My friend Dan Mitchell is constantly ragging on the French (for good reason, usually), but it looks like he’ll have to pick on someone else today. President Nicolas Sarkozy shot down a plan to tax carbon emissions, citing economic concerns.
From the EU Observer:
“We want the decisions to be taken in common with other European countries, otherwise we are going to see a growing shortfall in our competitiveness,” [Prime Minister Francois Fillon] said, according to the Financial Times.
So ok, it’s not a total victory – but at least he recognizes how imposing punitive taxes on the economy will make his country less attractive to investors and businesses. Alas, his solution of “let’s all cut ourselves off at the knees!” leaves much to be desired, but at least this decision shows that somewhere within the Élysée Palace, there’s an economic advisor with a bit of common sense.