European Union:

1
European Union

• France and the United Kingdom

by Stephanie Panozzo
2
United Kingdom

• Full Name United Kingdom of Great Britain
• and Northern Ireland
• Capital London
• Area total 244,820 sq km
• land 241,590 sq km
• water 3,230 sq km
• Ethnic Groups English, Scottish
• Irish, Welsh, Ulster,
• Indian, Pakistani

3
France

• Full Name République Française
• (French Republic)
• Capital Paris
• Area total 547,030 sq km
• land 545,630 sq km
• water 1,400 sq km
• Ethnic Groups Celtic, Slavic,
• North African,
• Indochinese

4
The People

• United Kingdom
• Population 60,441,457
• England 383 ppl/km²
• Wales 142 ppl/km²
• N. Ireland 125 ppl/km²
• Scotland 65 ppl/km²
• Population Growth Rate
• 0.28
• Net Migration Rate
• 2.18/1,000 ppl
• Life Expectancy
• total 78.38 years male 75.94 years
  female 80.96 years

• France
• Population 60,656,178
• 107 ppl/km²
• Population Growth Rate
• 0.37
• Net Migration Rate
• 0.66/1,000 ppl
• Life Expectancy
• total 79.6 years male 75.96 years female
  83.42 years

5
Immigration in the UK
Natural increase and net migration as components
of population change, UK
National Statistics of the United Kingdom
http//www.statistics.gov.uk
6
The Numbers

• United Kingdom
• GDP 1.782 trillion
• Per capita 29,600
• Growth rate 3.2
• Composition by Sector
• agriculture 1.5 industry 19.1 services
  79.5
• Inflation 1.4
• Unemployment
• 4.8

• France
• GDP 1.737 trillion
• Per capita 28,700
• Growth rate 2.1
• Composition by Sector
• agriculture 2.7 industry 24.3 services
  73
• Inflation 2.3
• Unemployment
• 10.1

7
Spending

• United Kingdom
• Government Budget
• Revenues 834.9 billion Expenditures 896.7
  billion
• Balance -61.8 billion
• Public Debt
• 39.6 of GDP
• Current Account Balance -33.46 billion

• France
• Government Budget
• Revenues 1.005 trillion Expenditures 1.08
  trillion
• Balance -75 billion
• Public Debt
• 67.7 of GDP
• Current Account Balance
• -305 million

8
European Monetary Union

• United Kingdom
• Currently not a member
• Hopes for eventual integration, but held back by
• Interest rates
• Skeptical public
• Stronger economy
• Will consider the euro after the UK economy
  passes 5 tests
• Convergence
• Flexibility
• Investment
• Financial services
• Employment and growth

• France
• Currently a member
• Has a struggling economy
• Budget deficits greater than allowed in EU
• Believes that ECB rules are too strict for
  economic revitalization
• May vote no on constitutional referendum

9
Fiscal Policy

• The EU has an annual budget of 100 billion
• Both the UK and France are big contributors and
  receptors of EU money
• France receives large subsidies due to the CAP
  (Common Agricultural Policy), which makes up half
  the EU budget
• The UK also receives large sums of money due to a
  budget rebate

10
Common Agricultural Policy

• The CAP was created after World War II
• In 1999 the EU paid each full-time farmer 19,000
  euros, or 18,000 in subsidies
• Both France and the UK receive a great deal of
  money for agriculture from the EU
• Most money goes to large mechanized farms

Agricultural subsidies who gets what?
France
Germany
Spain
Italy
UK
Ireland
Source European Commission 1999
11
Social Policy

• United Kingdom
• Refuses to adopt EU social policy
• Disagrees with EU about immigration issues
• Enjoys low levels of unemployment
• Strong economy without complete EU integration

• France
• Complies with EU social policy
• High unemployment rate that is expected to get
  worse
• Wants looser EMU rules
• No particular stance on immigration or social
  security
• In general, supports a completely integrated
  Europe

12
External Relations

• United Kingdom
• Main trade partners
• US
• Germany
• France
• No preferential treatment given to EU for trade
• Pound vs. euro

• France
• Main trade partners
• Germany
• Spain
• UK
• High level of intra-EU trade
• Trade surplus of 6.1 billion euros with the rest
  of EU in 1999
• 63 of trade within EU

13
The End