What was life in Italy like during the time of Romeo and Juliet?

Romeo and Juliet were not real people. There is no such thing as "the time of Romeo and Juliet" since they were not really alive. Shakespeare did not specify any particular time in which the play is set, so it is the director's call when to set it. In the 1996 movie directed by Baz Luhrman the director sets the play in 1996.