December 13, 2006
RIGHT ABOUT INFLATION, BUT...:
French mutiny brewing against the euro (Ambrose Evans-Pritchard, 13/12/2006, Daily Telegraph)
French exports slumped in October and the country's car industry slid deeper into crisis, heightening fears that France is buckling under the strain of the super-strong euro.The monthly trade deficit ballooned to $2.7bn, following two months of sliding industrial orders and a shock halt to economic growth in the third quarter. Car output is down 14pc so far this year.
French trade minister Christine Lagarde blamed the grim trade figures on the tight policies of the European Central Bank, which has raised interest rates six times in a year to 3.5pc. The rate rises are the key factor pushing up the euro.
"We sold one less Airbus, we haven't sold any satellites, and we have not sold any ships. Frankly, the battle against inflation has been won. It's high time the ECB began thinking about growth," she said.
..one less Airbus just saves several hundred lives. Posted by Orrin Judd at December 13, 2006 9:09 PM
Even accountanting for all those cars burned every weekend?
Posted by: KRS at December 13, 2006 9:44 PMNow, now - the Charles de Gaulle loose in the shipping lanes would be a bigger hazard than any Airbus.
Posted by: ratbert at December 13, 2006 11:19 PMI'm disappointed you passed up the easy opportunity to make a snide comment about "mutiny" being a French tradition. So I'll make it instead.
"country's car industry slid deeper into crisis"
As with their ships and planes, inflation is the least of their automotive industy's problems. Has anyone here ever actually *driven* a Citroen?
*shudder*
One my favorite arguments in favor of nuclear power is that the French get 75% of their electricity from nuclear, and if they can do it, ANYONE can.
Posted by: Ralph Phelan at December 14, 2006 1:39 PM