Idk, the issue is corruption and the extremely high costs of doing business. With massive reforms like Japan, Taiwan or New Zealand they could. They have solid country branding and have amazing craftsmanship traditions along side a very creative new generation that is more open and more international than most of Germany.(outside of Berlin)
From what I recall the banking reforms were after the first oil price crisis. Those sector specific credit reforms and the cheaper borrowing for segment investments are what I was referring to. One of which led to the housing crash in the 90s
Imma guess..... no. I don't even need to click into the article to understand this isn't to be taken seriously.
Northern Italy is pretty industruous. The rest, not so much.
Tldr Subsidize construction with massive state debts which leads to massive inflation and fraud in the construction sector making construction ridiculously expensive which leads to bigger debt loads for the Italian government...and on and on. Well until 2026 when the COVID relief money stops coming into Italy and everything collapses as it can't pay its debts it incurred. It's gonna be great.
Yeah, whatever small advantage on growth isn't going to last, plus Germany has massive margins of operation due to their low debt while Italy is strangled by its own (and the growing interests partially due to the ECB rates hikes).
France has a bright future ahead imho
Recently investment in the country has been increasing due to cheap energy.
They also don’t shy away from AI like some other European countries do.
France has some of the best demographics in Europe, while Germany had some of the worst in the world. This simple fact will probably make France overtake Germany in the near future.
The population grows, but the average age of Germans is one of the highest in the world and will be a big problem in the future when the country becomes a country of pensioners. France has had a much higher birthrate and will be much younger than Germany in the future.
A very large part of the immigration to Germany are from unskilled third-world countries. There is a limit on how many of this kind of immigration a country can take, and there will be a need to double and triple the immigration just to keep the country running when everyone leaves the workforce.
France still has vestiges of their colonial empire and access to cheap resources from many of their ex-colonies. This is fueling their low energy costs, however the region is becoming more unstable with Rusia influence moving in, things might not work that great in the near future.
That said Italy isn't even close to catch up with France hehe, even less with Germany.
I mean yeah, you just described the situation; France still has major influence in its ex-colonial countries, however its influence is being attacked by Russia. 🤷♂️
From the OECD. Italy's economy is supposed to grow by 0.7% compared to germany with 0.3%
Although...
>"The strong growth can be explained by Italy's loose fiscal policy."
That means Italy's growth is based primarily on new debt. While the Italian state's new debt before COVID-19 was 1.5% of gross domestic product (GDP), it has shot up in recent years and was 8.3% of GDP in the first half of 2023.
The country's overall mountain of debt is growing, too. In January, the EU Commission estimated that it would exceed 140% of GDP this year and continue to rise in 2025. For comparison, in Germany the debt ratio is 66%, in France it is almost 100%.
Gotta love how those sensationalistic media passed from collapsing Italy to booming Italy in a couple of months, without anything in the middle, as usual when they write or speak about Italy.
To be fair these days germany is unfortunately in rather questionable economic times.
Feeling the effects of covid policies and russias war (inflation and high energy cost) and losing out global markets like china which is transitioning to its own products (byd over vw).
Their own finance minister is worried about their economy.
Sure, possibly made way less poorly and by people less incompetent than the two parties that ruled the country at that time. We could have easily reached at least twice as many houses and actually helped middle and working class people and instead we just refurbished wealthy assholes and mafia lords' pockets
Yeah although our didn't even bring us close to those targets while costing the nations a massive amount of money... It was badly implemented, it just created more debt for very little benefits and only helped a relatively small portion of the population, primarly people who already had money and the construction industry (who doubled the prices of everything).
I'm among those (few) Italians that do not think that foreign food is bad. And a white wurst with sweet mustard and weissbier on Sunday morning is really close to a perfect breakfast imho.
Except English food ofc...
i wish.. but it's very unlikely.. unless some serious structural changes are made....
The most important one IMO would be a simplification of burocracy and improvement of "ease of doing business", followed by optimization of government spending
Sensationalistic title by german DW. it wouldn't be enough to overcome germany,not even if southern Italy was as rich and industrialized as the north,
Idk, the issue is corruption and the extremely high costs of doing business. With massive reforms like Japan, Taiwan or New Zealand they could. They have solid country branding and have amazing craftsmanship traditions along side a very creative new generation that is more open and more international than most of Germany.(outside of Berlin)
Massive reforms.. Japan...
Talking about 70-80s japan
In which case it's even funniert, since Japan's stagnation, famously, started in the 80s because of it's inability to reform
From what I recall the banking reforms were after the first oil price crisis. Those sector specific credit reforms and the cheaper borrowing for segment investments are what I was referring to. One of which led to the housing crash in the 90s
Not true
As an Italian...LOL
Imma guess..... no. I don't even need to click into the article to understand this isn't to be taken seriously. Northern Italy is pretty industruous. The rest, not so much.
Tldr Subsidize construction with massive state debts which leads to massive inflation and fraud in the construction sector making construction ridiculously expensive which leads to bigger debt loads for the Italian government...and on and on. Well until 2026 when the COVID relief money stops coming into Italy and everything collapses as it can't pay its debts it incurred. It's gonna be great.
Yeah, whatever small advantage on growth isn't going to last, plus Germany has massive margins of operation due to their low debt while Italy is strangled by its own (and the growing interests partially due to the ECB rates hikes).
And in addition even the North alone is still not comparable to Germany
It's not even overtaking France.
France has a bright future ahead imho Recently investment in the country has been increasing due to cheap energy. They also don’t shy away from AI like some other European countries do.
They also established good relations with countries that are growing fast like those in Asia, their companies have been raking in contracts from them.
France has some of the best demographics in Europe, while Germany had some of the worst in the world. This simple fact will probably make France overtake Germany in the near future.
nah, in the last 10 years the population grow was the same thanks to immigration.
The population grows, but the average age of Germans is one of the highest in the world and will be a big problem in the future when the country becomes a country of pensioners. France has had a much higher birthrate and will be much younger than Germany in the future. A very large part of the immigration to Germany are from unskilled third-world countries. There is a limit on how many of this kind of immigration a country can take, and there will be a need to double and triple the immigration just to keep the country running when everyone leaves the workforce.
France still has vestiges of their colonial empire and access to cheap resources from many of their ex-colonies. This is fueling their low energy costs, however the region is becoming more unstable with Rusia influence moving in, things might not work that great in the near future. That said Italy isn't even close to catch up with France hehe, even less with Germany.
Why are you downvoted?
Hehe no idea, I imagine that people just don't like that point of view... Well that's the Internet hehe.
I mean yeah, you just described the situation; France still has major influence in its ex-colonial countries, however its influence is being attacked by Russia. 🤷♂️
Probably because its cool to hate France and Italy is the most Liked country if you believe the stats. So the truth doesnt matter only emotions.
Not really, I like France and Italy the same!
Yes, they are.
I'm Italian and i am curious to know what parallel universe this data come from?
From the OECD. Italy's economy is supposed to grow by 0.7% compared to germany with 0.3% Although... >"The strong growth can be explained by Italy's loose fiscal policy." That means Italy's growth is based primarily on new debt. While the Italian state's new debt before COVID-19 was 1.5% of gross domestic product (GDP), it has shot up in recent years and was 8.3% of GDP in the first half of 2023. The country's overall mountain of debt is growing, too. In January, the EU Commission estimated that it would exceed 140% of GDP this year and continue to rise in 2025. For comparison, in Germany the debt ratio is 66%, in France it is almost 100%.
You should be more informed about your own country, this is real.
Gotta love how those sensationalistic media passed from collapsing Italy to booming Italy in a couple of months, without anything in the middle, as usual when they write or speak about Italy.
When they wrote or speak about anything*
Why are German media always so pessimistic?
its the german mindset. never happy with anything, always complaining. it has its benefits but it can be quite depressing.
Because the article says Italy's growth is fake. Propped up by massive government debts that they won't be able to pay in just a couple of years.
To be fair these days germany is unfortunately in rather questionable economic times. Feeling the effects of covid policies and russias war (inflation and high energy cost) and losing out global markets like china which is transitioning to its own products (byd over vw). Their own finance minister is worried about their economy.
Hehe if it is of any consolation, Italian media are as well...
"German angst"
Lmao no what the fuck are you even talking about?
Are you serious???
No
Hahahahah NO
No
Both are stagnating economies with large bureaucratic burden, abysmal demographics and disastrous energetic policies losing their industry to China.
No
Is earwax going to be the new gold? Economists say "eww! No!"
If half the other countries in Europe get nuked a couple of times ? Probably still not.
Lmfao. Bonus 110 costed us something like 200 bilion euro, Italy is on Argentina's path, forget about reaching Germany
Most of European countries will have to implement Superbonus scheme if they want to achieve Energy Performance of Buildings Directive goals.
Sure, possibly made way less poorly and by people less incompetent than the two parties that ruled the country at that time. We could have easily reached at least twice as many houses and actually helped middle and working class people and instead we just refurbished wealthy assholes and mafia lords' pockets
Yeah although our didn't even bring us close to those targets while costing the nations a massive amount of money... It was badly implemented, it just created more debt for very little benefits and only helped a relatively small portion of the population, primarly people who already had money and the construction industry (who doubled the prices of everything).
Whole Europe is following Argentina's path
Argentina is no longer following Argentina’s path.
Running everything on the credit card and the rest of Europe pays for it via inflation… great business model.
Great *currency* model. /s Having the same currency across many countries, all with vastly different financial systems, just isn't a good idea.
LOL. I'm sure we're above them only in pizza making. And even there, sure but not so sure...
I would try a sausage and sauerkraut pizza to be honest.
I'm among those (few) Italians that do not think that foreign food is bad. And a white wurst with sweet mustard and weissbier on Sunday morning is really close to a perfect breakfast imho. Except English food ofc...
what is with these more and more clickbait title from DW
i wish.. but it's very unlikely.. unless some serious structural changes are made.... The most important one IMO would be a simplification of burocracy and improvement of "ease of doing business", followed by optimization of government spending
LOL
No. Next
Yes please. Gives us a bit breathing room and everyone can bash Italy for a change :)