From the Peterson Institute for International Economics, Carlo Bastasin writes about the strength of the Italian economy, financial standing, export potential and growth capacity.
Italy: Fat PIIG or Lazy Cat?
“Observers of the Italian economy have split between two radical camps: emphatic doomsayers and ardent optimists. Both attitudes are symptoms of an understandable difficulty in comprehending the contradictory developments of the Italian economy and society in the last two decades: Italy has a surprisingly solid fiscal structure. But it is worryingly weak over the longer term because of its growth capacity.”
Here are a few highlights of Carlo Bastasin's article:
The ardent optimist perspective:
The emphatic doomsayer perspective:
If you have the time, I encourage everyone to read the full article; it is a superb economic explanation of the current Italian economic environment.
BAIA community, do you think Italy is a Fat PIIG or a Lazy Cat? Please comment.
BAIA Comm & Marketing Intern
I agree with Giorgio!
In the end I think Italy is a mix of both...
It's absolutely true that the small size of Italian firms has really led to a level of research and of technology too low to support any progress and the unit labor costs have brought the country to a big loss of competitiveness.