Industrial Policy in France under the Socialist Government

Abstract

In presenting the draft law on nationalizations in French industry and banking to the National Assembly on 27 September 1981, ‘the lack of a true industrial policy’ was adduced as the principal reason for the proposed actions. It was claimed, in particular, that ‘it is necessary for the state to have the instruments for efficient interventions and for the planned orientation of the country’s development. The most important of these instruments is the enlargement of the public sector.’ The enlarged public sector was to be the spearhead of modernization of the French economy, with the state providing the funds for the requisite investments. Modernization appeared as the key word in statements made by socialist leaders, who repeatedly claimed that ‘there are no condemned sectors, only outdated technologies.’