It seems like exports of lucrative sectors are still strong in Italy. Of course, as in most europe, taxation is heavy. The main factor hindering growth seems to be high wages.
I think that non-wage labour costs can be an important factor. I think they are quite high across Europe. Could anyone tell the numbers for Italy? (for example: in Poland a net wage of 2700 PLN (~ $1000) is a gross wage of 4500 PLN (~ $1650)).