07/05/2007 9:49:53 am
Reform President? As expected, Nicolas Sarkozy won the French Presidential election yesterday. This raises hopes for a wave of free-market reforms in France. Partly, this is justified, since he embraces change and reform to a much greater extent than his opponent. But he will probably disappoint the most hopeful supporters.

Sarkozy will now try to solve the equation of being the President for every Frenchman - including the 46 per cent that voted for Royal - yet initiating reforms. This will probably lead him to some actions to show that he is not as free-market as some claim. There will soon be elections for Parliament too, which is of great importance to win. The war within the Socialist camp will of course help Sarkozy initially.

Having said this, however, it is clear that the fact that the more reformist candidate won in France will initiate change. That will make reformers in other countries bolder too.