CNNFN writes article about Will state of emergency crash France’s economy?:
By Ivana Kottasova @ivanakottasova
paris police
France’s fragile economy was showing signs of recovery before the deadly
attacks in Paris. Now the country is at risk of returning to stagnation.
The government declared a state of emergency after terrorists
killed 129 people on Friday. The lower house of parliament on Thursday
backed President Francois Hollande’s call to extend that for three
months, and the upper house is likely to do the same Friday.
The emergency gives police special powers to stop and search people,
restrict movement, enforce house arrests and prohibit mass gatherings.
It’s designed to protect the public, but it could also hurt the French
economy. Here is why:
1. Anemic growth: France has only just returned to growth. Its economy
grew 0.3% in the third quarter, after stagnating in the second, and was
expected to grow by just 1.1% this year.
The nature of the venues targeted by terrorists last week — bars,
restaurants, a theater and stadium — could keep people away from
public places. Any slowdown in spending following the attacks could
wipe out growth in the final quarter of the year.
2. Anxious tourists: France is one of the world’s top tourist
destinations, attracting nearly 84 million visitors a year. But the
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