Austerity did not help Italy - maybe spending will?

A ridiculously ferocious attack on Italy's mildly pro-growth fiscal policies in next year's budget are firing up market panic and an unedifying spectacle of chronically mismanaged intra-European relations.

Deprived of an independent monetary policy and flexible exchange rate to manage demand and employment, Italy has slightly reversed its restrictive fiscal stance to provide some support to economic activity and prevent what clearly ...