Italy has been on an economic decline for quite sometime. It’s threatening the existence of EU completely.
Excessive debt (330% of GDP), corrupt politicians, poor demographics, mismanagement of COVID crisis, soaring energy bills.
A thread 🧵 for your awareness 👇
The root of the problem is a demographic crisis that is set to accelerate over the next 10 years. Italy is running out of working age people. An economy needs people aged 15-64. This is considered the working age population, and this is critically important for an economy.
Working age (15-64) people who are actively working consume more, spend more, and earn income that can be taxed to support a country's debts. If there are no people or fewer people aged 15-64, the country will have fewer workers, less tax revenue.
The projections for the future population growth rate are the real problem.
Japan has long been the poster child for the worst demographics in the developed world, but Italy will surpass Japan in the next 2-3 years and hold the title for the worst demographics in the 🌍 title.
The US doesn't have great demographics, but relative to the rest of the world, the US is expected to have positive population growth in the 15-64 year-old bracket. At the same time, China, Japan, & broader Europe are all negative. Italy has the worst demographic future.
Italy is one of the most indebted countries in Europe, with public and private debt equal to more than 330% of GDP.
Most academic research shows that when total debt to GDP surpasses 300%, economic growth starts to fall, and the standard of living starts to decline.
Italy crossed this 300% threshold of excessive indebtedness around 2010, and its growth started to decline right on schedule. Real GDP per capita is synonymous with the standard of living, when growth is -ve, it means the standard of living is declining, & people feel worse off.
Political instability is a common result when standard of living starts to decline. We see instability in many countries around the world as inflation is high and is eroding the purchasing power of the people. The situation in Italy is no different, and it's devolving rapidly.
Not only does Italy have a debt crisis that they cannot solve, but they have a political crisis, with Prime Minister Mario Draghi offering his resignation on July 14 of 2022. Italy's acting President rejected Draghi's first resignation attempt. A week later, he resigned again.
A new election was set for September 2022, but until then, Italy was essentially acting with no one firmly in charge. The elections happened and right wing candidate Giorgia Meloni becomes the first ever woman Prime Minister of Italy.
Giorgia Meloni doesn't want Globalist control, she doesn't want the Italians to essentially be melted into a pot of all Europeans and treated like a number instead of a unique, individual human being.
If you’re wondering why all the globalist people on the planet are having a meltdown over Giorgia Meloni’s victory in the Italian elections, here’s a reason why
Britain 🇬🇧 exited the EU with #Brexit
Sweden 🇸🇪 elected right wing in 2022
Italy 🇮🇹 elected right wing in 2022
Are they next to exit the European Union, only time will tell if it happens 🤷♂️
WEF is a globalist organization pushing countries & corporations towards green technology, limiting fossil fuels, stopping animal protein, imposing nitrogen/carbon emissions quotas, adopting digital identity & currency, implant biological chips etc.
Georgia Meloni has spent the last 2 years as one of the few politicians in Italy fighting against the covid travel passports and for peoples freedom.
Now the Italian people elected her as their first woman Prime Minister🇮🇹
#EnergyCrisis has hit a fever pitch in Italy 🇮🇹. Most of the average working people and small businesses aren’t able to afford their energy bills. They’re resorting to public bill burning.
European Union (EU) biggest asset is Germany 🇩🇪
European Union (EU) biggest liability is Italy 🇮🇹
If Germany goes down, it drags the entire EU. At present Germany is one country funding the EU mostly. PM Meloni needs to make sure Italy reduces its debt burden for sure.
Hahaha 🤣
Italy 🇮🇹 is in a debt & currency crisis
UK 🇬🇧 is in a debt & currency crisis
Spain 🇪🇸 is in a debt & currency crisis
Learn from their mistakes. Don’t spend what you don’t have. Be fiscally responsible & don’t pile up debt. Keep your debt to GDP ratio low.
Giorgia Meloni the new Italian PM on French PM Emmanuel Macron 👍
She’s not afraid, she’s going to be a great leader for Italy, much better than Mario Draghi for sure
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