Why 1.6% Growth is Really Good News
Insee announced a 1.6% growth in France in 2016.
If it turns out to be true, it’s excellent news because 1.6% is just above the critical threshold where the French economy starts creating jobs (1.5%).
Indeed, up to 0.9%, companies increase their productivity (they do more with the same amount of jobs), and the 0.6 percentage point that separates 0.9% from 1.5% is what’s necessary to absorb the new job seekers entering the labor market each year (+160,000 people in 2014).
According to Insee, the French economy should create 210,000 jobs this year.
