Covered By Gloom, Italian Elections May Be A Game-Changer For The EU

The rise of radical populism and far-right nationalist ideological movements in Europe is up for a key test on March 4, as Italy goes to elections, following a turbulent period. Immigration crisis, which reached a peak with more than 600.000 seeking asylum in the past 3 years, mounting public debt, and a stagnant economy are some of the defining factors of this election season. 

Italy, like its neighbouring countries, has seen a hike in popularity of far-right and xenophobic movements. However, while in France and Germany such rise did not translate into electoral victory, poll pulses show that Italy could be a game changer in this regard. In short, this election is potentially set to shatter the very ground the EU stands on, with many issues intertwined in the mind of the Italian voter.

Predictions are, as expected, gloomy. ''Italians are rearranging the deck chairs as their country irrevocably sinks'' argues Luigi Zingales, at the University of Chicago’s Booth School of Business.

What is jeopardizing the future of Italy is a lethal combination of four factors: lack of productivity growth, a very negative demographic outlook, oppressive levels of public debt, and a political impasse in the eurozone that on the one hand puts the country at continuous risk of speculative attacks, and on the other makes election superfluous, engendering a sense of loss sovereignty that fuels nationalism and populism.

His analysis is a wake-up call on what is at stake.