Tuesday, February 26, 2013

Which way for Mr. Hollande?


The current Socialist president of France is struggling to stay on the left side.  His current policies are starting to shake up the welfare state.  GDP is declining and unemployment is rising.  This is causing the super wealthy to leave the country and the poor to be getting poorer.  Although, Hollande is trying to change some policy, there is disagreement within his party of the best thing to do about the current situation.  According to this article, the socialist party has begun to admit that there is a need for supply-side measures to reduce the current high cost of labor.  There will need to be changes in policy in order to affectively improve Frances current economic outlook. This article does not believe that Hollande will take these important steps, but instead will attempt to manage the economy to keep France away from disaster but not improve the current situations. 

http://www.economist.com/news/europe/21571900-elected-left-frances-president-seems-be-veering-towards-centre-which-way-mr?zid=295&ah=0bca374e65f2354d553956ea65f756e0

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