Italy’s Economy is Taking a Beating
With the global recession lasting over two years now, many countries have been highly affected by the current state of the global economy. One of the countries that has been hit the hardest is Italy. Many people do not think of Italy as a poor country by any means. However, the number of people that live in seriously deprived families in Italy has soared up to 8.6 million.
The unemployment rate in Italy for the younger generation has recently hit 40 percent. Italians’ purchasing power fell by 4.8 percent in this last year.
To put the drastic rate at which the poverty level in Italy is increasing into perspective, here are a few figures: The percentage of families that could not afford to eat a protein based meal such as meat every two days, rose to 16.6 percent in 2012. The year before, this percentage was only at 12.4 percent. In 2010 this percentage was at 6.7 percent. In two years, the percentage of families that could not eat a nutritious meal for a period longer than two days rose by 9.9 percent.
While all of this may seem grim, there is still hope for Italy. Prime Minister Enrico Letta stated that he believes Italy can stage an economic recovery without increasing its huge public debt. After meeting with his advisors, he concluded Italy’s economy may get slightly worse before there is improvement, but in the next few years improvements are expected in Italy’s fiscal state.
– Matthew Jackoski
Sources: Huffington Post, Reuters
Photo: Didier Ruef