Istat: improve the deficit/Gdp and purchasing power of households – The Republic

the MILAN - it Improves the relationship between deficit-to-Gdp in the second quarter of 2016, according to data published by Istat, compared to what was recorded in the same period of the year in previous seasons. The ratio was equal to 0.2%, “improvement” of 0.7 percentage points on an annual basis. This is the lowest level since the second quarter of 2007. Looking at the accumulated data, the first half of the year, the net debt amounted to 2.3% of Gdp, even in this case, a decrease compared with the same period of the previous year (was 3.0%).

therefore, Although the continual postponements on the objectives of debt reduction, it remains to certificate the path of descent. That is, the budget balance net of interest expense) was positive for 18.614 million (16.707 million in the corresponding quarter of 2015). The relative impact on the Gdp was equal to 4.4%, compared to 4.1% in the second quarter of 2015. In the first six months of 2016, in terms of the impact on Gdp, the primary balance was positive and equal to 1.7% of Gdp (1.4 per cent in the same period of the year 2015).

Among other data, it signals the decline of the tax, which again in the second quarter of the year has lowered 0.4 percentage points and stood at 42.3%. The total revenue in the second quarter of 2016 are increased in terms of trend growth of 0.8% and their incidence on gdp was 47.2%, a decrease of 0.7 percentage points compared to the corresponding quarter of 2015. If you extend the analysis to the first two quarters of 2016, the incidence of total revenue to gdp was 45%.

The change in the acquired growth for the year 2016 is equal to +0,6%, down from the estimate released on 2 September, when the change acquired by the end of 2016, was equal to 0.7%. In the middle, in fact, Istat has revised upward the Gdp of the absolute value of the 2014 and 2015, with the effect of making the less favourable the comparison of this year with last. According to today’s update, in the second quarter of 2016, the Gdp expressed in chained values with reference year 2010 adjusted for calendar effects and seasonally adjusted”, has remained unchanged compared to the previous quarter and increased by 0.7% in the second quarter of 2015. A month ago, the Institute had measured the same short-term change and a change in trend of 0.8%.

thanks to the minimum levels of increase in prices, the purchasing power of the families – that is, the real income – in the second quarter of 2016 increased 1.1% quarter-on-quarter and 2.9% on an annual basis. Also in this case it is a shot with a few earlier: the given trend is the best since the second quarter of 2007. The growth is helped by the trend of prices, but salt is also the disposable income, which is the nominal value (by 1.3% on the quarter and up 2.8% on an annual basis). The propensity to save of italians was equal to 9.6% in the second period of the 2016, the highest since the beginning of 2010: on the other hand, disposable income grows more than the consumption expenditure final (by 1.3% against 0,2%). “A serious fact, if we consider that the expenditure of households represents 60% of Gdp. If you want to the growth, in short, is on fuel consumption that must be bet to have a trend reversal. Also, it is a deterioration with respect to 2015,” says Massimiliano Dona, secretary of the National Union of Consumers.