This chapter examines the influence of economic thought on public administration in Italy from the country’s unification in 1861 to the third decade of the twenty-first century. Drawing on Italian and international literature in the history of economic thought, economic history, public administration, and economics, the chapter explores the evolving interplay between economic ideas and administrative rules and practices. Until World War II, the Italian school of economics modestly influenced the size and scope of the public sector and had minimal impact on administrative models. While the Giannini report (1979) did not lead to immediate policy actions, it opened the door to economic principles that informed the administrative reforms of the 1990s. Since then, the (selective) adoption of some of the New Public Management doctrines by the Italian school of public management have amplified the role of economics in administrative reform discussions. Nevertheless, administrative law remains the reference discipline and dominant paradigm, and it is still uncertain whether the Neo-Weberian State model suggested for interpreting the administrative reform trajectory of Italy can effectively reconcile Italy’s deeply rooted Napoleonic administrative tradition with economic principles. Simultaneously, economics itself is undergoing a transformation, as the neo-liberal mainstream faces significant theoretical and empirical challenges. Emerging paradigms, which take a more optimistic view of the state’s role and functionality, could reshape the future relationship between economics and public administration in Italy.