Education protests continue in France

Leanna Byrne (0:01)

In France, students demand more money for schools, but politicians are looking for spending cuts. It's World Business Express from the BBC World Service. I'm Leanna Byrne. At long last, Paramount closes the Warner Brothers merger in a historic Hollywood deal, and India and the United States say they want a closer trading relationship, so why have talks hit a plateau?

Riot police in France have again clashed with high school students on Tuesday, as demonstrations continue across the country. The protesters are calling for more investment in schools, which they say have been underfunded for years. Colleen, who recently graduated from high school, explained why she had joined the demonstration in Marseille.

SPEAKER_2 (0:46)

There are massive inequalities between schools. Some have means and some don't, so they don't have teachers, even though some people don't have class for an entire year, even though they have to prepare for graduation. The buildings are failing. It is way too hot in the summer and way too cold in the winter.

Leanna Byrne (1:02)

The French government has said it will form a task force to address their concerns. While there's broad sympathy in France that more money is needed for education, France's government is dealing with a 5.2% budget deficit and rising interest payments, which means it has little room for maneuver financially. Earlier, I spoke to economics professor Elise Ularré from University PSL in Paris, who's an expert in the economics of education.

Elise Ularré (1:26)

The total spending per student has been low, lower than in other countries for at least two decades.

Leanna Byrne (1:35)

And also, is there a problem with how the money is being spent as well?

Elise Ularré (1:39)

I don't think so. I think that a lot of improvements that can be made to improve the quality of the education system cannot be made without more money. Let's take an example. So one thing that should be improved is class size, because class size nowadays are bigger in France at all levels than in other European countries. And we need more teachers to decrease class size, and the literature in economics of education has shown that molar class size has a positive impact on students' learning. So it's really something we need money to hire more teachers to decrease class size, and therefore to increase the quality of education.

Leanna Byrne (2:28)

The thing is, the French budget deficit is very high. It's very difficult for the French government because they're trying to get its public finances under control. So can France actually afford to spend substantially more on schools?

Elise Ularré (2:41)

So this is exactly where we have the debate. I think everybody agrees that the education system is under finance, but what we as a society disagree on is exactly what you just said. How can we find new resources? So investment in education has an impact on future income of students who will be more educated.

They will have a larger income, larger productivity in the job market, and they will pay additional taxes that will reimburse the current spending. So in education, we have this knowledge now that it's an investment, right? So we need to invest now so that students are more educated and more productive in the job market, and it will be reimbursed by future taxes.

Leanna Byrne (3:30)

That was Professor Elise Ularré from the University PSL in Paris. With me now Fiona Sincato, Senior Market Analyst at StoneEx. Fiona, after many months, that takeover of Warner Brothers Discovery, My Paramount's Guide and It's Completed. So do we know what happens next?

Fiona Sincato (3:46)

Yes, finally pushed through that $110 billion deal merger, which could actually potentially reshape Hollywood and the media landscape, because this is the merger of the two largest studios in Los Angeles.

Now, the deal apparently received unanimous approval from the Competitions Authority, but there were lots of concerns over it, sort of, you know, hammering, harming competition, increasing consumer prices. So that will be what to watch out for. Also, the deal does include very strict guidelines against AI generated films, and Paramount, for example, must release at least 30 films a year.

Leanna Byrne (4:18)

Wow, a lot of films, but it might cost us a bit more in the long run.

Fiona Sincato (4:23)

Yes, that's correct. You know, that's going to be something that we need to keep a close eye on, what this actually means as far as consumer prices are concerned.

Leanna Byrne (4:29)

Absolutely right. The head of Chevron Oil, it's warned that eight months into the war, the Persian Gulf oil and gas markets are at their most fragile. Fiona, what does he mean by that?

Fiona Sincato (4:39)