The Bank of Spain blamed stagnant growth on a number of factors, including a drop in domestic demand in a country with a 21.5 percent jobless rate.
It said domestic demand fell because of lower government spending as a result of deficit-reducing austerity measures taken by regional governments and because of a moribund real estate market.So what's the solution to this drop in aggregate demand caused by the severe austerity measures the Spanish government has imposed?
Why more austerity, of course!
The Bank of Spain said there is still time to meet the deficit reduction target by the year's end but warned that fresh measures may be necessary.Because repeating the same action over and over again while expecting a different result must be the right solution. It simply must!
Prepare for a longer, deeper and more pronounced recession in Europe. It's coming, kids. It's coming.
|"By the pricking of my thumbs, Something wicked this way comes!"|