10  See “ Deflation: Making Sure that ‘It’ Doesn’t Happen Here” , November 21, 2002,www.federalreserve.gov. BIS Review 5/2003  5  Yet another miscalculation, particularly important in the early stages of the Great Inflation, was the already-mentioned idea of an exploitable long-run tradeoff, according to which policymakers supposedly would be able to achieve permanently lower unemployment by accepting a bit more 11 inflation.
According to current projections, and despite taking account of large migratory flows, the working-age population is set to decrease dramatically, and this will act as a further brake on the potential growth of the Italian economy. Only a substantial increase in labour market participation and a return to productivity growth can reverse these trends.