need to know, if you visited Italy in August, did you find many sites/restaurants/shops closed or, did you find business as usual, well, almost?

not much closed in touristy areas but in residential districts like a ghost town.

so impact on tourists is nil and even great as without all the car and moped traffic with many locals gone places like Rome are much quieter and the air a lot better.

As it's also mid season in places like Rome and Florence, with peak being Apr-June so more hotels available, etc.

I have been to Italy in August many times and the answer to your question is it depends. The coastal, mountain and lake resorts will be packed and virtually nothing will be closed. In the cities, some restaurants and shops will be closed but in places like Rome, Florence, Venice and Milan, there is so much open, you probably won't even notice. If you do have a particular restaurant or shop you want to visit, it is good to check ahead of time whether or not they will be open. In some small towns, lots will be closed but in others, that are heavily visited by tourists (Pienza, Montalcino, San Gimignano, Assisi etc.) most everything will be open.

The two weeks in August that I spent in Italy were all during Ferragosto. I loved it, the roads were clear (well it's all relative, so compared to July) and the crowds were thin.

But, Yes. I did notice many places closed, but it did not detract from our experience. I recommend to everyone to go to Italy during Ferragosto, just don't expect to get any space on a beach.

It is also HOT