‘Doing good’. Ezio Tarantelli’s Approach to Political Economy

The chapter reconstructs Tarantelli’s suggestions for putting the inflation of the ’70s to an end in Italy. He proposed to pre-determine wage increases in order to guide prices along a path agreed by social partners and also advocated using incomes policy as an instrument of coordination for achieving policy goals alternative to monetarist remedies. These proposals were implemented in the course of an almost two-decade long disinflation process that also included monetary and fiscal policy measures and lasted until the end of the ‘90s.