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Towards 2011: Italian Firms' Scenarios

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  • Fedele De Novellis
  • Stefania Tomasini

Abstract

After more than one year of recovery industrial activity remains largely below the peak achieved at the beginning of 2008. This seems to support the hypothesis of a reduction in the potential output of the Italian industry. The economic outlook is affected by the loss in price competitiveness with respect to the other euro area countries; to reduce this gap firms will have to increase productivity in the next years. However the adjustment will be painful in terms of employment. Firms will also face financial constraints as the credit conditions will be less accommodative than in the years before the crisis.

Suggested Citation

  • Fedele De Novellis & Stefania Tomasini, 2010. "Towards 2011: Italian Firms' Scenarios," L'industria, Società editrice il Mulino, issue 4, pages 649-660.
    • Handle: RePEc:mul:j0hje1:doi:10.1430/33382:y:2010:i:4:p:649-660
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    Keywords

    Competitiveness; Industry; Italy;
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