Publication

This article examines why Spain, which for most of the first decade of the 21st century experienced such economic success, found itself so heavily affected by the global financial crisis. Structural deficiencies that were hidden during the boom years resurfaced during the crisis. The author warns that credit-financed spending in an attempt to revive the economy would weaken it further in the long run. On the other hand, continuing on the path of austerity also appears unwise.