The buy “Made in France” campaign and consumer impact

An article in Bloombergbusinessweek (October 29, 2012) describes a campaign by the French Industry minister to encourage purchase of products made in France, though they are 15 to 25% more expensive. His goal is to use increased demand as a way to decrease the 10% French unemployment rate. But others claim that the higher prices for French products will hurt consumers. Should the French government spend to highlight products made in France, or focus on ways to make their costs more globally competitive? Will such move by other governments worldwide increase consumer prices worldwide ? Could domestic purchases, if coupled with fast production, permit lower prices or higher quality, that consumers maybe willing to pay for ?

About aviyer2010

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