Consumption marking time

The consumption of manufactured goods rose more households in November. After an increase of 2.3% in September and 1% in October, the index has shown quasi-stable -0, 1%, according to figures from INSEE.

Despite this slowdown, "the last quarter will be exceptional," states Dominique Barbet, economist at BNP Paribas. "Already, we can build on 2.3% growth in consumption from October to December, the biggest increase in ten years."

The November figure was supported by strong buying automobiles rose 4.2%. "The household benefit last months of premium breaks down before his scheduled first next January, said Insee.

"Contrary to what one might fear, the car sales have not cannibalized other items of household expenditure," says economist of BNP Paribas.Other sectors, they fell for some, have not fallen sharply.

Spending on equipment housing is growing even if they slow down to 0.2%, against 2.1% in October. "If they keep their spending in electrical and electronic, are households have reduced their spending on furniture," said INSEE.

However, the week of floating balances authorized in November did not save the textiles and leather. Purchases fell 1.8% in November, two months after dynamic (+2.4% in October and 3% in September). Probably because of mild weather that has not prompted the French to equip themselves for the winter.

Limited impact of unemployment

In 2009, INSEE expects a limited increase in consumption of 0.7%, after 0.9% in 2008."Unemployment has not been in France very negative impact on consumption, unlike what happened in other European countries, thanks to measures directed at low income," notes Dominique Barbet.

Consumption is the traditional engine of French growth and growing at a rate of 2 to 2.5% until 2007.

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