FRANCE ZERO GROWTH IS A WORST CASE SCENARIO HAPPENING

France's zero growth for the second quarter means that its economy is at a standstill. In other words it is marked by economic stagnation. Zero growth means continued high joblessness that will lead to decreased expectations on the part of the wage earners and a feeling of helplessness, as opportunities for personal improvement and wealth creation evaporate. As millions French people remain among the ranks of the unemployed, the drag on economic activity will continue. This dire scenario will have a marked effect on the French public. Frustration on their part will lead to calls for remedial action.

Economic growth and job creation are critical to France's economy. Only an open and free economic environment will foster improved confidence, eliminate uncertainty in the future, and allow businesses and individuals to make decisions that will grow the French company. Putting money in the hands of individuals and not the government, allows an entrepreurial spirit to flourish thus creating job and increasing confidence in the future. Governments do not create jobs, the private sector does.

France's increased taxes are counter productive and will only take money out of the hands of entrepreneurs and businesses. France's tax increases create a poor environment for economic growth and are one of the worst things that a country can do during a recession, as it takes money away from the people when they need it most.

France's increased taxes will keep businesses from hiring and slow the job market recovery. As businesses invest less, this translates into less job creation. Although French businesses understand that uncertainty is a fact of life, the government's tax increases only add to their insecurity.

In the end higher taxes will ultimately cost a huge loss of jobs and will stifle growth, the entrepreurial spirit and initiative.

• Only the French private sector can lead France out of the crisis
• Higher taxes and regulation is NOT the solution
• French current government policies are a major threat to French economic competitiveness.