sentation from the US: chief of mission: Ambassador
Melvin SEMBLER embassy: Via Vittori Veneto 119/A, 00187-Rome mailing
address: PSC 59, Box 100, APO AE 09624 telephone: [39] (06) 46741 FAX:
[39] (06) 488-2672, 4674-2356 consulate(s) general: Florence, Milan,
Naples

Flag description: three equal vertical bands of green (hoist side),
white, and red; similar to the flag of Ireland, which is longer and
is green (hoist side), white, and orange; also similar to the flag of
the Cote d'Ivoire, which has the colors reversed - orange (hoist side),
white, and green note: inspired by the French flag brought to Italy by
Napoleon in 1797

Economy Italy

Economy - overview: Italy has a diversified industrial economy with
roughly the same total and per capita output as France and the UK. This
capitalistic economy remains divided into a developed industrial north,
dominated by private companies, and a less developed agricultural
south, with 20% unemployment. Most raw materials needed by industry
and more than 75% of energy requirements are imported. Over the past
decade, Italy has pursued a tight fiscal policy in order to meet the
requirements of the Economic and Monetary Unions and has benefited from
lower interest and inflation rates. Italy's economic performance has
lagged behind that of its EU partners, and the current government has
enacted numerous short-term reforms aimed at improving competitiveness
and long-term growth. Rome has moved slowly, however, on implementing
needed structural reforms, such as lightening the high tax burden and
overhauling Italy's rigid labor market and expensive pension system,
because of the current economic slowdown and opposition from labor unions.

GDP: purchasing power parity - $1.402 trillion (2001 est.)

GDP - real growth rate: 1.8% (2001 est.)

GDP - per capita: purchasing power parity - $24,300 (2001 est.)

GDP - composition by sector: agriculture: 2.4% industry: 30% services:
67.6% (2001 est.)

Population below poverty line: NA%

Household income or consumption by percentage share: lowest 10%: 2.1%
highest 10%: 26.6% (2000)

Distribution of family income - Gini index: 27.3 (1995)

Inflation rate (consumer prices): 2.7% (2001)

Labor force: 23.6 million (2001 est.)

Labor force - by occupation: services 63%, industry 32%, agriculture 5%
(2001)

Unemployment rate: 10% (2001 est.)

Budget: revenues: $504 billion expenditures: $517 billion, including
capital