short essay

· What is civil society (la société civile) in France and how is related to the French State?

· What type of business structure is most common in France? Why is the French economy removed from the public stage in France?

· How are companies financed in France and why?

· How would you describe Le système D? Is there a similar system of doing business in Anglo-American society?

· What differences are there between French and Anglo-American laws towards charitable donations and why?

· How do religious communities organize themselves to communicate with the government?

In Chapter 16 N-B focus on French civil society (la société civile), or all aspects of public life that fall outside the State's purview. This expression refers to the private sphere and, while not openly acknowledged, includes initiatives like businesses and associations. They explain that it is this demarcation between civil society and the State that makes it difficult for Anglo-Americans to understand the low profile business keeps in French public life. Most businesses are small (less than 10 employees) and historically the emphasis has been on trade rather than on industry (p. 222). Going back to the 19th century, cottage industries were the typical sort of enterprise one would find in France, and the tendency towards private financing of companies rather than selling public shares on the stock market remains the rule rather than the exception in France. As N-B note, "French entrepreneurs prefer financing their ventures by borrowing rather than by selling a chunk of their business to unknown people. They don't want to end up answering to people they don't know" (p.223).

Knowing someone and having the right connections is of primary importance in a country where escaping the pitfalls of central authority is an ongoing sport. An example of this behavior is the counter letter or contre-lettre, which is the real (or lower) price exchanged between parties as opposed to the "official" one, or the one that would have the approval of the government. N-B go on to identify by name the French underground business system as it is commonly known--le Système D, or système débrouille: a system that functions on cleverness and wit, or in other words, through flying by the seat of your pants! .

In the next section, N-B examine aspects of Anglo-American life that we hold in high regard and which the French seem to hand over to the State -- care for the disadvantaged and representation of marginalized interest groups. Through their examples, N-B illustrate the motivational factors behind each society's behaviors that explain such variations. In France, the State basically provides for the general welfare, so there is not much incentive for individuals to make charitable contributions or to form charitable associations. Also, the Revolution of 1789 created a level of distrust of associations that mediated between the individual and the State. As a result, associations were discouraged and did not find an official purpose again until the late 19th century when the State realized that it could not do everything (p. 225). As a result, many laws were passed regarding associations during the 20th century. These laws defined associations by category and delineated the terms by which they could be state-approved or not, according to whether they serve the public interest.

In the last part of the chapter, N-B explain two interesting differences between French and Anglo-American cultures regarding charitable donations. It turns out that the reason that the French are not inclined to donate large amounts to charity is because there is not any tax write-off for doing so. This does not mean that associations serve no purpose in French society, however. In fact religious communities (which qualify as associations) need to organize themselves into a body with an elected council to represent their interests before the French government. Otherwise they have no official vehicle to be recognized by the State and the two bodies cannot communicate with each other.

Below are links to some of the associations mentioned in N-B: