Saturday, 1 June 2013

Italian economic crisis turned back the clock of 13 years

A study presented by the most important Italian trade union, the Italian General Confederation of Labour (CGIL) shows the dramatic effects of the current crisis in the country.
 According to the simulations presented in the study, if the government lead by Prime Minister Enrico Letta, as well as the European authorities, will not approve substantial reforms of economic policy in the upcoming months, with current trends, the country will need more than 13 years to reach the GDP level of 2007 and more than 63 years to reach the same levels of employment. Since 2008 the GDP, the study reports, loses an average of 1.1 percentage points each year, while jobs fell by more than 1.5 million compared to 2007. The gross wages lost 0.1% each year (those net 0.4%), productivity is on average negative 0.2%, as well as lower investments, again on average, by 3.6 points per year