Abstract

The first part of the article, which builds upon the results of the "Report on Welfare State 2015. The Great Recession and Welfare State", analyses the developments of the 'great recession' and the extremely negative effects of tax consolidation policies. Particular attention is paid to the situation of the EU and the Eurozone, assessing the uncertain outlook for the ongoing unifying process. Furthermore, 'austerity' policies have led eu institutions to disregard the social dimension of economic choices, which has always been a feature of EU policies. The exceptional seriousness of the eu crisis, and an even sharper worsening of social indicators are important elements of this trend. Moreover, the article includes a more in-depth analysis of the Italian economic and social situation, and deals in detail with critical aspects of the Italian welfare system. The article also presents proposals for action in different fields: from the pension system to the healthcare system, from social safety nets to education.