The ideas exposed by Fabrizio Saccomanni in his new book "Crepe nel sistema - The crushing of the global economy", published by Il Mulino, which on the one hand photographs the widespread malaise in the international financial system that broke out in all its virulence with the systemic crisis tenth anniversary of this end of the century and on the other offers an interesting remedy recipe, are the result of the experience gained by the author in the field of a professional activity, spent in the Bank of Italy, in international institutions and in the Government of the Republic Italian.
The first part of the volume analyzes crisis management strategies on the side of the International Cooperation Institutions and the main players on the world scene. A tempting opportunity to also identify the critical issues that have arisen in recent years in the three most economically and politically significant geographical areas: the USA, China and Europe.
The second is occupied by the deepening of some specific aspects, already addressed by Saccomanni in other contexts and appropriately adapted and updated in the intellectual path traced by this book. In this way, the reader is offered stimulating pages dedicated to latest generation technological revolution in the financial field (fintech), the need for an effective realization of the European economic and monetary union and the urgency of a finally complete financial regulation in all its aspects. Lastly, an appropriate reconsideration of the Italian proposal put forward by the MEF on the subject of the reform of European economic governance is also missing.
The common thread in the discussion of these topics is represented by three basic themes: the international monetary system, European economic governance and the upcoming challenges for banking systems. Alongside these emerge the two most significant risks, identifiable in the future scenario: the risk of an inversion of the economic cycle and the vulnerability of the financial systems. The answer given to them can be twofold depending on the line of thought which favors the belief that the system of international institutions has established a regime capable of resisting nationalistic and protectionist pressures; or the other according to which the global crisis has caused upheavals that cannot be managed with the traditional instruments of economic policy and diplomacy.
Fabrizio Saccomanni, in favor of the first of the two lines of thought, to face the risks mentioned above, proposes a recipe based both on the coordination of macroeconomic policies to be used in an anti-cyclical function, supported by an extensive program of investments in innovative technologies and infrastructures to be built with the support of an effective public-private partnership; and on the crucial twofold strengthening of the multilateral trading system and the financial safety net.
A recipe that may appear to the reader, perhaps, a sort of fideistic hope in the light of the many signals coming from current political realities and which, unfortunately, still outline a large gap with the virtuous path ideally traced by the author. In any case, a challenge to be taken up and possibly won in the interest of global socio-economic progress.
