14 June 2019
Bloomberg has quoted Professor Brigitte Granville's study on the 'Withdrawal of Italy from the euro area' in a recent article disussing the likelihood of Italy ditching the Euro should the rightist League party come to power.
The article, which focusses on the comments of Italian League Senator Alberto Bagnai, draws attention to his insistence that any talk of "Italexit is much ado about nothing" and the tortuous Brexit process indicates how difficult quitting the EU would be. The article goes on to highlight Professor Granville's study, co-authored by Bagnai, which found that withdrawal from the Euro wiuld allow Italy's economic output to grow at a reasonable pace with a "persistent reduction in unemployment and the public debt-to-GDP ratio."
The study by Brigitte Granville, Professor of International Economics and Economic Policy, and Senator Alberto Bagnai assessed the impact on the Italian economy of Italy withdrawing from the euro area. The model considers the devaluation on output, sovereign debt valuation, and the development of bilateral economic relations between Italy and its major trade partners.
Find out more about Professor Granville's research here.