Italy at a Glance
A major trading partner?
Any of the following: EU,USA,China,UK,Switzerland
Global Rank?
38th
Is GDP or GNI higher?
GDP
Did the inflation rate increase or decrease during active policy?
increase
What is the specific name for the policy?
The Superbonus 110%
Major Exports?
Any of the following:
Machinery
Vehicles & transport equipment
Pharmaceuticals
Fashion & textiles
Food and beverages
Average life evaluation?
6.6/10
RGDP growth rate during active policy?
An increased growth rate
Which year had deflation and why?
2020 because of COVID-19
What type of macroeconomic policy is it?
Fiscal policy
Which industry makes up the largest percent of the GDP?
Tourism
One strength?
One of the following:
GDP per capita
Healthy life expectancy
RGDP before policy (rounding to the 10 thousand)?
30 000
Why did unemployment continue to decrease post policy?
One of the following:
Because of the PNRR which kept labour workers employed
Italy's working labour force is declining because of aging population.
Which curve and in which direction does the curve shift on the AD/AS diagram?
AD, to the right
What percent of the GDP is government expenditure?
50.7%
One weakness?
One of the following:
Perceptions of corruption
Freedom
How does the present growth rate compare to the growth rate during the active policy?
it is significantly lower at 0.5%
In which gap was the economy operating pre policy?
recessionary gap
One pro and one con of the context the policy was implemented in?
Pro: High unemployment and low GDP
Con: Government already had high debt
How many farms are there?
1.6 million
How does their GDP per capita rank globally?
20th
If a foreign owned firm makes a profit in Italy which Italian metric is reduced?
GNI
Which group had a very different unemployment rate and what was its percentage?
youth, 23.7%
From a market-based supply side perspective, is 110% tax credit more or less allocatively inefficient compared to a lower credit and why?
It is more allocatively inefficient because consumers have no incentive to find the lowest price leading to resource misallocation.