Italian vote worsens outlook for the euro

Lessons of Germany’s decade-old reform have not been learnt elsewhere

Five Star movement leader and comedian Beppe Grillo speaks during a campaign   rally in Rome ahead of the election. Photograph: Max Rossi/Reuters

Five Star movement leader and comedian Beppe Grillo speaks during a campaign rally in Rome ahead of the election. Photograph: Max Rossi/Reuters

Germany ’s Agenda 2010 reforms, implemented by the then Social Democrat-led coalition, sought to shift incentives so that work was a preferable option to welfare for as many citizens as possible.

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