The economic, social and financial systems in Spain are very serious. But perhaps the patient doesn´t realize the seriousness of his illness. And less so now that it has become more chronic.
Some public opinion thinks that the criticism and fears related to the Spanish economy are exaggerated and made up by the media, analysts and international organizations.
Also, some suggest that the bulk of structural reforms and budget obligations have already been completed and, therefore, that the foundation for economic recovery is in place.
Spain´s economic situation is quite serious and there is much to do in order to escape the crisis and avoid a double dip. Right now the country´s has two advantages. First, all parties involved really want to avoid another blow up. Second, there is a possibility of a new government putting a new economic policy in place. These hopes are providential for the country.
Events have shown that the market suspected that local and autonomous government´s debt was greater than they officially claimed and there have been insufficient measures taken to restructure and clean up the financial system. But it must be done.
This is not something some global program and has concrete objectives with timeframes focused on two lines of thought: first, creating sustainable financial system and economy so that economic agencies can enact their decisions in a secure macroeconomic environment and predictable and implementation of opportunities to create employment by freeing the markets, reducing taxes, etc.
Given the current economic climate in Spain, these measures have to be adopted in their fully form in order to get at the root of the problem.
Lorenzo Bernaldo de Quirós. Editorial Board Member at elEconomista.
