In search of a growth model for Italy: the failed attempt of an export-led recovery strategy?

We analyse Italy 's growth pattern from 2001 to 2019 using the demand and growth regime categories proposed in the post -Keynesian tradition and recently adopted in the comparative political economy (CPE) literature. We argue that after the Global Financial and Economic Crisis (GFEC), Italy followed an export -led recovery strategy. In this respect, Germany 's growth model emerged as the successful model to follow. In the dominant view, Germanys ' economic success since the mid -2000s was attributed to a series of painful but necessary economic reforms. The success of Germany 's export -led mercantilist regime became particularly attractive to Italy given the similar exportoriented manufacturing industry. However, Italy has followed the 'wrong ' German model based on wage compression and restrictive budget policies while the 'true ' German model is based on non -price competitiveness factors.