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Italy: Expanding economy and increasing prices

Author

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  • Oscar-Erich Kuntze

Abstract

After stagnation in the second half of 1998, production and demand have recovered slightly in Italy. In 1999 real GDP grew by 1.4%. Employment expanded by 1.2% and average unemployment for the year stood at 11.3% (1998: 11.9%). Consumer goods prices were 1.7% above the level of 1998. In 2000 the economic recovery will continue and gain breadth. Real GDP should expand by 2¾%, stimulated by economic policy; unemployment will fall to about 10¾%; and inflation will stand at a good 2½%. In the course of the next year, a gradual slowing of the expansion is expected. Real GDP should grow by about 2½%. Employment should increase by about 1%, and consumer prices will probably be about 2¼% above the year-2000 level.

Suggested Citation

  • Oscar-Erich Kuntze, 2000. "Italy: Expanding economy and increasing prices," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 53(25), pages 26-30, November.
    • Handle: RePEc:ces:ifosdt:v:53:y:2000:i:25:p:26-30
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    JEL classification:

    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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