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Mafia responsible for 20% drop in GDP in southern Italy

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Staff writer ▼ | August 18, 2015
A study has linked organized crime and regional poverty in Italy, claiming that the mafia is responsible for a 20 percent downturn of economic output in southern Italy.
Mafia Puglia
Study   A research conducted by professor Paolo Pinotti
The southern Italian regions of Basilicata and Puglia were the subject of research conducted by Paolo Pinotti, an economics professor in the department of policy analysis and public management at Bocconi University in Milan.

Pinotti’s research considered such organizations as the Mafia, Camorra and ‘Ndrangheta, which became particularly influential in the southeast of Italy following the mafia wars of the mid-1970s.

The research, published in the August 2015 issue of the Economic Journal, studied a number of mafia “families” and concluded that they have had a devastating effect on the economy over a period of 30 years, from the mid-1970s to the mid-2000s.

According to Pinotti’s estimates, organized crime in the two regions he researched is not as serious as in Sicily, Campania and Calabria, the regions from where the Mafia, Camorra and ‘Ndrangheta originate, so the economic cost for those three could be even higher, the professor concludes.

Altogether, those three regions plus Basilicata and Puglia are Italy’s leaders when it comes to the presence of criminal syndicates. And they are also the poorest ones, Pinotti stressed.