Conclusions
To start, the research has proven the hypothesis correct. In the 1970s and 1980s, the regional governments, followed by Rome, created laws shifting away from national corporations and toward regional economic power of polycentrism. The 1980s were a time of economic explosion for Italy, showing the power of the polycentric model, in line with the hypothesis of this research.
The greatest argument against the polycentric model is the lack of benefit of the southern regions of Italy. If Rome could develop, with the help of domestic economists, a polycentric economic model which would aid the south, Italy could see its economy join the economic leaders of the world.
There are other issues going on in the modern Italian economy due to international pressures. Currently the main issue being raised in Italian politics is the migrant problem. Several regions in Italy are being openly hostile toward Rome over the migrant crisis (Squires 2015). Further, this is multiplied by Italy single handedly dealing with rescuing migrants from the deadly Mediterranean between Libya and Sicily. With Italy’s domestic economic problems, the aiding of migrants should be far from Rome’s mind.
To start with true policy recommendations, a good place to start is the OECD’s executive summary on Italy (OECD 2015). The first point should be made stronger than just following through with reforms to parliament. The number of representatives need to be drastically reduced. The ratio in Italy of representatives to citizens is 1:63,312 while in the United States, the ratio is 1:596,075. This does not prove the United States model is better, but the ratio in Italy is grossly too small. The second point states passage of clear legislation, unclear laws lead to an increase in corruption. The communication between the branches of government need to be corrected to streamline the law-making and interpretation process.
The fiscal policies recommended the OECD recommends differ from what the research recommends. Many of the recommendations focus on unification economic policies which the research shows the greatest growth was when Rome and the regional governments embraced the polycentric economic model. While some unified policies are beneficial, such as unemployment, employment protections, and competition laws, enforcing national economic policies in a territory which is traditionally fractured is asking for a weak and struggling economy.
The fiscal policy relating to debt-to-GDP ratio reduction will need to be adapted to changing to the polycentric economic model. Further, Rome would need to find a method to bring the south into the fold. The research agrees that Rome needs to look at why the Italian economy booms and stagnates and implement the boom policies through benchmarking. Finally, the tax code needs to be reformed and enforced to keep tax evasion to an absolute minimum, so the state has a means to pay down the debt and fund research into how to get the economy moving properly.
Another place Rome needs to look into is the question of Italy’s semi-autonomous states within it, the most autonomous being Sicily. The semi-autonomous states sit at this awkward position between nation-state and region of Italy, Sicily is its own nation in all but UN status having complete control over agriculture, industry, urban planning, public works, tourism and primary education policies (Scrobgna 2012). There have been reforms to Title V of the Italian Constitution which gave more rights to the other semi-autonomous regions, but Sicily still has more control over itself. Italy needs to shed these regions entirely by supporting their bid to become independent states, or fully bring them into the fold. The revenues from places like Sicily, Venice, and the French and German territories would greatly help Rome as well as create a more unified Italy. These regions only fuel arguments from people like Liga Nord encouraging a confederation instead of a true state.
A house divided cannot stand, and Italy is trying to be both divided and united at once. On one extreme are the arguments of Liga Nord who think the American Articles of Confederation were a good idea, on the other, mainstream politicians arguing Italy needs to be a completely united, uniform state. Italy’s true strength should, like most problems, lie in the middle of these two roads. Rome needs to give more power to the regions, while at the same time ensuring equity of opportunity across states. Rome needs to establish a uniform economic policy, their internal version of the “theory of everything,” if Italy is to continue to be a world leader.
The current Italian government has the biggest shoes in the world to fill. Behind it are the great Roman Republic and Empire, the Serene Republics of the city-states, and the tolerance of the Kingdom of Sicily. The peninsula’s history pulls Rome in every direction at once and she knows one thing, dominance. A blanket, rigid policy will not bring Italy out of stagnation, only a flexible and reasoned approach will. Rome used to live under the slogan “The Senate and People of Rome” the acronym for the phrase was emblazoned on everything, but now that phrase has become a symbol of two groups who cannot work together; as opposed to one cohesive unit.
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