Italy is in recession (The Wonders of Socialism!)

Corriere della Sera ^ | Mario Sensini

[a freedom-loving italian]

What will this eventually do to the Euro?

Of course this is no good news for the Euro, but frankly I cannot make any forecast for the future US$/Euro exchange rate as there are too many factors involved here

[wtc911]

Amalfi Coast.

[wtc911]

When are you coming to the US? NYC is a must of course, for at least three days. Let me know, be glad to show you around.

[a freedom-loving italian]

The Italian people, when economically free, know better than anyone else how to combine quality production with civilized living.

Thank you very much, I really appreciate this remark.

[a freedom-loving italian]

Don't know yet, I've got to plan this with my friends, but thanx anyway!

[stefan10]

1. So the stability pact causing the low growth or even has any impact on the economic situation in Italy.
As you said this pact is dead given the fact that countries like Germany France Italy perhaps the UK are not able to match the 3% line this year.

2. We will see a deficit about 4% this year in Italy with a overall dept of what 100+% of the GDP and you want even more deficit spending?

3. Which inflation had Italy over the last years after adopting the euro?

4. The great benefit of the Euro is the reduction of the currency risk for the companies. There is only one major risk left ( Dollar) for the European companies and this saves a lot of money and brings stability to investments.

[a freedom-loving italian]

1. Yes, the stability pact did have a depressing impact on the economic situation in Italy. That's because until 2005 we have been forced to comply to the 3% deficit cap while France and Germany have NOT.

2. Maybe. But what I want for sure is an economy which grows, and I want the gov't to be able to do anything in order to achieve this goal.

3. Officially very low, around 2-2.5%. But the true inflation has been much higher, because of the euro.
Look, i think it is silly to argue about that. Just come visit Italy for a while, and you'll see by yourself that prices here have sky-rocketed. Again, even American expats find it impossible to live here BECAUSE OF THE PRICES.

4. Agreed. But at this very moment I can't help considering the euro a tragedy for the Italian economy.
2.5€ for a small bottle of water, 4€ for a 33cl beer, 50€ for a dinner in a restaurant even in small villages, that's simply insane.

[an italian]

DITTO my friend!!!!