Italy: Quantifying the Benefits of a Comprehensive Reform Package

Author/Editor:

Michal Andrle ; Alvar Kangur ; Mehdi Raissi

Publication Date:

March 16, 2018

Electronic Access:

Free Full Text. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary:

This paper seeks to quantify the net benefits of a comprehensive reform package aimed at addressing Italy’s inter-related challenges. Specifically, it simulates the growth and competitiveness effects of a package of fiscal, financial, wage bargaining, and other structural reforms. Credible implementation of such a package yields substantial mediumterm dividends at negligible near-term growth costs. Real GDP growth is estimated to be substantially higher over the medium term, while the real effective exchange rate depreciates notably.

Series:

Working Paper No. 18/60

Subject:

English

Publication Date:

March 16, 2018

ISBN/ISSN:

9781484347614/1018-5941

Stock No:

WPIEA2018060

Price:

$18.00 (Academic Rate:$18.00)

Format:

Paper

Pages:

17

Please address any questions about this title to publications@imf.org