What has driven Italian growth over the past 60 years?
At the OECD there is an interesting database that reports, year by year, the contributions to changes in GDP for each individual country that is part of the supranational association. Canale Sovranista has taken the trouble, with great benefit to us, to collect these data and put them in order, in order to understand, year by year, what has driven the growth of our country.
Here is the resulting graph:
When the Italian economy grew, it did not do so due to the thrust of exports, but, above all, if not almost exclusively, for that of internal consumption. Since the 1960s, Italy has grown because Italians spend, in the confidence of growth, as can also be seen by analyzing the data from 1965 and 1966.
If consumption is punished, there is no growth or at least not significant
Even the recent economic crisis of Covid-19, with its externality and exceptionality, only confirms what had been seen in the past: without growth in consumption by Italian families there is no sustained growth. The very strong fall in GDP is in fact linked to the collapse of domestic demand before a limited drop in exports. How, at this point, can we think that a loan fund like that of the PNRR, which in any case will have to be repaid and which will not be renewed, can generate real sustained growth? This question we would like to ask the Roman super bureaucrats, or the always kneeling journalists. It is a pity that the former are impervious to questions, and the latter do not know anything other than the phrases that the director communicates to them.
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The article What has driven Italian growth over the last 60 years? comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/cosa-ha-guidato-la-crescita-italiana-negli-ultimi-60-anni/ on Sat, 04 Sep 2021 07:56:10 +0000.