Krugman warns France may be too large for the ECB to rescue

Paul Krugman warns that France’s high deficits and rising debt costs could weaken investors’ trust.

If investors stop buying French government bonds, borrowing costs could rise further and deepen the crisis.

He says the European Central Bank might find a rescue too costly because France is so large.

This is Krugman’s warning, not a prediction that a crisis or rescue will happen.