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The Declining Competitiveness of French Firms Reflects a Generalised Supply-Side Problem

Author

Listed:
  • Hervé Boulhol

    (OECD)

  • Patrizio Sicari

    (OECD)

Abstract

This short paper analyses the decline of France’s trade balance over the past 15 years. While the loss in export market shares is comparable to that of the major OECD countries except Germany, it is one of the largest among the countries of the euro area. The determinants of this outcome seem to be general (rather than concentrated in the industrial sector) and related to overall supply-side weaknesses. Le recul de la compétitivité des entreprises françaises reflète des déficiences générales du côté de l'offre Ce court document analyse la dégradation de la balance commerciale de la France depuis plus de quinze ans. Alors que la perte de parts de marché à l’exportation est comparable à celle des grands pays de l’OCDE à l’exception de l’Allemagne, elle est une des plus fortes des pays de la zone euro. Les déterminants de cette évolution semblent être généraux (plutôt que concentrés dans le secteur industriel) et refléter des faiblesses générales du côté de l’offre productive.

Suggested Citation

  • Hervé Boulhol & Patrizio Sicari, 2014. "The Declining Competitiveness of French Firms Reflects a Generalised Supply-Side Problem," OECD Economics Department Working Papers 1029, OECD Publishing.
    • Handle: RePEc:oec:ecoaaa:1029-en
    DOI: 10.1787/5k4c0dldmgr2-en
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    More about this item

    Keywords

    compétitivité; coût unitaire du travail; export shares; France; France; manufacturing sector; parts de marché à l’exportation; profits; profits; secteur manufacturier; unit labour costs;
    All these keywords.

    JEL classification:

    • E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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