Italy: The Sheltered Economy: Structural Problems in the Italian Economy - Hardcover

Kostoris, Fiorella Padoa Schioppa

Hardcover

ISBN 10: 0198287488 ISBN 13: 9780198287483

Publisher: Clarendon Press, 1993

Synopsis

This volume describes in considerable detail the structural features of the Italian economy. It is based on the results of a major three-year project analysing the Italian economy, and its primary focus is on the role of state and private economic agents.

Italy has a huge and interventionist governmental economic policy: the state spends over 50% of National Income. Professor Padoa Schioppa Kastoris argues that much of this state action and regulation is irrational and counter-efficient. She then argues that the Italian economy is also characterized by a large and efficient `black market', and that much of the private sector already evades the command and control imposed by the state. Since de facto deregulation therefore exists to a large extent in the Italian economy, Professor Padoa Schioppa Kastoris calls for legal deregulation and privatization. She argues that a decrease in, and an altered character of, state action will enable the Italian economy to achieve higher rates of growth, and to reconcile the goals of efficiency and public interest.

The book reflects a blend of theoretical and empirical work: although much data on the Italian economy is given in the book, the analysis is not technical.

About this title

From the Back Cover

Italy has a huge and interventionist governmental economic policy: the general government spends over 50% of the Gross Domestic Product. Professor Padoa Schioppa Kostoris argues that much of this public action and regulation is irrational and counter-efficient. For example, the author analyses the role of taxes and subsidies, and concludes that these are accorded without any regard to their implications; illustrates that national wage equalization fails to allow the South to compete for industry on the grounds of lower labour costs; argues that private capital investment is often 'crowded out' by public money, and reveals inefficiencies in the provision of public services. Professor Padoa Schioppa Kostoris then argues that the Italian economy is also characterised by a large and efficient 'black market', and that much of the private sector already evades the command and control imposed by the state. Since de facto deregulation therefore exists to a large extent in the Italian economy, the author calls for legal deregulation and privatisation. She argues that a decrease in and an altered character of public action will enable the Italian economy to achieve higher rates of growth, and to reconcile the goals of efficiency and public interest.

Edition details

• Publisher: Clarendon Press
• Publication date: 1993
• Language: English
• ISBN 10: 0198287488
• ISBN 13: 9780198287483
• Binding: Hardcover
• Number of pages: 272