France is Catching On

April 11, 2014
Statements made by France’s new Prime Minister, Mr. Manuel Valls, about a necessary shift away from the higher taxes and increased government spending of his predecessor bode well for ITR Economics’ forecast for a better economic environment in the latter half of 2015 for the European Union.

France has a new Prime Minister, Mr. Manuel Valls.  He spoke before France’s Parliament and announced that he will work to make their economy more competitive by cutting taxes and federal spending.  He said those spending cuts will not amount to austerity, but they will slow the rate of growth in federal spending and hopefully trim the budget deficit to 3.0% of the GDP by the end of 2015 (it is currently at 4.3%).  Doing so will keep France within EU guidelines.

Mr. Valls is not a big fan of the EU and bristles at being told what to do by Brussels, but he seems to essentially recognize that the higher taxes and increased government spending brought on by his predecessor are not working, and a dramatic shift is necessary.  This recognition may be a politically driven shift in thinking in Pres. Holland’s administration as the conservatives made serious inroads against the socialists in municipal elections.  It would seem the electorate is catching on to the reality that pushing higher taxes on businesses and individuals does not make life better in the aggregate.  Keep going, Mr. Valls.  You are on the right track.

Valls’ statements bode well for France, and by extension bode well for our forecast for a better economic environment in the latter half of 2015 for the European Union. 

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

How Manufacturers Can Optimize Operations with Weather Intelligence

Nov. 2, 2023
The bad news? Severe weather has emerged as one of the biggest threats to continuity and safety in manufacturing. The good news? The intelligence solutions that build weather ...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!