Go Mr. Renzi go!

I am not a supporter of Mr. Renzi's party and I might never vote for him, but right now I am totally supporting his action. He really understood what Italy needs to come out of the deep crisis that affects not only the economy but the whole society. Most of all I appreciate his attitude towards that politic area of wannabe progressists that with their mantra of untachable rights have paralised Italy for the last 30 years. Unfortunately, like I said many times, when Berlusconi was still at the goverment, because of the sproportionated power of the left in key areas of our society (school, justice, unions, etc...) a real change could succeed only if it were started from someone in the left area. The resistance due to ideology bias would have been otherwise too strong, as in fact happened.

Melting glaciers

This spring, I believe on the news of the Italian television channel RAI 3, the most politicized and leftist channel of the pubblic TV, a famous meteorologist, Luca Mercalli, a true believer in Global warming and a faithful follower of the IPCC word, broadcasted from some glacier in the Alps to introduce to the public an on going activity that is aimed at measuring the amount of ice lost during the summer by the Alps glaciers. Of course , according to him, every summer, due to CO2 produced by human activity and consequent rise of temperatures the amount of melted ice increase, and the winter precipitations are not so abundant due to global warming and so on. Now, the project involve two measurements and evaluation of the extension and volume of the glacier. One conducted in spring, one conducted in autumn. Given the cold and rainy summer we had this year in Italy, with many episode of snow on the higher mountains, and patches of now still present in areas that are usually snow free during the mountains, I really look forward to see the results of this fall glacier survey. I believe that if, as it is reasonable to expect, the summer melting will be below average, the blame will go to the climate disruption caused by the record high CO2 in the atmosphere, and so on. I really look forward to see this report...

On the European economy, again

All economists in Europe seem worried about deflation. This deflation looks like a big black monster that will kill our economy and as such is to be fought. When I took my basic econonomy course at school, I understood that price lowering is one of the two faces of the basic economy law. Prices are or should be reguated by this law and are the point where demand and offer meet. If we look at the situation in Italy, prices have been rising with no apparent reason since the introduction of the Euro, while salaries have not grown accordingly. The middle class has seen its money available for spending reducing year by year, and therefore the economy have started to shrink. If we want to restart the economy in Italy there are only two options: rise the salaries or lower the prices. The first option requires too many conditions to happen, whilst the second is simply consequence of the free market. Economists (and politicians) shold just let the market have its natural evolution, and stop spoiling it with their policies. The last 10 years should teach us how the economic theories not always work as expected in the real world.