You have to remember that companies like Atala, Olmo, and Benotto made an entire range of bikes for the Italian market... from tiny toddler bikes, to 3-speed city bikes, to high-end and low-end racing bikes. The bike boom years certainly brought more of their worst products to the USA, where you could sell anything with two wheels. Even Bianchi and Legnano sold some very low-end "racing" style bikes, right along side their high-end Campy racers.
I have a '60 Atala, '60 Olmo, '62 Legnano, '68 Paramount, and '73 Atala, and they are similar quality in terms of assembly, finish, and performance. All feature nice chrome headlugs and ends. All have Campagnolo's best components of the year. They're not as nice as a custom frame from a little company, but they were after a different market.
From what I've seen, Atala's lowest bikes of the '70s were still better than Huffys. Same holds true of the lowest Bianchis, etc.
Aldo Ross