Spain's budget deficit

Spain mounting deficit is currently pushing the limits of the European Unions (EU) guide lines. In A statement released after the governments weekly cabinet meeting, it was announced that the governments deficit was provisionally estimated at 11.4%. under the rules of the EU, which Spain and other European contries must adhere to, a state budget has to be no larger then 3%. the EU has given Spain until the year 2013 to bring their deficit back under these guidelines. the main driving factor of Spain's current economic problems is the above average unemployment rate of 19.5% when compared to Europe's average of 10%. In fact, Spain has set the record for the highest unemployment rate in the region. In 2010 Spain began its term of presidency for the EU, further shining the spotlight of the countries current economic difficulties. Although Spain is currently facing major issues due to their economic budget deficit, Greece is also facing similar debt issues, having a budget deficit of 12.7% for the fiscal year. Spain's current economic difficulties are a direct result of the crumbling of the construction industry and housing market. In order for Spain to get its deficit back under the EU's guidelines, it will need to work directly with its regional and municipal governments. We will see what the future holds for Spain's budget deficit.

Source citation: http://www.marketwatch.com/story/spain-takes-aim-at-its-soaring-budget-deficit-2010-01-29?reflink=MW_news_stmp

Introduction of Spain's Economy

Hello my name is Mary and I am doing my country for Mr. Fleury's Macroeconomics class on Spain. Spain's civilization dates back to the stone ages. You may remember from humanities class that Spain is home to Altamira, were art from prehistoric humans has been preserved on cave walls.

Today Spain is a largely agricultural country producing the most olive oil in the world. Spain is also the largest producer of lemons, oranges, and strawberries in all of Europe. Spain's largest industries that are mostly concentrated in Madrid consist of, textiles and apparel, foods and beverages, metals and metal products, chemicals, ships, automobiles, machine tools, clay and refractory products, footwear, pharmaceuticals, and medical equipment.

Spain conducts most of their trade from Italy, Germany, France, and Great Britain. Although the country still has a major trade imbalance, the industry has grown significantly since the 1950's. Spain's currency is the Euro, and they are a democratic constitutional monarchy with a National Parliament (Cortes Generals). Spain's head of state is King Juan Carlos I and the country has a population of 44.6 million.