Italy is substantially the largest and most highly developed economy in Southern Europe. There is a significant difference in overall economic activity levels, employment, incomes and living standards between the industrialised North of Italy, which is comparable to France, and the Southern half of the country. There has been substantial government involvement in this transformation. Unemployment is much higher among women than among men. Budgetary policy has been tight in recent years, as Italy has taken steps to qualify for participation in the Euro.
Tourism is an important industry for Italy, the world's fourth most popular tourist destination.
Italy's exceptional wealth of arts and historic sites make the cultural domain a natural focus of Information Society activities. In March 1997, the Ministry of Industry presented to the Forum a Policy and Industrial Plan for the Informatic and Telecommunications Sector , setting out fundamental objectives and terms of reference for strategic and long-term Government decision making. Italy is thought to be the first Government to have highlighted co-operative working as a high priority information society activity. Relative to overall Internet penetration there is a high level of online activity, providing a good cross section of local and other Italian language material to motivate take up and use by citizens. Telecom liberalisation is proceeding on time.