Tag: Italy

Categories
free trade & free markets too much government

An Ember of Hope?

EU, European Union, Italy, cars, green new deal, global warming, climate change, bureaucrats

Will the world escape the punishing “green energy” mandates?

The government of Italy is making known its unhappiness with a looming ban on sales of gas-​powered vehicles, supposed to happen by 2035. The mandate has been imposed by the European Union, of which Italy is a member.

The transition is to be attended by formal review of how things are progressing toward the goal of eliminating gas cars. One is scheduled for 2026. Italy wants it to happen sooner.

Italy’s industry minister, Adolfo Urso, has indicated that his government will soon formally request this early review. Everyone understands that this is not because the current government of Italy is in a hurry to stamp its imprimatur on the EU’s plans.

Urso says: “We believe it’s absolutely necessary to modify the direction of EU industrial policy. The automotive sector is the one where a change from the Green Deal is most required.”

Prime Minister Giorgia Meloni has called the decision to outlaw gas-​powered vehicles “self-​destructive.”

Meanwhile, demand for electric cars has slumped in Europe and the U.S. as the inconveniences and risks become better known. These include the cars’ still very high cost, their tendency to freeze up in very cold weather, the greater frequency with which their tires must be changed, the difficulties of recharging, the difficulties of putting out the fires when the cars catch fire.

May Italy show the way out of the debacle and let’s hope the rest of the EU follows.

This is Common Sense. I’m Paul Jacob.

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general freedom too much government

Diners’ Rebellion

Italy, liberta, freedom

Italy was hit hard by COVID-​19, and harder by the lockdowns. 

The lockdown idea — with which we are more than familiar in America — rests upon the notion that the best way to fight a new contagion is to rob it of hosts, and the best way to do that is to enforce anti-​social edicts, forbidding normal human interaction thereby (the rationale goes) limiting spread of the disease. 

But Italians are not, say, Scandinavians. While folks up north (and in much of America) tend to maintain a more extensive baseline social distance, by custom enforcing a fairly wide personal space, in Italy folks tend to be much more hands-​on, requiring close human contact for everyday happiness. So even had lockdowns worked, they would have been traumatic. But lockdown results have been dubious at best.

So Italians are rebelling.

Specifically, restaurateurs.

And their patrons.

“Thousands of restaurants have opened in Italy in defiance of the country’s strict Chinese coronavirus lockdown regulations,” we read at Breitbart. “The mass civil disobedience campaign —  launched under the hashtag #IoApro (#IOpen) — has seen as many as 50,000 restaurants opening despite evening curfew restrictions.”

My favorite video has diners in Bologna shouting police out of an illegally open restaurant with chants of “Libertà!”

News outfits in America do not appear to be giving much attention to the anti-​lockdown movement in Italy — or elsewhere in Europe. It is almost as if the story does not fit The Narrative, which (do I have this right?) has Europeans more accepting of government paternalism, leaving Americans as the more uncooperative, unruly individualists to be controlled by a browbeating press.

But lockdown protests here are nothing like that in Europe.

Makes me a bit sad for America, actually.

This is Common Sense. I’m Paul Jacob.

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Accountability folly moral hazard too much government

When in Rome

Italy, housing, corruption, government, bureaucracy

Americans concerned with government corruption really should study Italy.

Why?

“You know Italians,” septuagenarian Elio Ciampanella was quoted in the New York Times last week. “If there is a law, they will try to find ways to go around it!”

But it is not just ordinary citizens — the people — who are evading bad laws. It is government workers who won’t do their jobs, and who engage in a wide range of corrupt deals and shady incompetence.

I know, this seems awfully unfair to the Italians. What I’ve said is the case with governments around the world. But not equally. (Scandinavian countries have a long history of government worker probity, if not ultra-​competence.) And Italians do have a well-​earned reputation for government corruption.

Arguably, it’s the form freedom takes in Italy.

Be that true or not, Mr. Ciampanella’s story, as related in the Times, is a fascinating one. He asked for a government-​subsidized apartment, and had to wait ten years to get one … only to discover the problem wasn’t a lack of apartments, but a surfeit.

Yes, the government owned too many apartments to keep track of!

And so they didn’t.

And gave special deals to “special people.”

In other words: incompetence and corruption as a way of life.

Market institutions that behave so chaotically and with so little attention to efficiency go out of business. But government? That’s “necessary,” so: too big to fail. And so, commonly excused.

No wonder, then, that the common-​sense approach to government is to limit it.

This is Common Sense. I’m Paul Jacob.

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Italy, housing, corruption, government, bureaucracy

 

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Categories
national politics & policies responsibility

Book-​Cooking with Extra Salsa

Lately, governments have sought to seem more fiscally responsible by re-​confabulating how they calculate a measure of economy-​wide economic strength called Gross Domestic Product. (The principle involved is ancient. It’s been denominated “fudging.”)

One of the crassest number-​jugglers is the Italian government.

Italy wants to comply with a European Union demand that it limit debt to 2.6% of GDP. If the country’s GDP is statistically fattened by using looser rules for calculating it, then debt as percentage of GDP becomes magically “lower” — as a statistical percentage. Italian politicians can lurch to waste more money while still fetching EU handouts.

A year ago, the American fedgov was guilty of similar fudging when it statistically padded our GDP by $500 billion.

Statistical aggregates like GDP entail much guesswork and many dubious assumptions to begin with. For one thing, why is government spending — including that huge portion that dampens or destroys economic production — included in a calculation supposedly measuring economic value?  (A better indicator of general economic strength, Gross Output, hasn’t quite caught on yet. And I don’t expect those highest up in government to push it.)

The purpose of the number-​tweaking by Italy, the U.S. and other governments is hardly to improve or amend or salvage whatever is conceivably salvageable in the original number-​crunching. The purpose is to disguise bad policies.

But jiggering with how the impact of awful policies is guesstimated in order to better to hide their consequences won’t erase the awfulness of those policies. And curtailing or ending awful policies can be done entirely without peering into statistic-​stoked crystal balls.

This is Common Sense. I’m Paul Jacob.

Categories
free trade & free markets too much government

Work, Shirk, or Bug Out?

Which is better: helping the working poor through regulations on business, mandating employee benefits, and cushy hire-​and-​fire terms … or through higher unemployment benefits, assistance to families, or other direct aid?

Both yield unfortunate consequences.

Italy’s employment policies protect workers, on paper. Whatever the ostensible worker salary is in the country, the mandated benefits cost the employer more than twice as much.

This proved a problem for businessman Fabrizio Pedroni, whose factory near Medona hasn’t made a profit in five years. He blames high taxes, heavy regulatory burden, and low worker productivity. So, while his employees were off on holiday, he packed up his factory and shipped it to Poland.

Actually, the tail end of his move was stymied, for a while, by a hasty union blockade. Pedroni cited this as evidence for his need to bug out in secret. Had he announced the plan, the government would have just taken the property for the benefit of his employees. “I had three options — either close, move the factory, as many other businesses have done, or shoot myself in the head.”

Meanwhile, a new Cato study shows that in 16 of our United States, a “combination of food stamps, temporary cash grants, WIC, and housing assistance is worth a pre-​tax value more than $30,000” to families that qualify. For some, it’s much easier to live well unemployed than employed.

No wonder unemployment persists. And economic recovery is so slow.

In both cases, programs to help everyday folks hurt them in the long run, undermining productivity, increasing dependence, and scuttling the source of progress: business enterprise.

This is Common Sense. I’m Paul Jacob.