http://edition.cnn.com/2013/02/22/business/italian-elections-letta-berlusconi/index.html?hpt=ibu_c1
Some politicians and financial experts believe that Silvio Berlusconi's possible return as the Prime Minister of Italy may spell doom for the country. Berlusconi has been a controversial figure and had to resign in 2011 as a result of his economic policies and personal legal battles. His return would lead to a trust deficit between Italy and the rest of Europe and would also harm the economy since he is expected to tax the middle class and big businesses further.
Italy, already under high austerity and declining GDP, would be hurt by his policies. His previous performance is also not very encouraging.
The incumbent Prime Minister, Mario Monti is guaranteed to lose and the race is only between Berlusconi and Pier Bersani, the leader of Italy's Democratic Party.
Some politicians and financial experts believe that Silvio Berlusconi's possible return as the Prime Minister of Italy may spell doom for the country. Berlusconi has been a controversial figure and had to resign in 2011 as a result of his economic policies and personal legal battles. His return would lead to a trust deficit between Italy and the rest of Europe and would also harm the economy since he is expected to tax the middle class and big businesses further.
Italy, already under high austerity and declining GDP, would be hurt by his policies. His previous performance is also not very encouraging.
The incumbent Prime Minister, Mario Monti is guaranteed to lose and the race is only between Berlusconi and Pier Bersani, the leader of Italy's Democratic Party.
2 comments:
Considering Silvio Berlusconi's particularly notorious reputation, one would think that the chances for his reelection are zero. While the article says that it is relatively unlikely that Berlusconi will win the election, I am quite surprised that he has still received such high levels of support. This may signal the weaknesses of many Italian institutions. As Prof. Skosples mentioned in class, I wonder if the mezzogiorno problem (severe economic, social, and political deficits between Northern and Southern Italy) could explain some of the support for Berlusconi. In other words, I wonder if Berlusconi's supporters mainly come from the more corrupt, economically weak areas of Southern Italy?
What a hectic and confusing day in Italy! Early this morning, there were reports that Pier Bersani, the leader of Italy's Democratic Party was perceived to be the winner. I thought this news was going to hold firm, but after taking a look at the news later in the day, those predictions were reversed. The early morning predictions lead to optimistic views for the Italian market and markets elsewhere, but after Berlusconi was the one who is now believed to be the winner, people are now doubtful and questioning Italy.
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