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The political economy of Italexit: fear and loathing in the next Italian elections

A referendum is an awfully bad way for Italy to leave the eurozone. But general elections with Salvini’s League being explictly or implicitly against the euro might be equally bad.

economia · euro · politica

A modest proposal to lower the spread on Italian bonds: Salvini should replace his economic advisor

The spread on Italian bonds is soaring, since rational investors give an increasing probability to unsustainable deficit spending and/or the search for a “pro-eurexit accident”. As a first step to bring back the situation to normal, League’s Salvini should explicitly back pro-euro Minister of the Economy Tria, and possibly replace his euro-skeptical economic advisors.