Pour la France, les emplois

As a comedian and acquaintance of mine once flourished: “...the people who hate the French government most, are the French!”

Given the emotional story he had been telling about his voyage across the English Channel in a Thomas Crapper bathtub, rowing, no less, this punchline was the end to a running theme of obstructions he had faced from the French Coastguard and government, who had even changed the law in order to prevent his brave/insane/ridiculous/British venture.

If anyone doubted the veracity of this statement, I could point you to the French propensity for striking. Rightly or wrongly, they are not afraid of creating merry havoc if they don’t like what is happening. Even if their actions are misinformed or counterproductive. In Tim’s case, the locals had broken in to a French coastal installation to cheer him on as he rowed those painful last strokes to arrive on French soil. Authority? Ça ne fait rien! Hurrah.

Personally, I rather like France. It is a beautiful country, produces some marvellous wines (and Brandy, Cognac, Calvados, Armagnac...), and like anywhere, has some fantastic people. Some less fantastic people too, but you will find that anywhere in the world.

On the other hand, they have a worrying propensity for protectionism, and Nicolas Sarkozy, who should know better, is not helping. As outgoing President of the EU, he should be conversant with the single market, and ought to at least pretend to represent it. In deciding to prop up Renault and Peugeot-Citroen with a €6bn loan, he’s jumping aboard a bandwagon whose engine should never have been started, but in that there’s nothing particularly unique. What is very disappointing is that he has brazenly instructed the companies that they must make no redundancies at their French plants – instead calling for them to close their Czech and Slovenian plants.

Bald, blatant, naked protectionism doesn’t even begin to cut it. The bailout packages for the automotive industry are bad enough, with governments terrified of allowing a proud national institution to fail, but history or not, no industry should become subsidised, and propping these companies up does not solve the underlying problem; demand for cars has fallen, and these companies were trading on a false economic boom.

Mind you, given how the French benefit from the deplorable CAP, should we be surprised?

That kind of growth is not going to come back before the bailouts run dry, and jobs will still be lost. Rather than bail these businesses out with taxpayer money, why not give that money back in the form of lower taxes? That’s the kind of stimulus we need.

Sarkozy, like Brown, is proposing a vote winner, cheating at the expense of the taxpayer. While I was amused by the way the French President savaged Brown over his handling of the economy, I think he was way off the mark. The VAT cut was a ridiculous waste of time and money, but cutting taxes is the answer, not spending more as Sarkozy intends. It is time for lean government and smart thinking. On that count, neither Brown nor Sarkozy show any proclivity for either.