Italy is back in the news due to debates over the ECB and bond purchases. Unfortunately, there are again lots of distorted stories and statements around. Here's a data-based summary thread that may help in debunking the claims about a "profligate, reform-lazy Italy". 🧵
"Italy has been living beyond its means; now Italians finally need to adjust!" In fact, 🇮🇹 has exported more goods and services than it imported since 2012 - also during the Covid crisis. Italians consume less than they produce - living below their means.
@heimbergecon @federicacocco Grazie Philipp. Anche tanti italiani purtroppo sono vittime della stessa disinformazione e hanno la stessa visione distorta
@heimbergecon Great news! So ECB don‘t have to buy their bonds after all because Italy is rocksolid. Thx for clarifying
@heimbergecon Totally true, but italian GDP isn't growing by decades, productivity is low and wages still flat or decreases. New generation are lower in numbers and in salary. Not everything is lost but these are big and tricky problems to solve
@heimbergecon Public debt for the country is a real mess. It's size is a monster (2800 billions-euro, 160% annual GDP) and without a boost in productivity (which is declining from almost 30 years, for several reasons that need to be understood) it is not sustainable on the long term
@heimbergecon You should lecture market participants rather than Twitter. Why do they keep dumping Italy’s bonds whenever the ECB hints at exiting the market ?
@heimbergecon Italy is the driving force behind the Japanification of the Eurozone. The reasons don't matter, what matters is that the situation is not sustainable.
@heimbergecon Can you a look at Italian Banks NPLs ? Maybe thats important too when talking about Italian debt
@heimbergecon thank you for this detailed thread!
@heimbergecon Thank you! Good job. Now, please, go to Bruxelles and explain it. 👍
@heimbergecon Antitrust Should Be Used to Fight Inflation prospect.org/economy/antitr… Controlling market power is an integral tool to deal with rising costs.
@heimbergecon Hai ragione Philipp: noi italiani siamo lazzaroni e l'Europa ci deve mantenere! @ArkadiMaslow
@heimbergecon So, what is potential growth, and expected growth for the next 5-10 years, given demographics? Over the past twenty years, real GDP growth average is ZERO. Negative since 2005. Wonderful #Italy runs surpluses because it has to, otherwise debt dynamics are unsustainable.
@heimbergecon @andrea_zuddas Dear Philipp thank'you for your interest in Italy. Could you have a look at English dictionary and control the meaning of the word spread? Could you pleas control wath are the derivates and how many trial have been made in Italy against german banks (procura of Milan...)...
@heimbergecon Italy has a communication issue and challenge I will conclude based on the past!
@heimbergecon Il sig Philipp ci vuole proprio bene...grazie 1000
@heimbergecon Even if that debunk was based on the purest from the purer truths, I am so pissed of my own country, by the way it treated theachers during Covid, that I do not make a fuss if some well placed lies could make us far far far far worse than Greece. Sorry.