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Real Estate Crisis Threatens Spanish Economy

Posted by Matt in July 18th, 2008

Spain’s economy is in trouble. Rising property values earlier this decade lured many Spaniards into the market. Now that the bubble has burst, the crisis is quickly spreading through the country’s economy. By Reiner Wandler in Madrid more…


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[Countries link to CIA Factbook. States link to Wikipedia.]


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Economy Main article: Economy of Spain According to the World Bank, Spain's economy is the ninth largest worldwide and the fifth largest in Europe. As of 2007, absolute GDP was valued at $1.362 trillion according to the CIA Factbook, (see List of countries by GDP (nominal)). The per capita PPP is estimated at $33,700 (2007), ahead of G7 countries like Italy and placing Spain at a similar per capita basis as France or Japan (both with an 2007 estimated at $33,800). The Spanish economy grew 3.8% in 2007 outpacing all G7 members and all the big EU economies for the 3rd consecutive year. The centre-right government of former prime minister José María Aznar worked successfully to gain admission to the group of countries launching the euro in 1999. Unemployment stood at 7.6% in October 2006,...
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