l'Atlante

  1. Budget policy in 2016: In search of expansionary effects

    lucia.cossaro@prometeia.com
    Most of the net resources used by the new ‘Stability Law’  will be used to avoid the tax increases laid down by the deficit safeguard clauses, that is, to avoid asking households and companies to “put their hands in their pockets”. Without, however, putting any new cash in those pockets. Is this enough for this budget to be considered expansionary? We believe it is, up to a point. Meanwhile, available indicators suggest budget figures in line with their targets. This is not just thanks to the government.

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Prometeia Brief

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- Italy’s growth remains on track.
- The recent rescue of four local banks has been poorly managed. 
- Emerging market slowdown remains a risk: recent performance of Italy’s exports.
- How accurate are our forecasts? 

 
 
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