[Question] For a long time Italy was able to stay competitive through the devaluation of its own currency. Now, with the euro, that strategy can no longer be pursued and its economic difficulties are more apparent. [Answer] The birth of the euro has put an end to intra European currency crises, exchange markets and interest rates market tensions and bond market risk premia.
It has enabled Italy, as well as the other eleven economies, to enjoy a historically low cost of money. This is a considerable advantage that should be fully recognised.