Sunday, November 13, 2011

Italy: Mario Monti premier-designate

by Bill McBride on 11/13/2011 04:44:00 PM

No surprise ...

From the WSJ: Italy's Monti to Form New Government

"We need to fix Italy's financial situation and restart growth while paying particular attention to creating an equitable society," Mr. Monti said in a speech ...

Mr. Monti said he would name a cabinet quickly. Before the new administration can start operating, it needs approval from both houses of Parliament—a green light that is expected within days.
Though Mr. Monti's new government is likely to be approved quickly by Parliament, any honeymoon period will be short. First off are likely to be more budget cuts than those already announced by Italy last summer in order to balance its budget by 2013.
I wonder what Monti's proposals are to restart growth and to create a more equitable society?

From the NY Times: Mario Monti Tapped to Lead Italy Out of Debt Crisis
[I]n a sign of political wrangling to come, the leader of Mr. Berlusconi’s People of Liberty party said that the party would support a Monti government for only as long as it could fulfill its mandate to push through measures to help reduce Italy’s $2.6 trillion public debt and increase growth to keep the country competitive. The party had been pushing for early elections, and media reports said that Mr. Monti hoped to serve until the end of the current legislature in 2013.
On Monday, Mr. Monti was expected to present a cabinet of nonpoliticians and introduce his program before Parliament, where a majority must vote confidence in his government.
Schedule for Week of Nov 13th
Summary for Week Ending Nov 11th