Also, the number of kids going to university has fallen because of the reduction in student loans, and money for new research and teaching has also dried up. It is a vicious cycle, but it looks as if this generation will struggle to be educated and find work.

The name is instantly recognisable as one of the most sought after luxury brands on the high street. Giorgio Armani owns the Armani fashion/apparel label and it has brought him considerable wealth over the years. He is the fourth richest man in Italy and his personal fortune stands at $2.8 billion.

So what makes this particularly difficult to take for many working Italians is that this region of Emilia Romagna is one of Italy's most industrial and productive, and because of the earthquake they will be unable to work. This will affect the whole infrastructure of the country and will weaken it considerably. This catastrophe could not have happened at worse time, and it is a bitter pill to swallow.

Two governments who have been suffering economic hardship of late with massive sovereign debts are Italy and Spain, and as a result of this plight they have seen their government bonds decline. Italian government bonds decreased drastically, pushing the 10-year yield up seven basis points, or 0.07 percentage point, to 5.84%. The country's two-year yield climbed 16 basis points to 4.24%. Spain is in a similar position after their 10-year bonds fell sharply, which left their yield seven basis points higher at 6.51%. The two-year rate also shot up seven basis points to 4.70%.

Take China for example, which is still deemed as an emerging market economy but stands as one of the world's economic powerhouses. It is put alongside countries with infinitesimally smaller resources and incomes, such as Tunisia. And this is because China and Tunisia have both embarked on economic development and reform programmes, albeit on totally different scales and time-frames, and both have begun to branch out with their markets internationally and "emerge" as global economies. EMEs are renowned for their fast pace of growth.

Another method that has been proposed by the Economic experts of Italy is that in order to get rid of this total debt, the treasury debt will have to be opened for private investors. This will make things easier for Italian Economy and help it in getting rid of this debt quite soon. Some people, however, do not agree with this because this method of getting rid of national debt by opening it for private investors is not a proven right method. According to them, Government will have to think about something else.

New tax systems that are lenient on workers have been advocated, as well as job security for younger workers, which would also encourage investments and help to boost employment levels. The sale of bonds by the Italian government has helped raise the money needed to lower its borrowing costs by half. However, investors are not too keen yet since they are likely to drive up the borrowing costs if Italy does not straighten its finances.

Recently, this reduce in the economy was much more declined towards Greece and it came out of the decline quite easily with the help of other European nations and now what remains to be seen is that whether the European countries will help Italy in the same way or not. The role of Germany in this regard will be of much more importance and it will have to play its role of big brother in this situation. There are a number of people in Italy that are considering Silvio Berlusconi, the recent prime minister of Italy, as the cause for this economic downturn. They are saying that Silvio is the main reason why they are in such crisis today. According to them, he did not pay enough attention on maintaining the economic stability of the country and gave other things more importance. Since, now he has resigned, there seem to be much more chances of the economic upheaval of country and it seem to be a sign of hope for other European countries as well.

China is one of the most rapidly growing economies of the world and experts have already starting to predict that China is going to be the world’s strongest economy by 2025. The only thing which has made this possible is the effort of the people of China who have depended totally on their own resources and have not called out for help from organizations like IMF, a mistake most of the countries are very happy to commit. The friendly relations between the two countries will create opportunities for the people of two countries and will obviously create a very positive effect on their economies. Cutting long into short, China and Italy both have been very responsible on the matter of their foreign relations and have done everything within their reach to improve their relations with other countries. That is why both of them are economically strong.

Similarly, an economic downturn can also cause a lot of problems for Gross Domestic Products which is affected by the marketing of daily use or luxury products. When a country is in the condition of an economic downturn, what people really do is that they stop spending their money on luxurious items and spend money only when they really have to. In other words, they concentrate more on saving than spending. This causes the companies of those products to reduce the prices of the items in order to make people buy them and this causes their deflation. This deflation will further reduce the economy of that country and this is the worst case of the economic downturn. Cutting long into short, it is the national responsibility of the experts of any country to remain aware of such conditions and to avoid them as much as they can.