Italy is located on the Italian Peninsula in Southern Europe, and on the two largest islands in the Mediterranean Sea, Sicily and Sardinia. Italy shares its northern Alpine boundary with France, Switzerland, Austria and Slovenia. The independent states of San Marino and the Vatican City are enclaves within the Italian Peninsula, while Campione d'Italia is an Italian exclave in Switzerland.Italy has been the home of many European cultures, such as the Etruscans and the Romans, and later was the birthplace of the movement of the Renaissance, that began in Tuscany and spread all over Europe. Italy's capital Rome has been for centuries the center of Western civilization, and is the seat of the Catholic Church.
Italy is a democratic republic and a developed country with the 20th highest GDP per capita, the 8th-highest Quality-of-life index,and the 20th-highest Human Development Index rating in the world.
Italy Economy: According to GDP calculations, Italy was ranked as the seventh largest economy in the world in 2006, behind the United States, Japan, Germany, China, UK, and France, and the fourth largest in Europe. According to the OECD, in 2004 Italy was the world's sixth-largest exporter of manufactured goods. This capitalistic economy remains divided into a developed industrial north, dominated by private companies, and a less developed agricultural south.
According to World Bank data, Italy has high levels of freedom to invest, do business, and trade. On the other hand, Italy has inefficient bureaucracy, relatively low property rights and high levels of corruption (compared to other European countries), heavy taxes, and heavy public consumption at around half of GDP.