IMF Staff Country Reports

Italy: Selected Issues

Publication Date:

February 16, 2006

Electronic Access:

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Summary:

This Selected Issues paper investigates the factors behind the deterioration in Italy’s international competitiveness. It concludes that the loss of competitiveness accumulated by Italian firms in recent years is mainly a consequence of weak long-term productivity performance. The paper explores the link between policies and growth. Specifically, it finds evidence that rigid product markets and a high tax burden on labor have been associated with slower growth in European regions. The paper also analyzes the role of fiscal policy and its implications for household consumption decisions.

Series:

Country Report No. 2006/059

Subject:

Banking Competition Consumption Expenditure Financial markets Income National accounts Personal income Public investment and public-private partnerships (PPP)