PRESENTING: The Gigantic Shadow Economy That's Eating Italy Alive

Italy is facing massive structural reforms as they try to reduce a huge government debt overhang and restore confidence among bond market investors.

One of the ways the country is doing that is fighting tax evasion. The shadow economy in Italy represents big potential for reform because it still may be over 20 per cent of Italy’s entire GDP, according to Morgan Stanley:

Italy's shadow economy

Photo: Morgan Stanley

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