Outlook: A better deal in London than Paris
Tuesday 06 January 1998
Meanwhile, on this side of the Channel, the Government launched its extended New Deal, which will subsidise employers who take on unemployed workers and cut welfare to individuals who refuse to take up a job opportunity. It would be hard to devise a contrast that illuminated more clearly the difference in national economic philosophy.
The irony is that the ups and downs of the business cycle will favour the French economy this year, helping to chip away at the 12.5 per cent jobless rate, while the slowdown in the UK will perhaps put a halt to the decline in unemployment even as the New Deal gets into full swing. Neither trend is attributable to the government packages. In each case these are just supply-side measures which will only show results in terms of the number of people in work over the course of several years.
But the best indicator of the supply-side success of the contrasting Anglo-Saxon and Gallic approaches will be corporate profitability and investment. The UK's New Deal will, if only in a small way, improve the quality and reduce the cost of available labour. The French package will do the opposite, squeezing corporate profit margins. It is easy to see why the British approach will ultimately create a great deal more jobs.
- 1 Video of Irish 'professional boxer' fighting Istanbul neighbourhood goes viral in Turkey
- 3 Toby Sheldon: Justin Bieber lookalike found dead in motel room
- 4 Russia 'accidentally reveals' number of its soldiers killed in eastern Ukraine
- 5 Pregnant teenager Neysi Perez 'wakes up in coffin' a day after her funeral
Video of Irish 'professional boxer' fighting Istanbul neighbourhood goes viral in Turkey
Nazi gold train: 'Significant' discovery made in Poland
Toby Sheldon: Justin Bieber lookalike found dead in motel room
Horses 'neglected for 15 years' found with 3ft-long hooves
Russia 'accidentally reveals' number of its soldiers killed in eastern Ukraine
Dresden riots: Protesters in Germany attack refugee buses shouting 'foreigners out'
France train shooting: US soldiers speak of the moment they stopped gunman and 'beat him until he was unconscious'
Labour leadership: Jeremy Corbyn accused of 'deluding' young supporters with 'claptrap'
'Women only' train carriages: Jeremy Corbyn unveils radical move to tackle public harassment
Black holes are a passage to another universe, says Stephen Hawking
Iain Duncan Smith calls for urgent ESA overhaul as part of drive to cut down welfare costs
iJobs Money & Business
£20000 - £25000 per annum + competitive: SThree: Are you passionate about sale...
£25000 per annum + benefits: Ashdown Group: A large financial services company...
£20400 per annum: Ashdown Group: An established and highly reputable organisat...
£20000 - £100000 per annum: Recruitment Genius: We are a successful and establ...