Author(s)

Xiaoqi Huang, Ruijia Luo

Corresponding Author

Xiaoqi Huang

ABSTRACT

The economic decline of Italy after the 1990s is a topic that many researchers look into. However, most of the existing works focused on a singular factor attributed to the problem. Different from previous works, this study looks into the problem of the Italian economy through various determinants, aiming to answer the question: Are external and internal factors equally important for the decline of the Italian economy, or is one of them more significant? Based on the review of literatures and theories, we identified a few essential internal and external factors that affected the Italian economy and analysed them individually. We then evaluated the precedence of these factors to indicate which factor has a more significant influence on the Italian economy, and concluded that short-term (external) triggers are symptomatic of long-term (internal) problems. Ultimately, the failure to rectify deep-rooted deficiencies in its economic and political structure rendered Italy uncompetitive in the modern era. Although this paper has not delved deep enough on some specific issues, this study will still provide some information and further insights for European and Italian Economic Research.

KEYWORDS

Italy, Economic Decline, external and internal factors