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Could Italy bring down the European Union?

Does the new Italian government really pose a danger for the Eurozone and the European Union?

There has been much to-ing and fro-ing in Rome this week as the two parties which finished up ahead in Italy's election in March have tried to persuade the president to approve their coalition government.

The parties are unlikely populist allies: the anti- establishment Five Star Movement and The League, which started life as a secessionist movement in the north of Italy.

Both parties reject economic austerity. They want to lower taxes and raise government debt further. This is causing alarm bells to…

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