Hello and good evening by Giulio Centemero on giuliocentemero.com.
This morning the financial newspaper Sole24ore published an article of Matteo Salvini. It is a kind of Manifesto clarifying our thoughts on economic policies and reforms in the light of the Covid Crisis. Salvini describes three lessons learned:
The first one is that Citizens and Firms need to be free to work within a clear framework defined by few clear rules. Exactly the opposite of what happened till now: most of rules were bad written and interpreted even worse and a repressive apparatus testifies the distrust towards the citizens. The principle of suspicion should be replaced by the principle of transparency. The public administration is now burdened by preventive controls in which the burden of proof lies on the shoulders of citizens and firms but, using other principles, like the ones to rebuild Genoa bridge, based on less red tape and transparency, would free and foster the market forces. Freedom and accountability should lead the reopening, inspired by equality and not uniformity. Each situation should find its specific solution and we should reopen firms whereas they meet specific health safety criteria.
The second lesson learned is that in order to reduce the portfolio risk of supplies we should reshore significant parts of our supply chains by reducing taxation, red tape, litigation and through the improvement of our production districts, the engine of the “made in Italy”.
The third lesson concerns the effectiveness of the EU to face global crises: after two months since the pandemic started, the main instrument, i.e. the Recovery Fund, still is not defined. The EU could offer firepower, but its bureaucratic side is slowing the process, so that we’ll see the firepower once the war is over. As league we sustain the ECB intervention like prominent figures suggested and on the middle long term reforms based on the subsidiarity principle should be implemented.
Thank you for listening and see you next week!