This paper investigate the effects of the prolonged double-dip recession on the productive capacity of the Italian manufacturing sector, employing three methods: a production function approach, a survey-based methodology and a statistical filtering of the industrial production series. We...

Between 2008 and 2013 productive capacity was considerably downsized in the Italian manufacturing sector. This paper analyses the micro-data collected for the Bank of Italy surveys to identify the main drivers of the reduction in the whole 2008-13 period and in four sub-periods (pre-crisis...