France Wants Foreign Capital, Except When it Doesn’t

2 thoughts on “France Wants Foreign Capital, Except When it Doesn’t”

  1. France’s current government has never had attracting foreign capital as its top objective. Francois Hollande campaign promise was to have a 75% tax on the wealthy – Such an action even a socialist realizes deters investors.

    1. Fair point. However, although Hollande’s platform is undoubtedly based around redistribution, it also seems to be heavily promoting foreign investment. In the NYT article mentioned in my post (hyperlinked to “expressed its objections”), it says;

      “The move to block a takeover by Yahoo comes even as France has been stepping up its efforts to attract foreign investment — much needed, analysts say, to pull the country out of a slump in which gross domestic product declined by 0.3 percent in the fourth quarter of last year.

      Under the tag line “Say oui to France,” government agencies have been running advertisements in American newspapers promoting French “innovation clusters,” tax credits for research and entrepreneurial spirit.”

      But yes, you are certainly right in noting that such an oppressively high tax bracket is just that – oppressive, and not conducive to capital infusions from lower-taxed regions overseas.

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