Dictionary

to underpin= sostenere

to this purpose = a questo scopo

to pursue = perseguire

to enhance = favorire

to move in a certain direction = muovere verso una direzione

decisively = decisivamente

challenge = sfida

key challenge = sfida-chiave

to increase = aumentare

to improve = migliorare

to design = progettare

to be suited to = apllicarsi, apllicare a

efficiency = efficienza

to labour = prestare manodopera

to aplly to = applicarsi, appliacare a

privatization = privatizzazione

further = ulteriore

the collective wage bargaining system = sistema collettivo di guadagno dei salari

to allow= permettere

to tailor = tagliare su misura

with respect to = con rispetto a

trade unions = sindacati

to move in this direction = muoversi in questa direzione

through = complessivo

to hire = prendere a prestito

dismissal = licenziamento

rules regulating = regole che regolano

to employ = dare impiego

employer = datore di lavoro

employee = dipendente

unemployment = disoccupazione

insurance = assicurazione

set/range = gamma

to set = fissare

to ease = facilitare

reallocation = ricollocazione

policy = politica

politics = scienza politica

politicians = uomini politici

capable of = capace di

resources = risorse

to take a measure = prendere una misura/ assumere un’azione

measure = misura

to ensure = assicurare

sustainability of public finances = sostenibilità delle pubbliche finanze

to consider essential = considerare importante

to frontload = anticipare

to aim to = essere finalizzato a

to achieve = raggiungere, ottenere

better-than-planned = migliore di quello pianificato

via = attraverso (formale)

mainly through = attraverso (colloquiale)

to cut = tagliare

eligibility criteria = condizioni per partecipare al bando o al concorso

to align = allinearsi

the retirement age = l’età di pensionamento

thereby = in modo tale che, laddove

in addition / besides / further more = inoltre

significantly = in modo significativo

turnover = ricambio

to strenght = rafforzare

wage = salario

deficit reducing clause = clausola per ridurre il deficit

slippages = ciò che sfugge

discretionary expenditures = spese discrezionali

to borrow = prendere a prestito

to lend = dare a prestito

debt = debito

in line with = coerenti con

in view of = in vista di

regard something as crucial = guardare qualcosa come molto importante

above = sopra

decree-laws = decreti legge

ratification = ratifica

by end September = entro la fine di settembre

ti tight = restringere

The European Central Bank's Letter: Textual Analysis

The text is a formal letter written by Jean-Claude Trichet and Mario Draghi, both members of the Governing Council of the European Central Bank. The letter is addressed to the Prime Minister of the Italian Government and is dated 5th August 2011. In its paragraphs the economic expert draw a portrait of Italian economy and ask  Italian auhorities to take actions “to restore the confidence of investors”.

The text is organized  into three  main parts, each subdived  in shorter sections (a,b,c), in order to be clearer to the reader with the exception of the third one.

Firstly, in the introduction, the economists quote the outcome of the Governing Council as far as the Italian situation, underlining  how the fiscal package just introduced by Italy is not enough to balance its budget.

Afterwards the letter lists some practical measures to improve the situation from the investors' point of view: “key challenges are to increase competition, particularly in services, to improve the quality of public services and to design regulatory and fiscal systems better suited to support firms' competitiveness and efficiency of the labour market”. The argumentation better illustrates each suggestions: as for public services they support full liberalisation and a reform of wage and working conditions (mentioning the  June 28 agreement between trade unions and industrial businesses associations) including an unemployment insurance system, and more resources towards the more competitive economical area.

The second part is focused on measures about public finances. Here, mainly on the “a” poit  the text contains several quantity data, where Trichet and Draghi refer to past and future reference dates to make comparative analysis.  They later on suggest intervention on the pension system “making more stringent the eligibility criteria for seniority pensions and rapidly aligning the retirement age of women in the private sector to that established for public employees”.

Besides they highlight the necessity to reduce the cost of public employees, if necessary reducing the wages. In point  “b” the suggestion is to decree cuts in case of being late on budget target. In point “c”  Trichet and Draghi recommend strict controls in “borrowing, including commercial debt and expenditures of regional and local governments“. Finally they focus their attention on the necessity to take all the actions illustrated above by the end of September 2011 and suggest to constitutional reform.

The third part contains advice  to improve public administration and services (for example the introduction of performance indicators, especially in the health, education and judiciary systems or the abolishment of provinces).

In the letter conclusion Draghi and Trichet show trust in the government ability to carry out their suggestions  taking all of the appropriate actions.