What type of economic system does Italy have?


Quick Answer

Italy has a strong industrial economic system. The strong economy also allows a high standard of living for many of its citizens.

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Full Answer

With a higher standard of living per capita than most other European areas, the employment rates are fairly low, and a high level of education is more common than is seen in some other developed countries. Italy has a diverse economy, as it manufacturers some of the most expensive items in the world, including high-priced sports cars and jewelry.

The country is divided when it comes to its economy, as the northern portion is boasting with private companies and prospering businesses. The southern portion relies more heavily on agricultural exports. The agricultural prosperity of the country is made possible due to its fertile soil. As of 2010, Italy exported more than $450 billion worth of goods including tobacco, produce and textiles. While it has a strong exportation system, the country does rely on imports.

While Italy has a strong and stable economy, the country is feeling the financial impact due to the international financial crisis. The government is continuously working towards economic reforms in order to increase jobs, decrease unemployment rates and narrow the gap between the rich and the poor.

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