Fillon: zero growth but no recession

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The method Couet would have its limits? The man who defraying the column some time ago still arguing on an almost desperate that France was bankrupt - I appointed François Fillon - now admits the possibility of a "zero growth" in 2009.

It could hardly "better" do as many areas are now affected by the crisis, the automotive sector is one of the first and unemployment reached containing the hair of the beast.

However, in an interview in Paris - Today in France, published Wednesday, Prime Minister refuses to "talk of recession."

"On approaching zero growth," admits Francois Fillon and in an interview with readers of the newspaper, while confirming the government forecast for growth, which is located in a range between 0.2 and 0.5% .

But Fillon says, "it is important to use words that correspond to realities. Speaking of recession when there is not, it unnecessarily break the morale of businesses, consumers, it is worse psychologically the situation. " Everything goes well, so I'm fine ....

"I hope that by 2009 there will not be in recession," says even the head of government. "But today, nobody can guarantee it because nobody can know how fast the global economy will leave".

According to forecasts by the European Commission, the 27 EU countries should be severely affected in 2009. The growth is almost zero and the unemployment rate is expected to grow by more than 1% by 2010 in the euro area (with 2 million more unemployed between 2008 and 2010).

Asked about his budget choices facing the crisis, said Francois Fillon accommodate the anticipated rise in the deficit to 3.1%: "This is not satisfactory, but what counts is to keep spending."

"Drastically lower government spending or raising taxes," repeated he would "enhance the economic crisis."

Little reminder not least: France reach this year's limit of 3% of GDP allowed for the public deficit in the EU, and to exceed 3.5% in 2009 and 3.8% in 2010, according to forecasts European Commission published early November.

That attempts to relativize François Fillon stating that "important" was "not go much beyond the 3% deficit.

The hope is to live, but note that by "five wise men", leading economists and experts from the German government, zero growth should be observed next year in Germany. Although economic activity should not reduce itself to the stalled is so brutal that economists nevertheless employ the term "recession" in an article in the Handelsblatt newspaper to be published Wednesday.

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