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This is Italys debt clock. And here is a version that showcases Italys gigantic ever increasing debt to anyone who arrives in Rome via train. This clock is sending a clear message. Italys debt is a big problem. A message that is constantly repeated by politicians and journalists from Frugal North European countries like the Netherlands, Denmark, Sweden and Germany. So imagine my surprise when I came across this report by the Dutch Institute for Public Economics that argued that Italys debt is not the problem. Their main piece of evidence for that statement is that Italys debt has actually grown by about as much as that of other major European countries, thanks to government spending cuts. So they argue that the only reason that people talk about Italys debt is that its economic growth has been terrible over the last decade, making it much more difficult for Italys government to actually service its debt. After all, if you listen to economists talk about government debt, it is al
