Italy lifts out of recession thanks to hookers, drugs
Italy learnt it was no longer in a recession on Wednesday thanks to a change in data calculations across the European Union which includes illegal economic activities such as prostitution and drugs in the GDP measure.
Adding illegal revenue from hookers, narcotics and black market cigarettes and alcohol to the eurozone’s third-biggest economy boosted gross domestic product figures.
GDP rose slightly from a 0.1 percent decline for the first quarter to a flat reading, the national institute of statistics said.
Although ISTAT confirmed a 0.2 percent decline for the second quarter, the revision of the first quarter data meant Italy had escaped its third recession in the last six years….
This comes just four weeks after this year’s Ig Nobel Prize winners were announced at the Ig Nobel Prize ceremony, at Harvard University. The 2014 Ig Nobel Prize for economics was awarded to ISTAT — the Italian government’s National Institute of Statistics, for proudly taking the lead in fulfilling the European Union mandate for each country to increase the official size of its national economy by including revenues from prostitution, illegal drug sales, smuggling, and all other unlawful financial transactions between willing participants.
The relevant documents, in the awarding of that prize, are “Cambia il Sistema europeo dei conti nazionali e regionali – Sec2010” (ISTAT, 2014) and “European System of National and Regional Accounts (ESA 2010)” (Luxembourg: Publications Office of the European Union, 2013).
BONUS: “Droghe e prostituzione nel Pil, all’Istat il premio IgNobel per l’Economia” [La Repubblica]