European and Global Economic Crisis Series: "The Italian Economic and Social Crisis"

Friday, November 18, 2011
12:00 PM - 1:30 PM
(Pacific)
Reuben W. Hills Conference Room
Speaker: 
  • Roland Benedikter

Italy is the 8th biggest national economy in the world and the 3rd biggest in the Euro zone after Germany and France. Although it holds the third-largest gold reserves in the world, enjoys a high living standard with comparatively low private debts and is technologically innovative, as for example the recent takeover of parts of the U.S. car industry during the financial crisis 2008-11 underscored, it is currently considered to be the most vulnerable national economy threatened by the European debt crisis because of its huge public debt which reached 118% of the GDP in 2011. Although Italy is considered as "too big to fail" because it could hardly be saved by the European rescue funding programme with a GDP of more than 2.1 trillion Euro, there are fears that a further loss of trust by the international money markets could trigger an unprecedented crisis. Interest rates payed for Italian public debt rose to record numbers in fall 2011 due to the downgrading by leading rating agencies since summer 2011. The seminar gives a concise overview over the current state of affairs in Italy, including its debt and economic crises, and discusses their potential interweavement with the social crisis the country is undergoing in the view of international observers. In the age of media democracy, contextual political factors like social and cultural psychology, public appearances and symbolic events are increasingly impacting Italian politics and economics in ambivalent ways.

A podcast of this talk will soon be made available.