Italian economic development: lessons for Europe

Abstract

The work examines ‘Italian economic development: lessons for Europe’, bringing the territorial dimension into line with the relevant economic and institutional aspects. In Italy, unlike other European countries, there is a long tradition of work on economic development from the books of Giorgio Fuà and Augusto Graziani. It is worth remembering how this was already clear, to the most careful observers, in the early 1980s (Modiano, 1982 and 1984). Italy and other countries (from the UK) come out of the sme and the lira devalues considerably (average 40% compared to other currencies, but about 50% against the German mark). The enterprises that are in response to considerable increases of orders are therefore forced to introduce processes of delocalization and outsourcing (Garofoli, 1999). The paradox is, therefore, in the irrationality of responding with logics that are normally linked to a cost competition for areas and productions that competed on quality and innovation. What is needed is a cultural and perspective change that eliminates accounting octusities and opens up strategic visions on the near future.

Keywords

Italy; Europe; labour market; Industrial policy; human capital; innovation

JEL codes

L25; L60; J24