Italy, located in southeastern Europe, is a beautiful country facing high unemployment, corruption, and massive debt. Although it appears to be one of the most developed countries in Europe, Italy is somewhat lagging behind when it comes to globalization. Ranked twenty-third in world population, Italy had a population of 56,126,212 as of July 2009. The north and south appear to be divided in economic terms, with the north being well developed industrially and the south facing unemployment and poverty. high poverty. Italy is a democratic republic that replaced a monarchy in 1946. Although it ranks seventh in the world in terms of GDP and public debt and attracts millions of tourists each year, its debt-to-GDP ratio current continues to soar. Economists around the world are beginning to wonder whether Italy will be able to survive the fallout from the U.S. housing and credit crisis without defaulting on its debt. Although Italy is known for its diversity of civilization and political principles, slow economic growth and an unstable political arena cause the country to fall behind in terms of global trade. Its economic forecasts and stock markets took a hit in the last quarter of 2009. Many say the cause of these appalling economic figures is the global competition Italy faces in the low-end industrial products segment. Politically, Italy has the structure of a parliamentary system, in which its executive powers are delegated through the Council of Ministers. This Council is headed by the “primo ministro” or “prime minister”. The current Italian Prime Minister, Silvio Berlusconi, was recently attacked by an emotionally unstable extremist. He was punched in the face several times and suffered a facial contusion by a northern extremist. The international character of I...... middle of paper ......advantages. Italy's unemployment rate has fallen steadily over the past ten years, from 11.5% in 1999 to 7% in 2007. Economists predict that real GDP growth will be even lower than expected in 2010 and that it will will stop again in 2008, reflecting the impact of higher inflation. , international financial insecurity and the appreciation of the euro. Its public debt has reached nightmarish proportions and continues to increase, and remains to this day well above 115% of GDP. (Economist.com - Italy)I believe that Italy will continue to experience sluggish economic growth for the foreseeable future. Widespread corruption, organized crime and massive debt will cause Italy's slow expansion. When the government works to reduce the heavy tax burden on citizens and bring the country out of its budget deficit, we will see Italy's political and economic prospects flourish again..