Italian Perspectives                                                         
by Sandra Giovanna Giacomazzi 

Why Mr. Prodi is Unfit to Govern Italy

di Sandra Giovanna Giacomazzi

One of the qualities of the Wall Street Journal that has distinguished it from most of the other major newspapers in the United States is the unbiased way with which it has always presented news from Italy. When you read many of the other major American papers you can tell that the journalists have been wined and dined and brainwashed by the Orwellian reversal of reality of their left-wing Italian comrades in Rome. What you read is a rehashed version of what you read the day before in “La Repubblica” or “L’Unità”.

You can imagine then, my surprise, several weeks ago, when, during the first prime time television debate for the candidacy of the premiership between the incumbent Silvio Berlusconi and the would-be Romano Prodi, the latter claimed that his economic proposals had received endorsement from the Wall Street Journal.

Unfortunately, he was right. In a piece entitled “Italian Candidates Offer Dueling Tax-Cut Plans” (March 14, 2006), Luca Di Leo claimed, among other things, that, “Many economists see Mr. Prodi's recipe…as more likely to achieve its goal.” Fortunately, the WSJ made amends for the vagueness and falsehoods of that piece by publishing Stefano Di Bosio’s rebuttal (“Prodi’s Plan is No Tax Cut”, March 23, 2006).

However, the WSJ has continued to publish articles on the Italian elections that in their attempt at equanimity often fail to paint a totally accurate picture. For example, Berlusconi is often depicted as the “conservative” candidate, when, if there’s one thing that Berlusconi isn’t, it’s conservative!

If anything that appellation is more appropriate for his opponent, Romano Prodi. Berlusconi may not have been able to apply his liberalizing economic policies to the limits he had hoped for, but Prodi’s policies would undo the too little that was done, bringing the country back to an antiquated state-controlled status quo that would put the economy in a straight jacket when the cure calls for more flexibility.

Far from being a conservative, Berlusconi is a true revolutionary, the epitome of the self-made man, not a common model in Italy. He created his media empire from nothing, or from his earnings in real estate, fighting an uphill battle against the state monopoly of the television airways. It took an incredible amount to chutzpah to stay the course of that challenge.

There is no single Italian entrepreneur who has generated more wealth, who has created more jobs, who has produced more capital gains for minority investors, who has contributed more tax dollars to the state coffers and who has never asked for state favors to pay for his loses.

Other famous Italian entrepreneurs, many of them long-time comrades of Prodi, those seated in the highest echelons of the industrial organization Confindustria, have survived by privatizing their profits and socializing their losses. Not only have they been bloodsucking the resources of society for years by expecting the state to solve their problems of excess labor, but they’ve also been dumping their obsolete products on the public administration, both of which served to postpone Italy’s appointment with the essentials of sound and sensible competition needed to compete in modern markets. They’ve been the ruin of minority investors who had the ill fate to have faith in their big-name companies. Those same capitalists with no capital are likely to pretend more favors from the left-wing contender to the premiership, with the costs being picked up by the collectivity.

Prodi’s comradeship with the spoiled class of Italian capitalism began in the 1980s when he was president of the state holding company, IRI. He was the man charged with privatizing the state-owned industries. He is the one who sat for two years at the negotiating table with Ford when the American company was willing to pay fair market price for the state racing-stable, Alfa Romeo. He’s the man who tipped-off Gianni Agnelli at the 11th hour, signing a deal for a price well below market price, a price that Fiat never even paid.

During Prodi’s stint at IRI, he also tried to sell the state-owned food conglomerate SME to another one of his high profile bosom buddies, the industrialist Carlo De Benedetti. Only a few months earlier Heinz had tried to pay three times the amount that De Benedetti was offering, but had been told my Prodi that SME wasn’t for sale. When the then Prime Minister Bettino Craxi got word of the deal with De Benedetti, he asked his friend, Silvio Berlusconi, to make an offer. Berlusconi didn’t even want to buy SME, but Craxi convinced him to make an offer because the prime minister couldn’t bear to stand by and watch as Prodi sold off all the state assets to his friends at bargain basement prices. SME was eventually dismantled and sold to other buyers, However, the case ended up in the courts and irony would have it that instead of De Benedetti and Prodi occupying the seat of the accused, that seat was assigned to Silvio Berlusconi.  Mr. Berlusconi was, of course, eventually acquitted, but that was just one of the many cases of persecution brought against him, the purpose of which was to discourage his participation in politics.

Nonetheless, the skeletons in Romano Prodi’s closet go well beyond bad business practices. During the 1970s Prodi admitted to spending an evening with friends consulting a Ouiji board. During the séance the board “revealed” that kidnapped Prime Minister Aldo Moro was being held in a place called Gradoli. It was later discovered, after Moro’s death, that he had been held, not in the town of Gradoli, but in an apartment in a Roman street called Via Gradoli. Unless you believe in the power of Ouiji boards, this means that the former president of the European Union and the candidate for the premiership of Italy not only knew where the Red Brigades were hiding Aldo Moro, but with his action, he was actually tipping off the terrorists to the fact that their hiding place was no longer secret!

Romano Prodi’s red comradeship took him to even higher places. During the coup d’état in the Soviet Union in 1991, in an interview with “Il Corriere della Sera”, Prodi boasted that he wasn’t at all surprised since the author of the coup, Vladimir Kriutshiev, was a personal friend of his. The coup fortunately failed, but had it succeeded, it would have meant the squashing of the democratic forces that were just beginning to blossom.  For the record, Mr. Kriutshiev was the last leader of the Soviet KGB from 1988 to 1991.

What’s more, Prodi is still chumming around with Communists. Three of the parties in his coalition are Communist. The PDS, the largest party in his coalition, is what remains of the PCI, the old Italian Communist Party. They changed their name and symbol when Communism went out of fashion, but they have never done any soul-searching about their dark past. The Refound Communist Party, had gone with the PDS in the beginning, but then decided that they were still Communists at heart after all. And last but not least, the Italian Communists are the diehards who have never renounced their past.

Last month Berlusconi stood before a joint session of Congress to offer his testimony of gratitude toward the United States. While he was thanking Americans for saving Italy and Europe from the throngs of three totalitarianisms: Nazism, Fascism and Communism and for lifting the destroyed continent from the ashes of war with the Marshall Plan, the leader of the Italian Communists, Oliviero Diliberto, was admonishing him for having shaken the “blood-drenched” hand of President Bush the day before. That’s more than enough for me to decide who’s fit or unfit to govern the country.

Sandra Giovanna Giacomazzi is a regular contributor to the Roman daily, L’Opinione delle Libertà. She also teaches Government and Economics in Turin.



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