Money Matters - Simplified

United Kingdom Has No Industry Anymore: Nicolas Sarkozy

French President Nicolas Sarkozy, nearly 3 months away from the Presidential elections is trying to clench his presidency seat for the second time. The elections are scheduled to be held on April 22 and May 6 in 2 rounds.

Nicolas Sarkozy accepts Mea Culpa

In his interview the French leader not only accepted that he has committed political and personal mistakes but also asserted that he would quit politics if beaten by his Socialist Nemesis Francois Hollande. French and world media saw another side of Nicolas Sarkozy when he humbly acknowledged all the errors he committed when he was at the helm of the country.

Sarkozy popularity was dwindling at a rapid rate because of his eerie decisions and his apologies are associated with media tactics. Nicolas Sarkozy considered to be a political maverick, told the innumerable media journalists whom he had invited for a briefing that he is not the man they think he is. He also accepted that he wants to make some amendments and if people will allow him an opportunity to seek redemption he will not disappoint them. He also offered regrets for his policies which didn't work out and promised not to shirk from his responsibilities.

Better than U.K

Sarkozy also announced that there would be an increment in VAT by 1.6%. When some one made a point that in Britain there was an increase in prices soon after the VAT rose then he exclaimed that the U.K has no industry anymore. Defending his endeavors which he had made earlier to save French economy he said that the financial crisis is eventually calming down and Europe is no longer on the brink of the abyss. The elements are in place which would lead to stabilization of financial situation in the Europe and the world.

A social VAT
According to Nicolas Sarkozy the measures such as reduced working time, salaries and raising VAT will go a long way to salvage French economy. The President has named VAT 'a social VAT' as the value added tax rise will be coincided with the decrease in the employer's contribution to the payroll, enhancing competitiveness and spurring French exports. According to the latest competitiveness grants employers would be able to increase or decrease working hours to salvage jobs if the big chunk of employees agree.

Socialist Francois Hollande called all this a desperate attempt by Sarkozy to save his office. Since France has lost its triple-A rating, the president has been on back foot. Unemployment is at its 12 year high and public debt at a record level. A public apology will not bring back France on tracks. It would take effective leadership and foresightedness. Does Sarkozy possess that ?