Spain unemployment tops 5.3m and set to get worse

[alp227]

Spanish unemployment broke through the 5-million barrier on Friday as the new government of Mariano Rajoy began to quietly beg the European Union to ease up on deficit targets that are sending the country hurtling back into recession.

Spain, which already boasted Europe's worst unemployment rate, recorded 350,000 people losing their jobs in the last quarter of 2011.

That rate now stands at 22.8% of the population and is set to worsen as Rajoy's conservative People's party government pursues a €40bn (£33bn) budget adjustment, most of it in spending cuts, to meet the EU's deficit target of 4.4% this year.

With a record 5.3 million unemployed, Spain faces a spiral of decline. The IMF has already predicted that the economy will shrink by 1.7% this year, with a further decline in 2013.

full: http://www.guardian.co.uk/business/2012/jan/27/spain-unemployment-53m-get-worse

[fasttense]

1. Austerity always increases unemployment.

No country on the face of the earth has ever cut their way out of an economic recession.

[opihimoimoi]

2. Well, someone had better tell them GOPers cause thats what they wants to do...cut spending

The Fools. don't even noes that simple aspect of Macronomics....ya gatta spend on somethin and if ya do...

then...consider doing something that complies with making jobs permanent and in large

quantities..

[minavasht]

3. Which

country was able to get out of it by spending more?

[2ndAmForComputers]

4. *coughnewdealcough*

[minavasht]

6. I did not know much about it

and went to Wiki.
Apparently, it started with the lowering of the wages of the federal employees. Sounds like austerity to me.
Another thing that seemed interesting - in most programs people were paid to do something.

Of course, there are those who say it actually prolonged the depression.

[DCBob]

5. Wow. That does not sound good at all.

There's the next domino if Greece collapses.