Spain Continues To Face Economic Crisis
Countries in the Euro-zone have not been doing so well recently, and Spain has seen yet another economic downfall for the first quarter of 2013 compared to the last quarter of 2012. Demand rates in Spain are low, and their housing industry is facing a crisis as well. Not only is the housing industry doing poorly but many people are in debt (both corporations and consumers) and unemployment rates are high. Many believe that Spain’s economy will see little recovery this year, and would continue to shrink.
The Euro-zone is in very bad shape right now as Cyprus recently tried to get itself out of bankruptcy and as Germany is seeing a large crunch in their once strong automobile industry. The Euro-zone covers so many countries, and as these countries that have a large impact on the European economy do not do well, neighboring economies in the Euro-zone take the hit as well. As more countries in the Euro-zone begin to suffer, the rest of the world will also be impacted.
Written by: Jessica Ho
Source: The Wall Street Journal