In the second quarter of 2024, Italian household real income showed a growth above the average of OECD countries. This data represents a positive signal for the domestic economy, especially in a global context characterized by slowdowns and fluctuations.
According to a press release from the OECD, real income per capita in member countries increased by 0.4%, marking a significant decline from 1.3% in the previous quarter. During the same period, real GDP per capita increased by 0.3%. Among the fifteen countries for which detailed information is available, eight saw an increase, while seven suffered a decrease. The situation in the G7 countries is particularly notable: most reported an increase in real household income per capita, with the exception of Canada and Germany. Italy and the United Kingdom top the ranking with increases of 1.0% and 1.1% respectively, maintaining levels unchanged from the previous quarter.
The United States showed real per capita household income growth of 0.4%, albeit down from 1.2% in the first quarter. The slowdown was attributable to lower wage growth and lower government social benefits.
Interesting data also emerged from France which saw a growth of 0.3%, while Canada recorded a decrease of -0.2%, marking the fifth consecutive quarter of contraction in real GDP per capita. Germany faced a decrease in both real household income per capita (-0.2%) and real GDP per capita (-0.3%). Portugal stands out with the strongest growth in real household income per capita, rising by 2.1%, supported by significant increases in employee compensation. In contrast, the Netherlands experienced the largest contraction with a decline of -2.3%, mainly due to a decline in capital income. The current situation suggests that Italy is navigating relatively calmer waters compared to other developed economies. However, the sustainability of this growth remains to be carefully monitored in the context of broader global economic challenges.
Growth of Real Household Income in Italy in 2024 The second quarter of 2024 marks a significant moment for Italy, with real household income growing at a rate above the Organisation for Economic Co-operation and Development (OECD) average.
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