The recovery in France appears to have stalled already, and this is from employment data before the terrorist attacks. Via translation from Les Echos …
The number of Class A unemployed rose by 42,000 last month. This is the largest increase in nearly three years. Overseas included, France now has 3,810,000 unemployed, a new record.
The major disappointment is for the Government, which hoped that the sharp decline in September finally marked the beginning of the reversal “credible” and “sustainable” in the curve of unemployment to which Hollande has conditioned his candidacy for re-election in 2017.
“These figures are not satisfactory,” euphemized Myriam El Khomri, the labor minister, while adding they “must still be interpreted with caution because the results of recent months experiencing strong variations.”
Economists point out that the attacks in Paris strengthen the uncertainties about the pace of recovery in France. They fear a decline in activity in tourism and catering that would inevitably damage employment.
compare the above assessment with an amazing statement by economist Nouriel Roubini: “Positive Impacts of Paris Attacks Modest Unless More Attacks Follow”
Mike “Mish” Shedlock
