The Italian Model of Capitalism: On the Road Between Globalization and Europeanization?

The article has two objectives. First, it explores whether the Italian model of capitalism has been transformed in recent decades. This involves trying to place the Italian case in the framework established by the varieties of capitalism literature. It argues that while Italian capitalism has undergone significant changes, it has not become a form of either market or co-ordinated capitalism. As a form of ‘dysfunctional’ state capitalism, it has adopted and mimicked elements of both without becoming either. This is because many of the political and economic factors that were at the heart of the model in the post-war era remain in place. Second, it will argue that the role of European integration in this process of change has been, at best, indirect and that broader global and economic pressures may be responsible for change.