unisa ITA  unisa ENG



Working Papers CSE Anno 2018


Leaving the Euro. A feasible option for Italy?


Giovanni Santambrogio



The Financial Crisis of 2008 has been especially hard on European Southern countries which, although some cautious signs of recovery, are still struggling to find their way out of it and return to previous levels of occupation and growth. During the last decade, many prominent scholars and politicians have blamed the Euro for such difficulties and paved the way for debate about its break-up as a possible solution. Unsurprisingly, such debate has been particularly lively in Italy. The paper deals with the possibility of Italy leaving the Euro and seeks to address the question of its feasibility, not only from an economic perspective of cost-benefit analysis but also by examining legal issues and possible political repercussions and technical difficulties. It does so by reviewing the main arguments from pro-exit literature and by assessing them according to the European Treaties and to official stances of EU officials and other important politicians.



Euro; Italy; Europe.


Full Text: pdf

Doi: 10.14273/unisa-1184



Alesina A., Giavazzi F. (2017), L'insensata uscita dalla moneta unica, in «Corriere della Sera», 23.3.2017.
Amaral Do, J. et al. (2013), European Solidarity Manifesto, Lisbon: http://www.european-solidarity.eu/esm.php
Athanassiou, P. (2009). Withdrawal and expulsion from the EU and EMU: Some reflections, Frankfurt a.M., European Central Bank, Legal Working Paper Series N. 10.
Bootle R. (2012), Leaving the Euro: A practical guide, Wolfson Prize, 4.6.2012.
De Bortoli F. (2017), I very conti di un addio all'Euro, in «Corriere della Sera», 23.3.2017.
Eichengreen B. (2010), The breakup of the euro area, in A. Alesina, F. Giavazzi (eds.), Europe and the Euro, Chicago, University of Chicago Press, pp. 11-51.
Gros D. (2006), Will EMU survive 2010?, Brussels, Centre for European Policy Studies.
Gutteridge N. (2017), Italy forced closer to EU exit exit door as Brussels says it must QUIT bloc to ditch the euro, in «Express», 3.1.2017.
Jones E. (2017), The euro and the battle of ideas, in «International Affairs», XCIII, 2, pp. 486-487.
Newman H. (2017), Berlusconi is back and his Eurozone idea isn't completely barmy, in «The Spectator», 1.3.2017.
Nordvig J. (2014), Cost and Benefits of Eurozone Breakup: The role of contract redenomination and balance sheet effects in policy analysis. Manuscript, September.
Politi J. (2017), Italian debate on merits of ditching euro grows louder, in «Financial Times», 15.3.2017.
Prometeia, Euro in 2017 and beyond: risks and opportunities for Italy, in «Prometeia Position Note», 1.3.2017.
Reuters (2017), Any country leaving Eurozone must settle bill first: ECB's Draghi, in «Reuters», 20.1.2017.
RT news (2015), EU Commission on Grexit: 'Euro membership is irrevocable', in «RT news», 5.1.2015.
Scheppele K.L. (2013), What can the European Commission do when member states violate basic principles of the European Union? The case for systemic infringement actions. Princeton, Princeton University.
Stiglitz J.E. (2010), Can the Euro be saved?, in «Project Syndicate», 5.
Stiglitz J.E. (2016a), The euro: How a common currency threatens the future of Europe, New York, WW Norton & Company.
Stiglitz J.E (2016b), The Euro: And Its Threat to the Future of Europe, London, Penguin.
Tepper J. (2012), A primer on the euro breakup: Default, exit, and devaluation as the optimal solution. Capital Economics, paper submitted for the Wolfson Economics Prize MMXII.
Woo D., Vamvakidis A. (2012), Game theory and euro breakup risk premium, Bank of America Merrill Lynch Research Report, July.