Following his graduation Caravale worked in the research department of the
Banca Nazionale del Lavoro, a credit institution. He became a technical staff of the
Italian Senate in 1958. In addition to his post at the Senate he began teaching economics and
fiscal policy at the University of Pescara. He lectured political economy at the
University of Perugia from 1968 to 1971. He became a full professor in 1972 at the University of Perugia and left his job at the Italian Senate. He worked at the university until 1979 when he joined the Faculty of Political Sciences of his alma mater, Sapienza University of Rome. Caravale was appointed minister of transportation on 17 January 1995. He served in the
cabinet led by
Prime Minister Lamberto Dini until 16 May 1996.{{cite web|title=Governo Dini After the end of his ministerial role Caravale continued to teach at the Sapienza University of Rome from June 1996.{{cite book ==Personal life, death and legacy==