Unemployment growth: Insee pessimistic for the end of the year – Europe 1

Unemployment growth: Insee pessimistic for the end of the year – Europe 1

Europe 1 Laurent Berbon with AFP Published 10:03 p.m., Oct. 2, 2014 , Modified to 10:45 p.m., Oct. 2, 2014

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Laurent Berbon with AFP

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Growth revised down . INSEE fell Thursday its growth forecast for 2014 to 0.4% against 0.7% so far and warned that the gross domestic product is expected to expand by 0.1% in the third as the fourth quarter. Without giving forecast for 2015 because it never ventures too far, the National Institute of Statistics and Economic Studies, however, said that France would begin the year without a net, with a “vested” is -to say a reserve growth of 0.1%.

The carryover would mean that the average growth in France next year if the economy stagnated in all four quarters 2015 If it is almost zero, it means that the economy did not springboard. Growth next year is the great unknown of the budget in 2015, which was presented on Wednesday and is based on an assumption of 1%, deemed “optimistic” by the High Council of Public Finance, independent supervisory body.

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Higher unemployment expected by the end of the year ?. Unemployment is expected to rise by 0.2 points in France (9.9%) and 0.1 points with overseas (10.3%) by the end of the year, according to forecasts INSEE released Thursday, more pessimistic than previous. The Institute of Statistics in June was counting on rates of 9.8% in France and 10.2% with the overseas territories. Labour Minister, François Rebsamen, has set a goal of keeping the rate below 10% in France in 2014.

France idling. In detail, the Institute has compiled a portrait of France at idle. Households are saving more (the saving rate is expected to 15.6% in 2014 against 15.1% in 2013) and consume slightly more (+0.1% in 2014). Otherwise their investments, that is to say essentially the purchase of dwellings, collapse: -7.4% expected this year, higher in 2013 down twice, and a return to 1998 levels.

& gt; & gt; ALSO – Provisions of the government budget for 2015

Vladimir Passeron, head of the department of environment to Insee, found during a press conference that France was in an “extremely low growth regime”, with a growth rate of only 0.1% per quarter on average since the spring of 2011.