Christophe EOCHE-DUVAL has for several years made overproduction of legislation his warhorse and in this book offers an objective inventory of the normative apparatus. This is in order to enlighten the reader and make them aware of the impacts of this overproduction on the functioning of our country. First of all, the author focuses on demonstrating this overabundance of standards. To measure it, he will rely on the one hand on the number of pages of the “Official Journal” and on the other hand, in the annual report “Statistics of the standard” of the General Secretariat of the Government established since 2019. From the latter, we can note the number of “Légifrance” words registered in the “Official Journal” as well as in all the norms (laws, ordinances, decrees, orders…). The findings are clear: with more than 400,000 standards already in force, the number of “Légifrance” words has more than doubled in 20 years, reaching more than 46 million in 2024. Also, over the years, the State publishes fewer texts but they are getting longer and longer.  In order to understand this inflation, the author presents the sources. International standards, including those of the UN and its satellites, are the primary providers of standards. Each bill has been ratified by the French Parliament since 1958, although this is not mandatory. Then come the European standards that automatically enter into force in national law. Other strata are added to the previous ones, such as prefectural and municipal by-laws, the exact number of which seems impossible to know. Once the inventory is complete, the author seeks to measure the impacts and notes that these standards often paralyze the productive apparatus in all sectors of activity. To make it more noticeable, he tries to estimate the cost. The various analyses seem to converge towards a figure of 3.7% of GDP, or about 60 billion per year. Beyond the cost aspect, these overlapping standards that have accumulated since the beginning of the Fifth Republic at the mercy of the various heads of state, makes it difficult to know which version is in force at the time this document is being written. The State, itself caught in this vice, ends up circumventing the rules in order to speed up the machine that produces the standards. In recent years, the triggering of Article 49.3 or the publication of ordinances, allowing the executive to pass laws in place of Parliament, are examples. The author dedicates a chapter to two accelerators of normative inflation: the finance and Social Security financing laws. These laws, based on government texts, must be validated in a limited time; not allowing sufficient parliamentary time. Another effect of this normative inflation is exposed in the chapter “Legiscracy against democracy”, since only 4% of French people are able to understand the texts and laws.  Despite this terrible observation where the state and politicians seem to be caught and struggle to get out of this straitjacket, the author proposes pragmatic solutions which, he hopes, can be raised during the debates of the next presidential election in 2027. He insists on legislating less and focusing on applying existing laws by lowering the normative pace, thus freeing up parliamentary time. He also advocates transparency on the costs of implementing laws to better assess their relevance. This book has a pedagogical virtue for any reader in search of a better understanding of our legislative arsenal. Christophe EOCHE-DUVAL is a senior civil servant and state advisor. Sophie Friot’s note

Each generation believes that it has a special destiny and that progress is bound to follow. Yet our world is plagued by eruptions of violence on an unprecedented scale. Ten years ago, Jean-Hervé Lorenzi and Mickaël Berrebi were already describing the political, economic and social tensions, and explaining that the result would be geostrategic conflicts that could lead to wars on the very borders of the West. In this fascinating essay, the authors document in precise detail and with an extensive bibliography the following observations: the breakdown of productivity gains, the curse of ageing, the irresistible acceleration of inequalities, the extreme difficulty of reindustrialization, the illusion of definanciarization, savings, the ultimate scarce resource. Of the three known transitions, the demographic shock is at least as important as the climate shock. It’s easy to believe that the markets themselves will find the answers to these immense difficulties, but we know that this perception is not shared by the authors, who have been campaigning for years for regulation (such as the late Michel Aglietta) and political initiatives to play an active role in accompanying global change. Due to a rise in raw materials prices (not yet confirmed, but likely in the medium term), which would imply a decrease in industrial supply, and the ageing of a population that consumes more sservices, the much-vaunted reindustrialization cannot be a pale copy of the production systems of the last two centuries. “Will trade pacify international relations – Montesquieu’s sweet commerce? Unlikely (!) With a declining industrial supply and an aging population that is more inclined to consume services, the much-vaunted reindustrialization cannot be a pale copy of the production systems of the last two centuries. “Will trade pacify international relations – Montesquieu’s sweet commerce? Unlikely (!) And current events seem to largely vindicate the authors, who do not hesitate to mention that “constraints” have become “conflicts” and that, if nothing is done, the situation will become a “confrontation”! Underestimating today’s dangers, and failing to find a global solution for them, means leaving the field open to all possible scenarios, including the most unmanageable. The authors describe 14 major ruptures – global ones, as the authors emphasize, which makes it all the more difficult to implement the proposed solutions – but necessary to meet the challenge of the 6 constraints that structure the world: the breakdown of productivity gains, the aging of the population, the explosion of inequalities, the massive transfer of activities on a global scale, the unlimited financialization of the economy and the impossibility of financing our investments. If these changes are understood and implemented, we can escape the worst. The 14 ruptures are listed as follows: Centering the world on its youth, building a “French-style” immigration model, socializing scarce resources, importing a virtuous wage-profit split, regulating the rules of inheritance, dismantling the Big Tech monopoly, Engendering a digital métissage, taming debt, rebuilding risk-sharing, launching a new Bretton Woods, Subjecting globalization to climate demands, investing massively in the three transitions, investing massively in Africa, preparing for pandemics. The chapters are presented in a balanced way, even if the authors “commit” themselves. They do not address questions such as: how far should open borders go? How should the quota strategy be approached? To think “calmly, it is normal to evoke the terms assimilation and regulation”. In other words, faced with a Gordian knot that some are wondering how to untie, let’s slice it open and see what comes out. Reflections will therefore focus on the origins, history and balance between assimilation and regulation. With regard to inheritance, the idea is to “align” the rules on this issue with those that prevailed when the IFI was created. The current rules tend towards an “increase in inequalities of birth to the detriment of the common good”. But public opinion is not ready – nor is it desirable – for an increase in taxation. On the other hand, the demographic transition so dear to the authors’ hearts could be financed “virtuously” by a transfer of productive wealth invested for the long term. And this share – blocked for 10 or 15 years – would benefit from lower taxation than at present, while the other would bear higher duties.  This debate should take place to generate a social and economic consensus, albeit a relative one. In the face of AI, which can be a factor of exclusion, the authors recommend “creating the conditions for a digital crossbreeding … i.e. the creation of a new societal framework favorable to a just transition to better mitigate technological unemployment and the consequent social risks”. On the subject of debt, the main idea is to mutualize debt. To waltz, you need two people, and so does mutualization. But one element of conviction is to mutualize only those debts that serve exclusively to finance projects that are profitable for the future, with measurable and measured results; in the same way as “green” and “COVID” debts. It’s easy to see how difficult it would be to go down this road in France, where a large proportion of borrowings are used to “make ends meet”. Mutualization would have a virtuous character… as long as society agrees and our private partners are convinced. The point of internationalizing the SDR is also addressed, and the authors are careful not to decide, but they do recommend increasing its use. One point that is not popular is the CIR. All or nothing” is not the right approach. We need to think in terms of financing only breakthrough investments. Question: we only know the result, as in the case of recognized bubbles, when they have burst, when the breakthrough has occurred. And legislators are not necessarily the best equipped for this forward-looking task… The book recommends a new way of sharing risk, through the generalization of public partnerships. These proposals are necessary, but probably insufficient, conditions that should be applied on a country-by-country basis, in no particular order of importance, but they are all vital if we are to steer

This book is a timely response to current questions about the transformation of banks and the future of the monetary and financial markets. It is presented as the logbook of a great banker confronted with the storms of the latest economic and financial crises, as well as the pitfalls of banking regulations. As in any diary, the author delivers his reflections on events experienced and expresses his opinion on measures taken, but he also offers the reader a real living treaty on banking economics, which requires careful reading because of the great technicality of certain subjects. The book offers three levels of reading. It is structured in three sequences, devoted respectively to the post-2008 crisis banking reform (2011-2014), the adaptation of the financial systems (2015-2020), and the new monetary and banking world (2020-2024). It covers ten themes: the State and public debt, markets and their infrastructures, Central Banks, monetary policy, regulatory policy, banks, non-banks, international, macroeconomics, and digitalization.  It raises 61 issues in short columns. The reader is struck by the seriousness of the problems encountered and the creativity of the responses provided by bankers and financial experts, who are too often divided. The latter must manage the new types of risks generated by the disintermediation of banks and the intermediation of markets, the competition of online banks and the development of non-banks (shadow banking), the collateralization of credits and the diversification of financial instruments, the digitalization and securing of transactions – and in particular the multiplication of digital currencies issued by Central banks and private organizations (bitcoin, token, libra, terra-luna, etc.) -, the “greening” of credits, the withdrawal of banking networks, and above all, the political and administrative difficulty of reforming the systems… The reader will appreciate the relevance of the (always on going) questions asked, the mastery of the (sometimes very technical) subjects covered, the pedagogical qualities (attested by a useful index of acronyms) and the author’s way with words (“collateral: private virtue, collective vice”, “financial reforms: everyone is looking for their cat”, “should banks stay in the basement?”, “the three crises or the parable of the forest fire”, “should cash be abolished?”, “the magic martingale of public debt”, “Central bankers tomorrow: plumbers or watchmakers?”… The author (X-Mines, PhD Harvard) was one of the Executive Committee members  of BNP Paribas and is a professor of economics at Sciences Po Paris. He has published numerous books, one of which, The Zero Interest Rate World, received the Turgot Prize in 2017. clubturgot.com paid tribute to his work in 2024. Review by J-J. PLUCHART

The collective work written by 17 French-speaking teacher-researchers who are members of the Association of Entrepreneurship and Innovation chaired by Professor Sattin, is part of the new collection “decarbonated management” created by the Fondation nationale pour l’enseignement de la gestion des entreprises (FNEGE).  It raises an issue that is both original and current: launching and managing a low-carbon entrepreneurial project. The authors recall the challenges and the urgency of saving carbon, water and non-renewable resources. They stress that these requirements apply to companies of all sizes and all sectors of industrial activity and services. They note the modesty of the progress made in these areas, but they welcome the sometimes unknown initiatives taken by the public authorities in favor of low-carbon entrepreneurship and competitiveness clusters. They present examples of virtuous companies in terms of decarbonation. They deplore the cumbersome administrative, financial and fiscal procedures that go with the creation of a business. The book is structured in two parts. The first is devoted to the fundamentals of entrepreneurial projects, the search for creative opportunities and the development of the business plan and the finance plan. The second part focuses on the processes of creation, business recovery, and intrapreneurship. This last model is inherited from the project management that emerged in the United States during the 1970s and which evolved under the influence of start-up creations and high-tech laboratories. The book is illustrated with numerous diagrams, graphs, tables and bibliographical references, which give it great pedagogical qualities. It is enriched by case studies representative of creations and by “questions for reflection” allowing a deeper understanding of one of the main processes of creating economic and human value in modern society. Laurice Alexandre is a professor at the University of Paris Cité and Nathalie Lameta is a lecturer at the University of Corsica. Note by J-J. Pluchart

Intimidation is a rational act. It is part of a conflict logic that does not exclude negotiation, but only on condition that it takes place according to the terms and conditions imposed by the intimidator. When the latter relies on a tradition of extraterritorial sanctions against the global financial system, it’s all very well to pretend that Donald Trump is losing his mind: no leader is insane in the sense of any mental disorder. Describing a decision as “crazy” or “irrational” is misleadingly easy. On the other hand, says Frédéric Charillon, analyzing behavior from the angle of a possible intimidation strategy seems more relevant. The phenomenon of the “American red pangolin” and the state of “flabbergastedness” conceded by the French minister recently interviewed, have difficulty masking an ignorance of international relations as transcribed in the famous essay by Thomas Schelling, Nobel Prize winner in economics in 2005 (for a work published in 1960!): the strategy of conflict. On the subject of extraterritoriality, let’s cite a few precedents: the Helms-Burton and Amato-Kennedy Acts, passed in 1996 under President Clinton, sanction foreign companies trading with Cuba, Venezuela or Iran; the Ukraine Freedom Support Act of 2014 under Obama targets the sectors of the ussia’s energy, defense and financial sectors. As for Trump’s supposed irrationality, it’s worth remembering that the “Madman in Chief” was none other than Richard Nixon when he suggested that his behavior could be dangerously unpredictable during the Vietnam War – at the risk of unleashing nuclear fire (less ambitious, Donald Trump merely mentioned the possibility of shooting someone Fifth Avenue without losing votes). The outcome? Nobody knows at this stage… Besides, the book ends with a “Provisional Conclusion”. But let’s not forget that, for Schelling, conflict is inseparable from negotiation: “to study conflict strategy is first and foremost to become aware of the fact that most conflict situations are also negotiation situations.” In his view, “the search for an eventual agreement becomes the major element of conflict”. Frédéric CHARILLON is Professor of Political Science at the University of Auvergne and Associate Researcher at the Centre Thucydide – analysis and research in international relations, Université Panthéon – Assas (Paris II) Alain Brunet

When a somewhat mischievous journalist asked her what it was like to live next to a genius, Marie Curie replied imperturbably: “Ask my husband!!” This humorous remark is an illustration of the treacherous terrain that women have historically faced in gaining proper recognition in the scientific fields, and the same is true today for the financial sector.    “In all the cliché-ridden figures that shape the collective imagination, there is one constant: men are omnipresent.” The skills of the ideal-type “financial player” are singularly at odds with the attitudes, preferences, and values typically attributed to women in our societies.  Also, the great merit of this new REF collective is that it offers an update on the subject of “Women and Finance” literature, by approaching this theme as widely as possible in its fields of possible investigation: the banking sector, financial markets, regulatory institutions, corporate governance, academia, etc. This issue offers a critical analysis of gender inequalities in the financial sector and in corporate governance.                                                                                                                                           After an introduction by Christine Lagarde, in which she shares her experience and the challenges of access to salary and decision-making power, the very complementary and particularly well-documented contributions of the prestigious co-authors highlight the challenges of gender equity in finance and “go beyond the simple quest for performance gains to strengthen inclusiveness and diversity.”                                                                                                                                               If gender inequalities remain “obvious, lasting and shocking”, progress in this area is all the more remarkable: for example, the majority of bankers are women!!!… But, the proportion of women leaders remains generally low.  Women in finance still face strong internal and external barriers, influenced by financial markets.   Now the law imposes diversity on boards of directors and helps to break this terrible “glass ceiling” which means that, to date, no woman runs a major banking establishment… even if the presence of women in Central Banks has experienced a significant catch-up effect over the last decade. While the fight towards this goal of equity remains difficult, many opportunities are emerging, calling for educational, institutional and cultural reforms to promote true equality of opportunity. The fact remains that reflection must continue on “quota” policies so that, ultimately, this measure intended to promote equality does not lead to “indirect forms of disadvantage”.  As Christine Lagarde reminds us: “women have their place wherever decisions are made. They should not be the exception”.    The fact remains that these measures, to be fully effective, must be accompanied by a shared awareness by men “of their domestic responsibilities” in order to instill more confidence in young girls.  The path to fight discrimination and promote true equality of opportunities has been traced, but it will require a profound revolution in mentalities for a perfect success.                                                                                                                                                                  A dense, dispassionate publication that brilliantly illuminates the future of the subject Marie-Hélène Broihanne is a Professor at the University of Strasbourg.     Gunther Capelle-Blancard is a University Professor – Paris1. Antoine Rébérioux is a Professor at Paris Cité University. note by  Jean-Louis  CHAMBON

THE CLIMATE RESILIENCE OF COMPANIES In VIE ET SCIENCES DE L’ENTREPRISE Jean-Jacques Pluchart Chairman of the VSE Editorial Board The academic journal Vie et Sciences de l’Entreprise (VSE), created in 1960 by the Association Nationale des Docteurs en Sciences Économiques (ANDESE)* has published two special issues devoted respectively to the climate resilience of companies (No. 220, 10 editors, 130 pages) and to the application of the Environment Social Governance or ESG principles (No. 221/222, 50 editors, 415 pages). The topics covered deserve the attention of the many readers of clubturgot.com. Issue 220 raises three main questions: do ESG-based management and sustainability reporting contribute to improving a company’s resilience? How is this management exercised in the financial sector? What transformations should be implemented to improve business skills, management training and managerial culture? The research presented shows the progress made by socially responsible companies in terms of performance, organization and values ​​shared with their stakeholders. Issue 221/222 combines several research projects that address original issues raised in the social and societal fields, through the promotion of social enterprises, the cost of free labor, the search for parity between men and women in the public service, the role of standardization in ethical management, the psychological and social capital of a new employee, personalized entrepreneurial support, the inclusion of people with disabilities, etc.; in the industrial and environmental fields, by the management of a sustainable supply chain, the measurement of the home-work footprint, the contribution of design thinking to creation, coopetition within incubators; in the financial field, the paradoxes of financial inclusion, the types of extra-financial audit, financial communication targeting generation Z, institutional activism in F&A, and in the field of governance, the sharing of the leadership of an organization, the entrenchment of leaders, the governance of public companies, the management of a company with a mission. The diversity of these reflections testifies to the vitality of university research and the diversity of issues facing private and public enterprises today. * Each year, ANDESE organizes the international French-speaking competition for the Best Doctoral Theses in Economics and Management, whose jury includes several members of the Turgot Club.

For several years, Christophe EOCHE-DUVAL has made overproduction of legislation his hobbyhorse and in this book, he offers an objective inventory of the normative apparatus. This is in order to enlighten the reader and to make them aware of the impacts of this overproduction on the functioning of our country. First of all, the author focuses on factually demonstrating this overabundance of standards. To measure this, he relies on the number of pages of the “Official Journal” and on the annual report “Statistics of the norm” of the General Secretariat of the Government established since 2019. From the latter, we can note the number of “Légifrance” words registered in the “Official Journal” as well as in all the standards (laws, ordinances, decrees, orders, etc.). The findings are clear: with more than 400,000 standards already in force, the number of “Légifrance” words has more than doubled in 20 years, reaching more than 46 million in 2024. Also, over the years, the State publishes fewer texts but they are getting longer and longer.  In order to understand this inflation, the author presents the sources. International standards, including those of the UN and its satellites, are the primary providers of standards. Each bill has been ratified by the French Parliament since 1958, although this is not mandatory. Then come the European standards that automatically enter into force in national law. Other strata are added to the previous ones, such as prefectural and municipal by-laws, the exact number of which seems impossible to know. Once the inventory is complete, the author seeks to measure the impacts and notes that these standards often paralyze the productive apparatus in all sectors of activity. To make it more noticeable, he tries to estimate the cost. The various analyses seem to converge towards a figure of 3.7% of GDP, or about 60 billion per year. Beyond the cost aspect, these overlapping standards that have accumulated since the beginning of the Fifth Republic at the mercy of the various heads of state, makes it difficult to know which version is in force at the time this document is being written. The State, itself caught in this vice, ends up circumventing the rules in order to speed up the machine that produces the standards. In recent years, the triggering of Article 49.3 or the publication of ordinances, allowing the executive to pass laws in place of Parliament, are examples. The author dedicates a chapter to two accelerators of normative inflation: the finance and Social Security financing laws. These laws, based on government texts, must be validated in a limited time; not allowing sufficient parliamentary time. Another effect of this normative inflation is exposed in the chapter “Legiscracy against democracy”, since only 4% of French people are able to understand the texts and laws.  Despite this terrible observation where the state and politicians seem to be caught and struggle to get out of this straitjacket, the author proposes pragmatic solutions which, he hopes, can be raised during the debates of the next presidential election in 2027. He insists on legislating less and focusing on applying existing laws by lowering the normative pace, thus freeing up parliamentary time. He also advocates transparency on the costs of implementing laws to better assess their relevance. This book has a pedagogical virtue for any reader in search of a better understanding of our legislative arsenal. Christophe EOCHE-DUVAL is a senior civil servant and state advisor.

The introduction of Lydian coinage around 600 BC marked a major turning point in economic trade. Thanks to Croesus and the electrum of the Pactole River, currency became a universal tool facilitating trade and contributing to the prosperity of civilizations. Greeks and Romans adopted this system, which is the basis of modern economy. Then, over the centuries, this currency will undergo two metamorphoses that will lead to its dematerialization. Paper money, bills of exchange, was created at the end of the 10th century in Song Dynasty China, then democratized during the Crusades and by the first Italian bankers, creating the first international payment networks. With the rise of bank accounts in the 20th century, the last transformation of money was complete: money became a mere entry in a ledger. Currency in all its forms meets three fundamental characteristics. It is a unit of account, an instrument of exchange and a store of value. A fourth characteristic can be added: it constitutes a political and social symbol and creates a sense of belonging to a community. So what about crypto-assets, the ultimate symbol of dematerialization, going so far as to suppress central banks and the trust that goes with it? The authors, in a very educational and documented way, present these different dreams of anti-state “currency”, but also stable coins and the new digital currencies of central banks and the fierce competition between all these assets. But whether “fiat” or digital, two currencies stand out as the two main reserve currencies, the US dollar and the euro. But there is an asymmetry in favor of the dollar, which remains the privileged currency of international trade and which benefits from the famous extraterritoriality. Therefore, a “de-dollarization” is trying to be put in place with the use of new financial instruments promoted by the BRICS as well as massive purchases of gold to bypass the dollar. What future for this dedollarization, what influences on globalization, the weight of the Yuan, what limits? For Ch. De Boissieu and M. Schwartz, the most likely hypothesis is that we will move towards an economic and financial triad in which the euro and yuan will gain credibility but where the dollar will continue to be the preferred currency. Finally, the authors focus on the development of a qualitative theory of money, which is necessary, among other things, but above all, for the financing of the energy transition. Because these very long-term financings with a rather uncertain profitability, which, moreover, arrive in a context of high public and private indebtedness, will require a paradigm shift with savers favoring the quality of the asset over its quantity. With this approach, currency will not be reduced to its exchange rate, but it will have to embody a social political role associated with this quality. Christian de Boissieu is Professor Emeritus at Paris Panthéon Sorbonne, Vice-President of the Cercle des Economistes. Marc Schwartz is CEO of Monnaie de Paris, and Senior Advisor at the Court of Auditors. note by Ph Alezard