Wednesday, March 27, 2013

No good news

The Bank of Spain says that the economy will sink deeper into recession this year. The prediction is for the economy to shrink by 1.5% following the contraction last year of 1.4%.

This is a result of dire domestic demand and a weakening external sector. Unemployment is forecast to rise yet again to 27.1%. 

Actually there is some good news for us because Pam is interested in buying herself a car. In the present economic climate, I have no doubt that we will be able to secure a great deal from the garage.

1 comment:

Charles Smythe said...

No-one knows the true unemployment rate in Spain (or in any other country where similar statistics are kept).

'Unemployment' of those aged 15 to 24 in Spain (in January 2013) stood at almost 38% (see: The figures, almost three months later are much higher still.

Of course governments quote the lowest possible figures available to them (likewise they quote the best possible figures as far as economic improvements of their countries are concerned)... so the figures which you quote are at best a 'snapshot', at worst, totally irrelevant and incorrect.

In Spain, unlike many other countries, the unemployed can claim very limited amounts of money as the Benefits' System allows just very short, temporary relief. The true figures as far as Spanish unemployment is concerned therefore greatly exceeds the figures which you quote. Some estimate as many as half the working population being unable to find a job (i.e. 50%).

After all, there are "lies, damned lies, and statistics" as the old adage goes...