Assuming you're referring to the period of WWII, then no, it is false that the Italian economy, like the British, was centered around the military, since it was far more industrial with a consumer "bend".
Well, an obvious reason why children went to work during the Industrial revolution despite the conditions for work being horrible is the simple fact that families couldn't afford to survive in a lot of cases if it weren't for their children who would work as well. It was done out of necessity not out of pleasure.
It's known as the "bubonic plague". It first started in Asia, in mid 14th century. Trading was one of the main reasons it started. Fleas Once trading between Europe and Asia happened, the disease started spreading across Europe in the years of 1346-53, killing a third of the European population.
Hope it helps.