement with the Zucman tax. “**I think there needs to be an effort on the part of high net worth individuals, but I don’t want to touch the productive tool and I don’t want to touch those who are seeking to innovate**,” argued Philippe Aghion. However, he considered that t**here was “abuse of family holding companies.” “That’s what we need to crack down on,” he said.**
# “Drift to the right”
*Close to the French president since they met in 2007, Philippe Aghion helped Emmanuel Macron develop his economic program, before criticizing in Libération in 2024 “a drift to the right” and “vertical” power.*
Philippe Aghion nevertheless approved many of Emmanuel Macron’s reforms or liberalization reform projects, such as the the flat tax on capital income, and the replacement of the wealth tax (ISF) with the real estate wealth tax (IFI).
The announcement of whether or not to suspend the pension reform will be made on Tuesday during the Prime Minister’s general policy statement. This will be decisive for the survival of the new government, as the Socialists have announced that they will vote for censure if they do not obtain this concession.
The Nobel Prize in Economics awarded to Philippe Aghion on Monday recognized his Schumpeterian-inspired work on growth and innovation, developed with Peter Howitt in the book “The Theory of Endogenous Growth” (1998). France had not won the Nobel Prize in Economics since Esther Duflo in 2019.
I don’t know why there’s a “?” at the end of the title as I wrote it
It’s not quite spelled out in the piece, but I think the logic is that the reforms are unpopular enough that they risk the centrist candidate not making it to round 2. And if that were to happen, then you’d have a choice between RN or LFI candidate.
He’s not a political economist, but he’s probably aware of the well trodden cliche of not doing austerity right before the elections. While some US economists have [contested](https://www.imf.org/-/media/Files/Publications/WP/2021/English/wpiea2021121-print-pdf.ashx) that idea, it’s [quite popular among European ones](https://ec.europa.eu/economy_finance/arc2023/documents/papers/Klein%20M.%20-%20The%20Political%20Costs%20of%20Austerity.pdf).