
The ‘Southern Question’, Economic Development and Public Intervention
This chapter examines the relationship between administrative capacity and economic and social development in Italy, and the administrative strengthening measures implemented in the 2014–2020 and 2021–2027 programming periods. It highlights the importance of administrative capacity for development, with research showing that regional institutional quality correlates with economic performance and the effective use of development funds. From this premise, the chapter explores the administrative strengthening initiatives implemented during the 2014–2020 and 2021–2027 programming periods with the support of EU funds showing that, while recent efforts have indeed addressed some key weaknesses of the Italian public administration, challenges remain. The chapter concludes emphasizing the need for an improved anchoring of administrative capacity building strategies on evaluation evidence, and that the strengthening of administrative capacity for the development of Italy’s lagging regions requires a more general structural strengthening of the Italian public administration overall. It also warns about the risks that the renewed austerity linked to the reintroduction of the Stability and Growth pact might pose for the future of the Italian public administration.



