France in Diaspora: Planes, Trains, and Automobiles: The Economy in France

Welcome, as always, to another African 221 blog post. Today I’m going to talk about the French economy. Many are familiar with the popular stereotype that the French are lazy, socialists who prefer red wine, baguettes and soft cheese to hard work. If you asked a Frenchman about his work ethic he would most likely suggest that in fact his fellow countryman know how to work not just hard, but also smart. Despite antiquated stereotypes, the French are in fact one of the most prosperous people on earth. The country’s 2.56 billion dollar GDP in 2011 gives France the tenth largest economy in the world.

Currently, much of the French GDP comes from services and high-tech manufacturing. According to the CIA Fact Book, 71% and 24% of the GDP came from services and manufacturing, respectively. Behind these two large sectors are agriculture and tourism, making up about 3.5% of GDP.

France is inexorably tied to its neighboring EU countries. The recent European debt crisis and general financial uncertainty in the Eurozone has weakened the French economy and highlighted the interdependence of EU countries. France exports hundreds of millions of dollars worth of goods and services throughout Europe, Asia and the United States. Without a robust flow of imports and exports France would not be the dynamic economic power that it is today. And of course without the 75 million tourists that made there way to France from across the globe in 2011, the massive tourism industry in France would vanish.

The Eiffel Tower

On the whole, France has an extremely successful economy, but just looking at the big indicator numbers, such as GDP, fails to capture some of the nuances of the French economy. For instance, there is a history of social unrest in France that has had a noticeable effect over the years on the economy. Worker strikes and protests have been fairly commonplace throughout modern France history. Additionally, the French government has historically played a large role in the economy. This role has diminished in recent decades, but the French national government is still very much involved in the day to day economics of the nation. Airbus, one of the largest international companies in France is subsidized and regulated heavily by the government. Having such a large governmental role in the economy at large effects how the economy functions in the world market.

In closing, France is a large world economic power and as a result most French citizens enjoy a fairly high standard of living. Of course there will always be a certain segment of any population that has less and could use more, but on balance life in France isn’t all that bad.

That’s all for now. Stay tuned for next week’s post. There’s lots more to come on France and the Diaspora in the next few weeks.