Italian public accounts are “adrift”. He’s the one who says that Maseru Observatory Research Quarterly No. 51, released today. Let’s see why.
Italian public accounts
In the first seven months of 2023 the state spent 135 billion euros More than I collected: Figures similar to those collected in 2020, in the midst of the pandemic.
The error is not due to lower tax revenues, which actually increased 21 billion Compared to last year, but public debt reached new record levels: from 2.757 billion in January 2023 to 2.859 billion From July.
Inflation results in a heavier shopping cart, with an increase in retail value but a decrease in sales volume. Industrial production is declining, as is GDP.
This is a decline that will continue in the future, so much so that Mazziero Research has also reduced it Estimate real GDP (net of inflation) from previous +0.2% to -0.1% in Q3 2023, with a possible downward revision. The estimate was also revised downward for this year 2023, from previous +0.8% to +0.6%That is less than the growth reported by Istat of 0.7%.
As Maziero emphasized:
“Of course it is an international situation and the tightening of interest rates by the European Central Bank is not helping, but everyone knows that in good times we have to put straw on the farm and in bad times we do not know how to do it. We are just champions of spending.”