Wednesday, 3 July 2013

PIIGS or PIGS?

 


Should Italy form part of the so-called PIIGS? Not really. Italy is one of the 4 largest European economies, the third largest contributor to the EU, has EU's second largest manufacturing industry and belongs to the G8. Its GDP is more than the combined GDP of Spain, Greece, Ireland and Portugal. In terms of resilience, that of Italy is substantially higher that that of the PIGS.  As far as its collocation within the European G8 members, the economy of Italy is significantly more resistant to shocks than that of Germany and France, as illustrated in the graph below (the size of the bubbles is proportional to GDP).





 



No comments:

Post a Comment