France to break deficit pledge; The health of nations

1 France to break deficit pledge (BBC) President Francois Hollande has admitted France will miss its target on lowering the budget deficit this year. France's deficit will "without a doubt" be 3.7% of its output this year, he said, above the 3% he promised to cut it to during the election last year. The 3% deficit target is also one set by the European Union - but most of the major euro nations are in breach.

Greece, Ireland and Portugal have been effectively shut out of borrowing long term on international financial markets, which forced them to seek help from European partners and the International Monetary Fund. They all adopted austerity policies to cut public spending, but France has bucked the trend, raising taxes instead to protect its social model.

During the election last year, Mr Hollande vowed to bring the deficit to 3% from its current 4.5% and had insisted this was possible until now admitting defeat. But he defended his record, saying that the deficit has come down from more than 5% in 2011. "Addressing our accounts is a financial obligation... but it is also an obligation of sovereignty because France must never be in difficulty in the markets." The number of jobless in France has now risen past 3 million.

2 The health of nations (Khaleej Times) According to many scholars of the liberal tradition, the state’s sole purpose in a capitalist society should be to prevent its citizens from impinging on each other’s freedoms. So, in the modern world founded on principles of democracy and freedom, how far can the state go to violate a consumer’s freedom, purportedly for the sake of his or her own good? While most countries have actually managed to curb smoking in public areas, they struggle with consumer behaviour, which pits freedom of choice against imperatives of public health.

The latest revocation of the ban on large-size sugary drinks by a court in New York — a place where 58% of adults are obese — is proof of the fact that it is difficult for the state to change consumption habits, even if they are for the sake of the collective good.  Two days before the ban on large sugary drinks was going to be implemented in the city, a court blocked it, terming it “arbitrary and capricious”. The ruling marks the triumph of industry groups, particularly the American Beverage Association, which sued the city for proposing the ban. 

However, New York city mayor Michael Bloomberg has denounced the new judicial ruling, saying that he will continue to fight the ban. This example clearly shows that is it difficult for states to implement checks on the modern production of food and other goods involving the use of harmful hormones, chemicals and processes, especially because of influential industry lobbies. 

But there’s another path that governments can tread to solve this issue. Instead of struggling to ban widely consumed products that may harm health, educating consumers is actually more effective. For instance, effective public campaigns against tobacco consumption in the developed world, have contributed to a significant decline in cigarette smoking over the decades. The secret to changing individual habit, therefore, lies in awareness, not prohibition.