Italy Falls Back into Recession

The Italian economy shrank 0.1 percent from June to September, hurt by lower domestic demand. It was the fourteenth consecutive quarter of no growth.

Preliminary estimates showed the economy contracted for the second consecutive quarter, following a 0.2 percent drop in the previous period. The last time the GDP expanded was in the second quarter of 2011 when it grew 0.2 percent. 

On the production side, the agriculture and industrial sectors contributed negatively to growth. On the demand side, there was a negative contribution from domestic demand, which was partially offset by a positive contribution from exports.

Year-on-year, the economy shrank 0.4 percent in the third quarter of 2014, following a 0.3 percent contraction in the previous period. 

Italy Falls Back into Recession

Joana Taborda |
11/14/2014 9:57:24 AM