The Reason behind Italy's Economy Decline | Italian Economy
2024 ж. 17 Ақп.
5 689 Рет қаралды
Italy has been one of the world's major powers throughout history, ranking eighth in terms of GDP globally. However, in recent decades, Italy has experienced a significant decline, with an economy struggling to grow and keep pace with the leading European economic powers, such as Germany and France. Join us in exploring the reasons behind Italy's economic decline and why the beautiful country is finding it challenging to recover after the recent global economic crises.
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We italians love bureaucracy and paying high taxes
From Italian to Italian, this is the harsh truth!
You used to get a lot for your tax.
Certainly in the past, now the tax burden is causing a paralysis in entrepreneurship and discouraging young people from innovating and investing in the future
I don't know, (1)from U.K.'s The Telegraph headline: "Meloni's Italy Is Doing What Basket-Case Britain Could Only Dream Of", then reporting Italy's Per Capita growth is about 5% Higher than pre-pandemic "Far" outstripping Germany France, the U.K., and Spain. Per capita growth, a gold standard of how a country's citizens are Actually faring. A 'wellness' stat. (2) Germany's DW (Deutsche Welle) headline: "Is Italy Overtaking Germany as Europe's Economic Powerhouse." Is Italy Overtaking Germany??? Yep. Nothing terribly newsworthy within the article though, imo. So these are major publications of even the MSM. How do think this is, given what you purport? How is Italy doing this, to you? You said you were "Italian" here, maybe you can explain to me then? These are right out of major English and German publications themselves, on April 3rd, 2024. Do you think these journals would write 'these kinds of headlines', without some basis? Why in the world would they just come up with such a comparison out of thin air, if there might well be nothing to it? I don't think they would.
Thank you for your very interesting comment. I want to clarify that in my video, I'm providing an overview of the Italian economy over the long term. Over the past 20-30 years, there's no data that can affirm that Italy isn't in decline. Debt to GDP is second in Europe, better only than Greece, which certainly isn't among the world powers like Italy. GDP reached its historical peak back in 2008, the population is aging, Italian salaries are among the lowest in Europe in terms of year-on-year growth, and every year Italian companies are being acquired by French, Chinese, and American firms. Certainly, 2023 was a positive year for Italy compared to other European countries, but it would take 20 more years of such progress to restore the economy of a country that was once a true economic powerhouse in the last century. My analysis puts Italy in perspective with what its role was in the global economy in the past, so the judgment can only be negative. This doesn't mean that every year I expect or wish for the Italian economy to decline, but this is the current trend. Out of professional habit, I need to see a divergence from the negative Italian trend for more than a year to announce a change in trend. When these metrics, rightly cited from articles by the Telegraph and DW, confirm a reversal over a timeframe of at least 3 years, I will be happy to make a video about the Italian renaissance.
@@visioneconomy Thank you for your response as well. Whatever you do is up to you and not my concern really. But I will at least point out that the data discussed here Was for 3+ years, or is it even about 4 years now? All the data provided is from pre-pandemic to the latest published data. As to wages, the latest published quarter of data, Italy was +7.9%(!), almost Double the second European country, but this was for One Quarter. Do these publications not know of Italy's 'lower wages', as you say? Surely they do, so why compare to Italy, given such wage differential then? Yet read their headlines. As to Debt, Italy's Overall debt, including Govt. Debt, Private Debt, and Implicit Debt (Pensions, Healthcare, for Citizens retirement, now and future) is vastly Lower than Germany's Overall Debt, who would be 2nd in the entire world, to Italy, in this way. I am sure only very few people know this. But so what, it is Factual. That would be a video that would 'shock' people, that is True, instead of the same old, and I will leave it at that. I mean Japan's Debt is 264% of GDP, basically 2X Italy's Debt to GDP ratio and totaling about $11T Debt to Italy's paltry 3T, by comparison. Is not Japan a G7 country as well? How about the U.S.? Are they a G7 country? Their Gov. Debt will be almost 13X Italy's Debt by end of 2024. That's with a population that is about 5.6X Italy's population, yet they will have nearly 13X the Debt of Italy in 8 months. Then add America's private debt and other debt compared with Italy, and it's even 'well worse' than even that. There is one thing I will edit in my own comment as per DW, because from yesterday to today, they rephrased their original Headline and added, "IS Italy Overtaking...., instead of "Italy IS Overtaking". I found that title a bit too surprising myself, in that I am surprised they would say this in that manner. But they changed it. Unless it was a mistake of the headline. Anyway, it doesn't change the overall point. I mean isn't Germany's GDP almost 2X what Italy's is "stated", and quite a larger country as well. Yet they propose this? Yep. Isn't Britain's economy almost 1/3 larger than Italy's "stated" economy? Yet they state such a headline "themselves" also, and both on the same day. Anyway, I already have my own concrete knowledge of the subject, but I nonetheless found their respective headlines, out of their countries, "interesting."
I completely understand your point. You argue that the Italian economy is not declining when compared to other economies that are performing even worse, and I can agree with you on that. However, this doesn't change the fact that Italy is no longer the global powerhouse it was in the 1900s and, compared to the past, it's an economy in decline. That was the essence I wanted to convey in the video. I hope this clarifies.
@@visioneconomy That's fine, and yes you clarified. That is your own take on things. But Germany's own Deutsche Welle says in their headline "Is Italy Overtaking Germany as Europe's Economic Powerhouse." They use the exact word "powerhouse" in their headline. You can disagree if you want certainly, on your own, but your video obviously runs counter to what they say. I'm just saying. DW, as you might know, is a major news organization in Bonn, Germany itself.
Underground economy, tax evasion
This is certainly a significant problem for Italy and, above all, a problem that shows no signs of stopping. Especially in southern Italy, where there are even higher levels of unemployment, the phenomenon of the black economy is disruptive.
The graph showing economies in the beginning is distorted and without units
You're right, we didn't notice! Thanks for pointing it out!
Hey, Thank you very much for great video. One thing was constantly disturbing me while watching was a strange click sound you added. It constantly distracted me to follow the video. Not funny. I assume you want that your users stay focused on your presentation and come back again and not vice vers. Konstantin
Hello Konstantin, thank you very much for the feedback, very helpful. Indeed, the sound is included precisely for that reason, but if it is bothersome, it is advisable to remove it. Thanks, if you have any other feedback, I am happy to hear it.
@@visioneconomy I don't like the flashing effect you have with every transition, or the clicking. Otherwise it's well presented and your voice is very good.
Thank you very much. I understand that flashes and sounds don't help with storytelling. What would help, in your opinion? Are there specific sound or graphic effects you would recommend?
@@visioneconomy I've never made a video myself so I'm not the one to help you. If you can just remove the flash and click your videos will be good!
Thank you! We'll definitely do it in the next video!
I just watched a video that describes the exact opposite.....
Which one do you agree with more?
@@visioneconomy Who knows, it depends on future political and economic choices of both Italy and the EU
Leave BRI, this project will boost the economy for all citizens benefits
Do you mean that Italy made a mistake leaving the BRI in December 23?
"promo sm" 😠
I didn’t get it
Demographics
Sure, the aging of the population in Italy is a major issue. The Italian pension system is facing significant pressure. I'll tell you more, did you know that It is estimated that the current retired population receives 80% of their salary as pension, projections indicate that current young people will work more than their parents and receive only 50% of their salary, due to a disproportionate aging population.