France includes drug trade in GDP calculation
A video featuring Alain Juillet, former head of the French Academy of Economic Intelligence and ex-director of the country’s intelligence services, has gained popularity online. In an interview, he expressed shock and disbelief upon learning that the turnover from narcotics trade is now factored into France’s annual gross domestic product (GDP) calculation.
According to Juillet, the information about the new GDP calculation methodology came as a complete surprise. He emphasized that such figures had never previously been officially considered in the country’s economic statistics. The video with his comments is spreading widely on social media and has sparked intense debate among users and economic experts.
French statistical agencies had earlier announced adjustments to the calculation methodology in line with recommendations from the European Statistical Agency. Under the new standards, GDP now includes estimates of the shadow economy, including illegal drug trade, prostitution, and other prohibited activities. This approach has been adopted in several EU countries to provide a more complete picture of actual economic flows.
Alain Juillet stated that he finds this practice ethically and legally questionable. He noted that accounting for income from illegal trade in official economic statistics could be perceived by society as an indirect endorsement of such activities.
Economic analysts also point to the controversial nature of the approach. On the one hand, including shadow economy data provides a more accurate assessment of real economic turnover. On the other hand, it raises concerns over the legitimacy of the income sources being measured.
French authorities have so far not commented further on Juillet's statements, but discussions about the consequences of such changes for the perception of official economic data continue within professional circles.
Similar adjustments to GDP calculation methodologies have previously been implemented in other European countries, including Italy, the UK, and Spain. International organizations emphasize that these measures do not legitimize illegal activities but aim to increase the transparency and completeness of economic statistics.
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