France in Search of a New Identity
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Case Code: ECOA102 Case Length: 12 Pages Period: 2003 Pub Date: 2003 Teaching Note: Not Available |
Price: Rs.300 Organization : Various Industry : - Countries : France, Europe Themes: - |
Abstract Case Intro 1 Case Intro 2 Excerpts
I have heard and understood your call: that the republic should live, that the nation should reunite, that politics should change
- Jacques Chirac, President
Introduction
France, one of the world's most developed countries, had been the driving force behind the Euro along with Germany. In the late 1990s, France had enjoyed strong growth since the upturn, which started in 1997. French GDP grew by 3.2% in 1998, 2.9% in 1999 and 3.4% in 2000. But since 2001, growth had slowed down. The government expected the growth rate to be only 1% in 2003. In an age of liberalization, privatization and globalization, the French continued to believe in a strong government. In 2001, the state spent a hefty 48.6% of GDP, one of the highest proportions in the European Union (EU) and employed 25% of the country's workers.
During the 1990s, the government had made some progress in the reduction of budget deficits. Taxes, however, remained the highest among the G-7 industrial countries. Regulation of goods and labor markets was also pervasive...
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