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France's Economy Minister Emmanuel Macron is in Las Vegas this week reminding the technology community that entrepreneur is a French word."bobby abley backpackIn recent decades we (the French) have always favored protecting jobs to protecting people," Macron, 36, told USA TODAY on Sunday as he prepared to attend the Consumer Electronics Show (CES). "And that has been a mistake."In France, we have ... always (been) afraid and upset by the positive destruction of past jobs," Macron said. "Really, creation and innovation are part of the French DNA."In his role as France's most senior economics official, Macron is leading a European delegation to CES that includes representatives from more than 100 start-ups.The major trade show held each January sees hardware and software companies from around the world unveil new and enhanced technologies in the hope they will come to dominate international marketplaces.
Among the major talking points at this year is the Internet of Things — essentially, products such as refrigerators and watches that are connected to the Internet.For Macron, this year's event is an opportunity to talk up his country's efforts to shake off negative impressions of France as a place to do business. Skeptics, including the European Union, have accused successive French governments of presiding over an over-regulated economy resistant to market-friendly policies that would boost growth and investment.USA TODAYSamsung CEO sees big things for Internet of Things"As a country, France has three key advantages," Macron said. "It has a well-trained workforce, lots of young people in a vibrant democracy and excellent infrastructure. However, if you look at the CAC 40 (France's benchmark stock index) at least 90% of the company names on there are the same ones from 35 years ago. Compared to the Nasdaq or FTSE (in Britain) the lack of movement is very noticeable," he said."Now the responsibility of our political and economic elite is to push people to take more risks, to innovate, to try, perhaps to fail," Macron said.
Macron is arguably pushing France's government harder than it ever has been.Later this month French parliamentarians will vote on a piece of legislation dubbed "Macron's Law" that is designed to lift restrictions on certain types of jobs, such as legal professionals, and ease controls on long-standing, state-administered bus routes. Working on Sundays and in the evenings will also be made easier. There will be greater protections for those filing for bankruptcy, a clear nod to those intent on shedding old businesses and starting new ones.USA TODAYParis' tech scene booms despite failing economyBut like much of the eurozone, France remains in a tough spot economically.Unemployment is still running at 10% nationally, and some 20% of young people are jobless. France's economy grew a mere 0.3% in the third quarter, as the recovery across the continent from the financial crisis has been stuttering and plagued by fears of low inflation. Germany, for so long considered Europe's economic engine, expanded just 0.1% in the third quarter.
That contrasts with the 5% growth seen in the United States for the same period.Macron has a few different explanations for that. One of them has brought him to the Nevada desert on a mission to support French tech — responsible for 50% of new jobs in France, he said — as well as to woo potential investors and, perhaps, even learn a trick or two."The role of the digital economy in the American economy is huge, and France needs to adopt digitization as a national strategy. By accelerating start-up creation, especially around older industries, we will facilitate growth and increase productivity," he said."Of course, we don't have the same economic model as the Americans, and when you look at, for example, the role the Federal Reserve played during the financial crisis by introducing an adaptive monetary policy (large-scale bond-buying known as Quantitative Easing or QE), we in Europe lost a lot of time because the (European Central Bank) hasn't had those same toolsI hope that (ECB President Mario) Draghi will have a QE approach for Europe.