The Political Economy of Italy's Decline

ISBN : 9780198796992

Andrea Lorenzo Capussela
304 ページ
156 x 234 mm

Italy is a country of recent decline and long-standing idiosyncratic traits. A rich society served by an advanced manufacturing economy , where the rule of law is weak and political accountability low, it has long been in downward spiral alimented by corruption and clientelism. From this spiral has emerged an equilibrium as consistent as it is inefficient, that raises serious obstacles to economic and democratic development. The Political Economy of Italy's Decline explains the causes of Italy's downward trajectory, and explains how the country can shift to a fairer and more efficient system. Analysing both political economic literature and the history of Italy from 1861 onwards, The Political Economy of Italy's Decline argues that the deeper roots of the decline lie in the political economy of growth. It places emphasis on the country's convergence to the productivity frontier and the evolution of its social order and institutions to illuminate the origins and evolution of t


1 Introduction: Italy's decline, the existing interpretations, and our hypothesis
2 The conceptual framework: growth, institutions, and social orders
3 The conceptual framework: collective action, trust, culture, and ideas
4 Vicious circles and multiple equilibria: the spiral
5 Italy's social order between unification and Fascism
6 The formation of the republican institutions
7 The 'economic miracle' and an ambitious reform programme
8 Continuity and instability: the spiral sets in
9 The last four decades: the spiral unperturbed, halted, resumed
10 Conclusions


Andrea Lorenzo Capussela received a PhD in international law with a thesis concerning competition policy. After some years in the private sector, he served as the head of the economics unit of Kosovo's international supervisor, the International Civilian Office, in 2008-11, and then as the adviser to Moldova's minister of economy and deputy prime minister, on behalf of the EU. He is the author of State-Building in Kosovo: Democracy, Corruption, and the EU in the Balkans.