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Party changes were sweeping. The Christian Democratic Party dissolved; the Italian People's Party and the Christian Democratic Center emerged. Other major parties, such as the Socialists, saw support plummet.  
 
Party changes were sweeping. The Christian Democratic Party dissolved; the Italian People's Party and the Christian Democratic Center emerged. Other major parties, such as the Socialists, saw support plummet.  
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New political forces and new alignments of power emerged in March 1994 national elections. A new populist and free-market oriented movement, Forza Italia, gained wide support among moderate voters. The National Alliance broke from the neofascist Italian Social Movement. The election saw a major turnover in the new parliament, with 452 out of 630 deputies and 213 out of 315 senators elected for the first time. The 1994 elections also swept media magnate Silvio Berlusconi--and his Freedom Pole coalition--into office as Prime Minister. A trend toward two large coalitions--one on the center-left and the other on the center-right--emerged from the April 1995 regional elections.
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New political forces and new alignments of power emerged in March 1994 national elections. A new populist and free-market oriented movement, Forza Italia, gained wide support among moderate voters. The National Alliance broke from the neofascist Italian Social Movement. The election saw a major turnover in the new parliament, with 452 out of 630 deputies and 213 out of 315 senators elected for the first time. The 1994 elections also swept media magnate [[Silvio Berlusconi]], and his Freedom Pole coalition, into office as Prime Minister. A trend toward two large coalitions--one on the center-left and the other on the center-right--emerged from the April 1995 regional elections.
    
Berlusconi, however, was forced to step down in January 1995 when one member of his coalition withdrew support. The Berlusconi government was succeeded by a technical government headed by Prime Minister Lamberto Dini, which fell in early 1996. For the 1996 national elections, the center-left parties created the Olive Tree coalition while the center right united again under the Freedom Pole. The new elections in 1996 brought a center-left coalition to government for the first time after World War II.  
 
Berlusconi, however, was forced to step down in January 1995 when one member of his coalition withdrew support. The Berlusconi government was succeeded by a technical government headed by Prime Minister Lamberto Dini, which fell in early 1996. For the 1996 national elections, the center-left parties created the Olive Tree coalition while the center right united again under the Freedom Pole. The new elections in 1996 brought a center-left coalition to government for the first time after World War II.  
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A series of center-left coalitions dominated Italy's political landscape between 1996 and 2001. In April 1996, national elections led to the victory of a center-left coalition (the Olive Tree) under the leadership of Romano Prodi. Prodi's government became the second-longest to stay in power before he narrowly lost a vote of confidence (by three votes) in October 1998. A new government was formed by Democratic Party of the Left leader and former-communist Massimo D'Alema.  
 
A series of center-left coalitions dominated Italy's political landscape between 1996 and 2001. In April 1996, national elections led to the victory of a center-left coalition (the Olive Tree) under the leadership of Romano Prodi. Prodi's government became the second-longest to stay in power before he narrowly lost a vote of confidence (by three votes) in October 1998. A new government was formed by Democratic Party of the Left leader and former-communist Massimo D'Alema.  
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Italy adopted the [[euro]] as its currency in January 1999. Treasury Secretary Carlo Ciampi, who is credited with the economic reforms that permitted Italy to enter the European Monetary Union, was elected president in May 1999. Italy joined its NATO partners in the Kosovo crisis. Aviano Air Base in northern Italy was a crucial base for launching air strikes into Kosovo and Yugoslavia.
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Italy adopted the [[euro]] as its currency in January 1999. Treasury Secretary Carlo Ciampi, who is credited with the economic reforms that permitted Italy to enter the European Monetary Union, was elected president in May 1999. Italy joined its [[NATO]] partners in the [[Kosovo]] crisis. Aviano Air Base in northern Italy was a crucial base for launching air strikes into Kosovo and [[Yugoslavia]].
    
In April 2000, following a poor showing by his coalition in regional elections, D'Alema resigned. The succeeding center-left government, including most of the same parties, was headed by Giuliano Amato, who previously served as Prime Minister in 1992-93.  
 
In April 2000, following a poor showing by his coalition in regional elections, D'Alema resigned. The succeeding center-left government, including most of the same parties, was headed by Giuliano Amato, who previously served as Prime Minister in 1992-93.  
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National elections, held on May 13, 2001, returned Berlusconi to power at the head of the five-party center-right Freedom House coalition, comprising the prime minister's own party, Forza Italia, the National Alliance, the Northern League, the Christian Democratic Center, and the United Christian Democrats. Berlusconi pledged to reduce unemployment, cut taxes, revamp the educational system, and reform the bureaucracy. His critics were alarmed by the apparent conflict of interest of a prime minister who also owned 90% of Italy's media. He was accused of Mafia connections and was under indictment for tax fraud and bribery. Found guilty in three out of four of his trials, he was acquitted in all of them on appeal. Several other cases are pending.
 
National elections, held on May 13, 2001, returned Berlusconi to power at the head of the five-party center-right Freedom House coalition, comprising the prime minister's own party, Forza Italia, the National Alliance, the Northern League, the Christian Democratic Center, and the United Christian Democrats. Berlusconi pledged to reduce unemployment, cut taxes, revamp the educational system, and reform the bureaucracy. His critics were alarmed by the apparent conflict of interest of a prime minister who also owned 90% of Italy's media. He was accused of Mafia connections and was under indictment for tax fraud and bribery. Found guilty in three out of four of his trials, he was acquitted in all of them on appeal. Several other cases are pending.
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In Nov. 2002, Giulio Andreotti, who served as Italy's prime minister numerous times between 1972 and 1992, was sentenced to 24 years for ordering the Mafia to murder a journalist in 1979. At 84, however, he was deemed too old for prison.
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In Nov. 2002, Giulio Andreotti, who served as Italy's prime minister numerous times between 1972 and 1992, was sentenced to 24 years for ordering the [[Mafia]] to murder a journalist in 1979. At 84, however, he was deemed too old for prison.
    
At the end of 2003, Italian food giant Parmalat was accused of a massive accounting fraud scheme—$5 billion the company claimed was in fact nonexistent.
 
At the end of 2003, Italian food giant Parmalat was accused of a massive accounting fraud scheme—$5 billion the company claimed was in fact nonexistent.
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