General background: Although ultimately a victor
in World Wars I and II, France suffered extensive losses
in its empire, wealth, manpower, and rank as a dominant
nation-state. Nevertheless, France today is one of the
most modern countries in the world and is a leader among
European nations. Since 1958, it has constructed a presidential
democracy resistant to the instabilities experienced in
earlier parliamentary democracies. In recent years, its
reconciliation and cooperation with Germany have proved
central to the economic integration of Europe, including
the advent of the euro in January 1999. Presently, France
is at the forefront of European states seeking to exploit
the momentum of monetary union to advance the creation
of a more unified and capable European defense and security
apparatus. Area comparative: Slightly
less than twice the size of Colorado Climate:
Generally cool winters and mild summers, but mild winters
and hot summers along the Mediterranean; occasional strong,
cold, dry, north-to-northwesterly wind known as mistral.
Terrain: Mostly flat plains or gently rolling
hills in north and west; remainder is mountainous, especially
Pyrenees in south, Alps in east
Population: 59,765,983 (July 2002 est.)
Ethnic groups: Celtic and Latin with Teutonic,
Slavic, North African, Indochinese, Basque minorities
Religions: Roman Catholic 83%-88%, Protestant
2%, Jewish 1%, Muslim 5%-10%, unaffiliated 4%
Language: French 100%, rapidly declining regional
dialects and languages (Provencal, Breton, Alsatian,
Corsican, Catalan, Basque, Flemish).
Government type: Republic
Capital: Paris
Legal system: Civil law system with indigenous
concepts; review of administrative but not legislative
acts
Economic overview: France is in the midst of
transition, from a well-to-do modern economy that featured
extensive government ownership and intervention to one
that relies more on market mechanisms. The Socialist-led
government has partially or fully privatized many large
companies, banks, and insurers, but still retains large
stakes in several leading firms, including Air France,
France Telecom, Renault, and Thales, and remains dominant
in some sectors, particularly power, public transport,
and defense industries. The telecommunications sector
is gradually being opened to competition. France's leaders
remain committed to a capitalism in which they maintain
social equity by means of laws, tax policies, and social
spending that reduce income disparity and the impact
of free markets on public health and welfare. The current
government has lowered income taxes and introduced measures
to boost employment, but has done little to reform an
overly expensive pension system, rigid labor market,
and restrictive bureaucracy that discourage hiring and
make the tax burden one of the highest in Europe. In
addition to the tax burden, the reduction of the workweek
to 35 hours, which is to be extended to small firms
in 2002, has drawn criticism for lowering the competitiveness
of French businesses. The current economic slowdown
has thrown the government's goal of balancing the budget
by 2004 off track.
Communication/Telephone system: Highly developed
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