Globalization, European integration and regulatory reform in Italy: liberalism, protectionism or reconstruction?

Abstract

Economic globalization and European integration present major challenges to the regulatory systems of European states. However, notwithstanding the severity of these pressures, there is clear evidence that their impact is significantly mediated by the specific political and structural characteristics of individual states. What is less apparent is precisely which characteristics matter and how much room for manoeuvre states enjoy. Frequently, their role is conceptualized in terms of a choice between liberal accommodation or conservative protectionism. However, an analysis of bank reform in Italy, and the role of the Bank of Italy in particular, suggests that an appreciation of the enduring regulatory capabilities of states is necessary if the complex pattern of reform outcomes is to be understood.