The current state of French economy Helen Baskova, group 288 Language supervisor – lect. M.Nedogibchenko.

The current state of French economyHelen Baskova, group 288Language supervisor – lect.

M.Nedogibchenko

French economy combines modern capitalistic methods of management with extensive government intervention.

Government retains considerable influence on the key stakes in each sector, it has controlling stakes in railways, power stations, air traffic and telecommunications companies.

Since the 1990's, the government gradually weakens the control over these sectors. Government is slowly selling off part of its shares in France Telecom, in Air France, in insurance, banking, and in various industries. Meanwhile, thanks to large areas of fertile land, plus the use of modern technology, France became the leading agricultural producer in Western Europe. But at the same time, there has been persistently high unemployment.

• Processes of concentration and centralization of capital and the restructuring of the French economy occur simultaneously with the process of internationalization of production and capital, which lead to the creation of the huge power of TNCs.

• "Imetal unites 62 public, active in 25 countries. In carmaker Renault - almost 45% capacity and 25% of the workforce are focused on foreign companies, etc.

• Centralization of capital on a national and international level led to a strengthening of a number of French companies in the world production. Chemical company Pechiney has become a world leader of packaging products, printing firm Ashet "- a leading publisher of magazines in the world, the firm" Cubley de Lyon moved into first place in the world in production of electrical cables.

Trade and Balance of Payments of France is traditionally reduced to a negative balance. A deficit

mainly due to mineral raw materials, parts of chemical and consumer goods, including consumer

electronics. In the last decade has worsened the balance of trade in manufactured goods. Major gaps

are formed in trade with Germany and Japan.

France actively proceed the restructuring processes of social economic structure, concentration and centralization of production and capital. One hundred largest companies are focusing more than 2 / 3 of industrial production. In some industries the monopolization of production is close to the maximum. In two of the largest steel company Yuzinor and Sasilor concentrated 70% of steel production,Thompson - 50% of the production of electronic and electrical equipment, Renault and Peugeot - almost all production cars.

The services sector is crucial for the value sector of the economy of France. It accounts for over half of GDP and over 69% of all employees. Services is the fastest growing and the only branch of the French economy, where employment continues to grow.

Major services sectors are trade, tourism, communications, transportation, banking and insurance.

Forced to act in the face of fierce competition, France made a bid to develop research, production modernization, development of new products and equipment. Adaptation of industrial facilities to the new rhythm of production is accompanied by increased productivity. Parallel branches were computerized and the development of mathematical software, which allowed to introduce in the production of modern CAD systems and process control.

Thank you for attention