of blue (hoist side),
white, and red; known as the French Tricouleur (Tricolor); the
design and/or colors are similar to a number of other flags,
including those of Belgium, Chad, Ireland, Cote d'Ivoire,
Luxembourg, and Netherlands; the official flag for all French
dependent areas

France Economy

Economy - overview: France is in the midst of transition, from an
economy that featured extensive government ownership and
intervention to one that relies more on market mechanisms. The
government remains dominant in some sectors, particularly power,
public transport, and defense industries, but it has been relaxing
its control since the mid-1980s. The Socialist-led government has
sold off part of its holdings in France Telecom, Air France, Thales,
Thomson Multimedia, and the European Aerospace and Defense Company
(EADS). The telecommunications sector is gradually being opened to
competition. France's leaders remain committed to a capitalism in
which they maintain social equity by means of laws, tax policies,
and social spending that reduce income disparity and the impact of
free markets on public health and welfare. The government has done
little to cut generous unemployment and retirement benefits which
impose a heavy tax burden and discourage hiring. It has also shied
from measures that would dramatically increase the use of stock
options and retirement investment plans; such measures would boost
the stock market and fast-growing IT firms as well as ease the
burden on the pension system, but would disproportionately benefit
the rich. In addition to the tax burden, the reduction of the work
week to 35-hours has drawn criticism for lowering the
competitiveness of French companies.

GDP: purchasing power parity - $1.448 trillion (2000 est.)

GDP - real growth rate: 3.1% (2000 est.)

GDP - per capita: purchasing power parity - $24,400 (2000 est.)

GDP - composition by sector: agriculture: 3.3%

industry: 26.1%

services: 70.6% (1999)

Population below poverty line: NA%

Household income or consumption by percentage share: lowest 10%:
2.8%

highest 10%: 25.1% (1995)

Inflation rate (consumer prices): 1.7% (2000 est.)

Labor force: 25 million (2000)

Labor force - by occupation: services 71%, industry 25%, agriculture
4% (1997)

Unemployment rate: 9.7% (2000 est.)

Budget: revenues: $210 billion

expenditures: $240 billion, including capital expenditures of $NA
(2000 est.)

Industries: mac