The Italian economy is plagued by structural deficiencies dating well before the current COVID-19 crisis. For too long a misguided rhetoric of “small is beautiful” and “we don’t need industrial policies” has blocked discussion and enactment of measures that could arrest Italy’s decline. And while the European Recovery Fund will provide a much-needed stimulus to investments and reforms, just using these resources without critically discussing a long-term vision for our country will likely result in yet another missed opportunity. This report outlines a few broad guiding principles for a new industrial and innovation policy, with the objective of starting the debate around which set of policies could be enacted in Italy to reverse its decline.
The principles outlined will touch upon several policy-relevant topics, such as entrepreneurship, management training, scientific missions, as well as innovation policies that move beyond the agnostic horizontal approach followed in the past couple of decades.