No Net Change in Italian Living Standards Since the Introduction of the Euro

Real GDP per capita in Italy has barely increased since the introduction of the Euro in 1999

The chart below shows how real GDP per capita has changed in four major Eurozone economies since the introduction of the Euro on 1 January 1999. (Figures were taken from the IMF World Economic Outlook: GDP per capita, constant prices, international dollars. The picture is identical when using figures from the World Bank.)

Real GDP per capita has increased by 18% in France, 26% in the Netherlands and 28% in Germany. By contrast, it has increased by only 1.4% in Italy. The lack of increase in Italian living standards likely goes some way to explaining the country’s Eurosceptic turn. Further discussion of how the Eurozone crisis has contributed to Euroscepticism in Southern Europe can be found in my papers in Political Quarterly.