The 6 Reasons Italy Has Come Under Attack

gelato ice cream fruit sorbest

Photo: Wikimedia Commons

ITALY ITALY ITALY.It’s a problem that consumes all of Europe, and arguably the world.

In a new note out today, SocGen’s Vladimir Pillonca identifies 6 reasons Italy has come under attack.

Italian growth has stalled out

Over the past six months, there's been no growth at all.

And actually, GDP per capita is lower than it was in the year 2000.

Italy has the second-highest debt-to-GDP ratio in Europe

At 120%, only Greece is worse.

Source: SocGen

The country's austerity market is backend loaded

Newly announced budget cutting doesn't start the fiscal adjustment until 2013.

A lot could change by then.

Plus, there are elections in 2013, which could throw the whole thing into disarray.

Source: Socgen

The political system is fragile

Burelsconi: 'Nuff said.

There are no plans for structural adjustments

Ultimately, it's not just about budget cutting, but about fixing the economy.

Unfortunately, nobody has any idea what to do.

Check out the failure of Italian labour productivity to rebound.

Recent downgrades from Moody's & S&P

These downgrades have served to remind everyone what a mess the country is in.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at