Industrial policy and technology in Italy

After the crisis started in 2008 Italy’s industry has lost close to one quarter of its industrial production. The article documents the decline of Italy’s industry and technology, setting it in the context of the demise of post-war government intervention and of the current European debate on industrial policies. An analysis of the current tools used in Italy’s industrial and innovation policy is carried out, showing its ‘horizontal’ approach, limited resources and fragmented measures. Current initiatives appear unable to support a revival of production and investment and to reduce Italy’s gap in technological activities. The conclusions argue that the possibility to reconstruct the country’s production capacity largely depends on the development of a new industrial policy combining Italian and European initiatives.