Saturday, March 19, 2016

Bureaucracy and lawlessness are losing 230 billion – The Time

CONFCOMMERCIO

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 Not so stifling bureaucracy, lawlessness and a more productive economy Italy could express a richness, not realized today, amounting to 230 billion euro. 16% more than the country’s current gross domestic product. To do the calculation was the Confcommercio who presented the “Report on regional economies” at the Forum organized by the same association in Cernobbio. In short, the country grows poorly compared to European competitors despite favorable international conditions and the disease is caused by structural defects that impact on investment and result in an inability to grasp the opportunities. The managers of the competitiveness gap is precisely the bureaucracy, lawlessness, the lack of infrastructure, a reduction of productive capital and quality of human capital does not live up to other European countries especially in southern Italy. “It is clear the -stresses complex relationship that we are out of the bleak logic of the zero point, but it should be equally clear that we are in an exercise in imagination, though sensible. These adjustments -according to the Confcommercio- would require years of time and in some cases are difficult to reach a limit, for example, with regard to accessibility. ” The exercise notes, however, according to the study “that Italy that we would like and that really could be an Italy is much richer: therefore, any improvement on these fronts would offer a benefit that is worth the reform efforts in the indicated directions. Italy freed from structural excesses and deficits – added the Confcommercio- would be less unequal and significantly reduce the distance between regions, and especially between the South and the rest of the country. “

 The second exercise, according to the study of Confcommercio “much more attainable in the short term” is based not so much on the reduction of defects in order to reduce regional distances as “the simple adjustment of 5% of the accessibility parameters, bureaucracies and legality and a 1% growth in human capital. ” Waiting for better performance Confcommercio sees for 2016 and 2017 real GDP to + 1.6%. To give impetus to this growth would be the consumption with respectively 1.4% and 1.7%. Momentum supported by gross fixed capital formation (+ 3% and + 3.7%), also by virtue of some of the measures put in place by the Stability Law.

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Philip Caleri

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