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Unfortunate events, like the resignation of President Cossiga and the assassination of Giovanni Falcone conducted by the Mafia, started crisis within traditional governing parties. The executive power of the Italian government was weak at this time due to absence of a President and limited governmental powers. All of this crisis and limited power lead to increased investigation capabilities for the Milan prosection.[1]

Under Craxi's leadership, the PSI was integrated into the ruling majority after the 1976 election and this was the underlying factor that caused the lengthy political crisis of 1979. The Socialists temporarily followed the Communist opposition and this ultimately lead to the premature disintegration of parliament.[2] Craxi realized that the public economy of Italy was separating from its European economic partners and significant changes were needed in the public sector and state bureaucracy. The end of the Cold War brought economic changes to areas outside of Italy and Craxi and other Italians knew that Italy could fall behind countries that were embracing modernity if necessary political action was not implemented.[3]

  1. ^ Guarnieri, Carlo (01 January 1997). "The judiciary in the Italian political crisis". West European Politics. 20 (1). {{cite journal}}: Check date values in: |date= (help)
  2. ^ Hine, David (01 October 1979). "The Italian socialist party under Craxi: Surviving but not reviving". West European Politics. 2 (3). {{cite journal}}: Check date values in: |date= (help)
  3. ^ Sassoon, Donald (01 September 1995). "Tangentopoli or the democratization of corruption: Considerations on the end of Italy's first republic". Journal of Modern Italian Studies. 1 (1). {{cite journal}}: Check date values in: |date= (help)