[Skynet]

62% of the French economy is controlled by state owned companies and it works well:



https://de.statista.com/statistik/daten ... u-laender/

Or would we call it rather etatist capitalism?


I think the french model could be the prototype for countries where the liberal model has failed due to lack of entrepreneurship.

[Potemkin]

62% of the French economy is controlled by state owned companies and it works well:



https://de.statista.com/statistik/daten ... u-laender/

Or would we call it rather etatist capitalism?


I think the french model could be the prototype for countries where the liberal model has failed due to lack of entrepreneurship.

"The problem with the French is that they don't have a word for 'entrepreneur'." - George W. Bush

[Negotiator]

France is in economic trouble because of the Eurozone, namely because of how the Eurozone functions. Germany, as the strongest economy, has very low wages relative to the productivity, thus competing everybody else into the ground.

It was no problem in the past. The deutschmark would have low inflation while for example the italian Lira had very high inflation. That meant the difference got constantly compensated. Germans with their low inflation currency would have relatively high income, Italians with their high inflation currency relatively low income. German products would be expensive, and italian products would be cheap.

Now this mechanism was removed - with no compensation for it. Germans, not used to ask for wage raises this often, get lower and lower wages, german products get cheaper and cheaper, while on the other hand italian work and products get more expensive.

This happends all over the Eurozone. Germany, to a lesser extend Austria, and the bank state Luxembourg prosper, while everyone else accumulates more and more debt.

France, being the economically second strongest country of the Eurozone, is hit less by the problems than for example Greece or Italy or Spain. But its still getting hit. They just cannot have the low wages the Germans have, because french people are rebellious and will fight for fair wages. As a consequence France is also getting deindustrialized, even if less so than others.

This is their current core problem of their economy, with no solution in sight.

Discussing things like how much of the economy is directly controlled by the state is pretty meaningless, in comparison. Attributing their current state to the fact that large parts of their economy is owned by the state is simply absurd. This is not the dominant factor of their current economy.

Controlling larger parts of the economy is a good tool for a benevolent government, if such a beast still exists in the west, to assert people get good wages and a good share of the wealth their society produces.

I dont think over 60% is necessary though. Sweden does the same with around 30%.

[Rugoz]

62% of the French economy is controlled by state owned companies and it works well:



https://de.statista.com/statistik/daten ... u-laender/

Or would we call it rather etatist capitalism?


I think the french model could be the prototype for countries where the liberal model has failed due to lack of entrepreneurship.

Your link ist just the government spending to gdp ratio. It has nothing to do with state ownership of companies.

[Skynet]

@Negotiator The french model works and it would better work as the ultra-liberal recipes of IMF... Countries are forces commonly to sell cheaply state owned enterprises to get loans.

Your link ist just the government spending to gdp ratio. It has nothing to do with state ownership of companies.

Die Staatsquote bezeichnet das Verhältnis der Staatsausgaben zum Bruttoinlandsprodukt (BIP). Sie ist ein Indikator für den Umfang und die wirtschaftliche Bedeutung der Staatstätigkeit. Eine hohe Quote deutet auf eine große wirtschaftliche Bedeutung des Staatssektors für die Gesamtwirtschaft hin.

https://de.statista.com/statistik/daten ... nostiziert.

It is a reliable indicator

[Tainari88]

@Negotiator wrote:

But its still getting hit. They just cannot have the low wages the Germans have, because french people are rebellious and will fight for fair wages.

You got to be rebellious if you don't want to get steamrolled by the status quo politicians and their tendency to not do a damn thing without fear of pressure from the public. The French are right about that. Keep your wages high by fear of rebellion. A great philosophy in my opinion.

[Puffer Fish]

62% of the French economy is controlled by state owned companies and it works well

I don't think France has done a very good job of decentralising economic activity away from the Paris region.

I think the french model could be the prototype for countries where the liberal model has failed due to lack of entrepreneurship.

There are French people rioting in the streets right now complaining about rising prices and decreasing living standards.