In response to Montebourg Announces Deal Between Goodyear and Titan to Save Union Jobs (One Problem – Goodyear Did Not Even Receive the Offer), one of several recent posts on Arnaud Montebourg, France’s Minister of Productive Recovery, reader “AC” who lives in France responded …
Hi Mish,
To understand Montebourg, take a look at some “Made in France” images.
Montebourg “advertises Made in France” while holding Moulinex blenders and wearing classical “marinière” shirts.
He is literally the object of tons of sarcastic comments and gags.
Once president Francois Hollande was elected, Hollande preferred having Montebourg within the government rather than outside, to avoid having him contest actions each and every day from the left.
When telecom operator Free was awarded the fourth mobile license in France and launched its very low cost service, Montebourg said that Free had done more for purchasing power of French people than all the actions of then president Nicolas Sarkozy.
But when Montebourg became Minister he started a very aggressive campaign against Free and its pricing, accusing them of destroying French jobs.
Best regards,
AC
Montebourg in the News
Check out these Montebourg Headlines on Ozap.Com (the same site that mocked Montebourg and his blender).
- You Have a Problem With Your Brain – Arnaud Montebourg to a reporter: “You have a problem with your brain”
- Montebourg Preserves “French Gem” DailyMotion From the Clutches of Yahoo! – The day Arnaud Montebourg prevented the acquisition of DailyMotion by Yahoo!
France Goes After “Red Bull” Energy Drinks
Where there’s socialists, there’s economic nonsense. Here is another case in point via translation from Les Echos.
Socialists want to introduce a levy of 1 euro per liter of energy drinks
Members start Tuesday afternoon discussion of the draft law on financing of Social Security. Three highly controversial tax reforms will focus much of the attention.
Tax Hike Number One: Taxes Harmonized (to the Highest Level)
The tax bill provides for an overhaul of the tax burdens on investment products. Social security contributions applicable to the majority of products are 15.5%, but the rate may be lower depending on the date of realization of gains. The executive wants to “harmonize the rule”, which should generate 600 million euros in 2014.
Tax Hike Number Two: Energy Drinks
Gérard Bapt, a Socialist Party member of the National Assembly of France wants to introduce a levy of 1 euro per liter on energy drinks, which would bring about sixty million. “It is not a measure of fiscal performance but public health,” he defends.
Measure Number Three: Redistribution Schemes (to Make People Feel Better)In April, half of retirees started paying a levy of 0.3% on their pensions, expected to bring €645 million in 2014. After “embezzlement” claims from both the left and the right, socialists adopted an amendment that directs a portion of the performance fee – €130 million – to help the frail elderly.
Perspective on €1 Per Liter
A liter is about 1.057 quarts. €1 is worth about $1.38. So, imagine paying a tax of $1.38 on a quart of pop, and you approximately understand the proposal.
The tax is meant solely to “protect the public health”. What France really needs is protection from Hollande, Montebourg, and socialists in general.
Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com