The bottom has fallen out of top of the housing market in France. Falls of as much as 40% have been reported. Film star Catherine Deneuve has failed to sell her magnificent 18th century mansion, complete with lake, moat, and exquisite garden, despite lowering the price. And when the top falls, prices of regular housing are necessarily squeezed downward.

Because of the “we hate the rich” policies of Hollande’s government the market is being hit by a double whammy. French high net worth individuals are leaving the country, and the global rich think twice before investing in France.

Of course if France still had the Franc, the result would be a sharp drop in it’s value. Stuck with the Euro, France will now how to absorb the pressure elsewhere in its economy.