×
Italy

Italy Economy Stats

jaacosta47

Author: jaacosta47

Italy is described as having an expanded industrial economy. The GDP (per capita) is high and infrastructure is highly developed. The IMF listed Italy as number eight in terms of economy size during the first quarter of 2014. It is also the third biggest in the European Zone in terms of nominal GDP. Italy is number five in Europe with respect to GDP purchasing power parity. Italy belongs to the G7 and G8 industrialized countries. The projections for economic growth are the following 0.6 percent until year end; 1.15 percent next year; and, 1.25 percent in 2016.

Relatively speaking, the economy has been struggling for years. Last year, it recorded limited growth of just 0.3 percent based on a yearly rate. Nonetheless, it could be an improvement after declining for nine straight years. The economy is smaller compared to what it was 14 years before. The unemployment rate is a miserable 13 percent.

Despite all these, optimism grows among the public and foreign investors. The Italian National Statistics Institute declared that overall consumer confidence increased in April which is the highest since 2010. Consumer confidence has risen rapidly during the last two months. There seems to be more eagerness for changes suggested by the government to increase domestic demand and employment. The Prime Minister (Matteo Renzi) is determined to bring down individual income taxes and move up taxes on income from financial instruments. However, income from government bonds will be exempted from these increases.

The resolution of the Euro Crisis paved the way for the booming of the Italian stock market. It was up by more than 25 percent over the last 12 months. Moreover, yields on government five year bonds have plummeted. It was recorded at below two percent which is the lowest since the Euro Zone was formed in 1999. According to a new consumer confidence survey, almost 50 percent of respondents believe the economy will be positive from now on. This is considered a very upbeat trend among Italian citizens.

Overview:

Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, welfare-dependent, agricultural south, with high unemployment. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 15% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy has moved slowly on implementing needed structural reforms, such as reducing graft, overhauling costly entitlement programs, and increasing employment opportunities for young workers, particularly women. The international financial crisis worsened conditions in Italy's labor market, with unemployment rising from 6.2% in 2007 to 8.4% in 2010, but in the longer-term Italy's low fertility rate and quota-driven immigration policies will increasingly strain its economy. A rise in exports and investment driven by the global economic recovery nevertheless helped the economy grow by about 1% in 2010 following a 5% contraction in 2009. The Italian government has struggled to limit government spending, but Italy's exceedingly high public debt remains above 115% of GDP, and its fiscal deficit - just 1.5% of GDP in 2007 - exceeded 5% in 2009 and 2010, as the costs of servicing the country's debt rose.

Definitions

  • Budget > Revenues: Revenues calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms
  • Budget surplus > + or deficit > -: This entry records the difference between national government revenues and expenditures, expressed as a percent of GDP. A positive (+) number indicates that revenues exceeded expenditures (a budget surplus), while a negative (-) number indicates the reverse (a budget deficit). Normalizing the data, by dividing the budget balance by GDP, enables easy comparisons across countries and indicates whether a national government saves or borrows money. Countries with high budget deficits (relative to their GDPs) generally have more difficulty raising funds to finance expenditures, than those with lower deficits.
  • Debt > Government debt > Public debt, share of GDP: Public debt as % of GDP (CIA).

    No date was available from the Wikipedia article, so we used the date of retrieval.

  • Exports: This entry provides the total US dollar amount of merchandise exports on an f.o.b. (free on board) basis. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms.
  • Fiscal year: The beginning and ending months for a country's accounting period of 12 months, which often is the calendar year but which may begin in any month. All yearly references are for the calendar year (CY) unless indicated as a noncalendar fiscal year (FY).
  • GDP: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used.
  • GDP > Composition by sector > Industry: The gross domestic product (GDP) or value of all final goods produced by the industrial sector within a nation in a given year. GDP dollar estimates in the Factbook are derived from purchasing power parity (PPP) calculations. See the CIA World Factbook for more information.
  • GDP > Per capita: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller. Per capita figures expressed per 1 population.
  • GDP > Per capita > PPP: This entry shows GDP on a purchasing power parity basis divided by population as of 1 July for the same year.
  • GDP > Purchasing power parity per capita: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller. Figures expressed per capita for the same year.
  • GDP per capita: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used. Figures expressed per capita for the same year.
  • Gross National Income: GNI, Atlas method (current US$). GNI (formerly GNP) is the sum of value added by all resident producers plus any product taxes (less subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and prop).
  • Population below poverty line: National estimates of the percentage of the population lying below the poverty line are based on surveys of sub-groups, with the results weighted by the number of people in each group. Definitions of poverty vary considerably among nations. For example, rich nations generally employ more generous standards of poverty than poor nations.
  • Public debt: This entry records the cumulatiive total of all government borrowings less repayments that are denominated in a country's home currency. Public debt should not be confused with external debt, which reflects the foreign currency liabilities of both the private and public sector and must be financed out of foreign exchange earnings.
  • Unemployment rate: This entry contains the percent of the labor force that is without jobs. Substantial underemployment might be noted.
STAT AMOUNT DATE RANK HISTORY
Budget > Revenues $964.30 billion 2013 7th out of 223
Budget surplus > + or deficit > - -2.9% of GDP 2012 98th out of 182
Debt > Government debt > Public debt, share of GDP 126.1 CIA 2014 8th out of 153
Exports $478.90 billion 2012 9th out of 189
Fiscal year calendar year 2013
GDP $2.01 trillion 2012 10th out of 177
GDP > Composition by sector > Industry 23.9% 2012 128th out of 217
GDP > Per capita $29,393.12 per capita 2010 9th out of 118
GDP > Per capita > PPP $29,800.00 2012 30th out of 188
GDP > Purchasing power parity per capita $29,462.64 2010 27th out of 181
GDP per capita $33,048.75 2012 24th out of 177
Gross National Income $1.12 trillion 2001 7th out of 158
Population below poverty line 19.6% 2011 20th out of 31
Public debt 126.9% of GDP 2012 7th out of 149
Unemployment rate 10.7% 2012 39th out of 112

SOURCES: CIA World Factbooks 18 December 2003 to 28 March 2011; CIA World Factbooks 2010, 2011, 2012, 2013; Wikipedia: List of countries by public debt (List) (Public debt , The World Factbook , United States Central Intelligence Agency , accessed on March 21, 2013.); All CIA World Factbooks 18 December 2003 to 18 December 2008; World Bank national accounts data, and OECD National Accounts data files.; CIA World Factbook 2010, 2011, 2012, 2013; CIA World Factbooks 18 December 2003 to 28 March 2011. Population figures from World Bank: (1) United Nations Population Division. World Population Prospects, (2) United Nations Statistical Division. Population and Vital Statistics Report (various years), (3) Census reports and other statistical publications from national statistical offices, (4) Eurostat: Demographic Statistics, (5) Secretariat of the Pacific Community: Statistics and Demography Programme, and (6) U.S. Census Bureau: International Database.; World Bank national accounts data, and OECD National Accounts data files. Population figures from World Bank: (1) United Nations Population Division. World Population Prospects, (2) United Nations Statistical Division. Population and Vital Statistics Report (various years), (3) Census reports and other statistical publications from national statistical offices, (4) Eurostat: Demographic Statistics, (5) Secretariat of the Pacific Community: Statistics and Demography Programme, and (6) U.S. Census Bureau: International Database.; CIA World Factbooks 18 December 2003 to 28 March 2011

Citation

"Italy Economy Stats", NationMaster. Retrieved from http://www.nationmaster.com/country-info/profiles/Italy/Economy

NationMaster

Did you know

Italy Economy Profiles (Subcategories)

Adjusted savings 3 Innovation 34
Aid 6 Intellectual property 6
Balance of payments 28 Interest payments 3
Budget 10 International tourism 14
Business 14 Investment 3
Changes in net 4 Labor force 3
Commercial service 4 Market capitalization of listed companies 4
Commercial service imports 4 Merchandise 4
Commitment to Development Index 4 Merchandise imports 4
Companies 32 Micro 4
Consumption 10 National accounts 104
Currency 15 Natural gas 8
Current account balance 5 Net capital account 4
Current transfers 4 Net current transfers 4
Debt 54 Net current transfers from abroad 6
Economic aid 3 Net errors and omissions 4
Economic growth 8 Net income 4
Economic structure 4 Net income from abroad 6
Electricity 8 Net trade in goods 4
Entrepreneurship 12 Net trade in goods and services 4
Exports 3 Oil 10
External balance on goods and services 7 Portfolio investment 4
Final 15 Poverty and inequality 8
Financial sector 26 Productivity 7
Foreign direct investment 14 Public expenditure 4
GDP 42 Purchasing power parity 11
GDP growth 4 Reserves 6
GDP per capita 4 Retail 3
GNI 12 Royalty and license fees 8
Goods 4 Savings 44
Goods imports 4 Service 4
Government 16 Service imports 4
Government debt 4 Services 10
Government deficits and debt 4 Spending 73
Government spending 5 Steel 4
Gross capital formation 5 Stock of direct foreign investment 6
Gross domestic savings 5 Stocks traded 5
Gross fixed capital formation 10 Support and aid 4
Gross national expenditure 6 Tax 72
Gross savings 6 Taxes 3
Gross value added at factor cost 9 Total 9
High-technology 4 Tourism 21
Household final 18 Tourism expenditures 5
Income 24 Tourism receipts 5
Income distribution 4 Tourist arrivals by region of origin 8
Income payments 4 Trade 1674
Income receipts 4 Trademark applications 4
Inequality 13 Transnational corporations 4
Inflation 10 Welfare 5
  • Italy ranked #5 for GDP amongst Christian countries in 2012.
  • Italy ranked second for exports amongst Catholic countries in 2012.
  • Italy ranked last for GDP per capita amongst Group of 7 countries (G7) in 2012.
  • Italy ranked #4 for budget > revenues amongst Europe in 2013.
  • Italy ranked first for GDP > composition, by end use > imports of goods and services amongst European Union in 2012.

2

Italy is described as having an expanded industrial economy. The GDP (per capita) is high and infrastructure is highly developed. The IMF listed Italy as number eight in terms of economy size during the first quarter of 2014. It is also the third biggest in the European Zone in terms of nominal GDP. Italy is number five in Europe with respect to GDP purchasing power parity. Italy belongs to the G7 and G8 industrialized countries. The projections for economic growth are the following 0.6 percent until year end; 1.15 percent next year; and, 1.25 percent in 2016.

Relatively speaking, the economy has been struggling for years. Last year, it recorded limited growth of just 0.3 percent based on a yearly rate. Nonetheless, it could be an improvement after declining for nine straight years. The economy is smaller compared to what it was 14 years before. The unemployment rate is a miserable 13 percent.

Despite all these, optimism grows among the public and foreign investors. The Italian National Statistics Institute declared that overall consumer confidence increased in April which is the highest since 2010. Consumer confidence has risen rapidly during the last two months. There seems to be more eagerness for changes suggested by the government to increase domestic demand and employment. The Prime Minister (Matteo Renzi) is determined to bring down individual income taxes and move up taxes on income from financial instruments. However, income from government bonds will be exempted from these increases.

The resolution of the Euro Crisis paved the way for the booming of the Italian stock market. It was up by more than 25 percent over the last 12 months. Moreover, yields on government five year bonds have plummeted. It was recorded at below two percent which is the lowest since the Euro Zone was formed in 1999. According to a new consumer confidence survey, almost 50 percent of respondents believe the economy will be positive from now on. This is considered a very upbeat trend among Italian citizens.

Posted on 25 May 2014

jaacosta47

jaacosta47

423 Stat enthusiast