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Briefing

France: Domestic Demand

Critical Issues

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Background:

Unemployment rate has reached a 13 year peak and continues to be on a downward trend, while consumer confidence as well as spending remain far below average. The significant austerity measures and high taxes proposed in France's 2013 budget, can be expected to further dampen consumption trends and have led us to forecast a contraction of 0.2% in 2013. 

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