Interesting article by BBC European correspondent Gavin Hewitt comparing the Spanish and German economies. Spain might have won the soccer but the German economy is in much better shape . ‘Recently, a German newspaper trumpeted a new economic miracle. Industrial orders were 30% higher than a year before. For Mercedes Benz, June was the best month in its history, with orders up 13% on the previous year. Unemployment has fallen for 12 straight months. Growth this year could be 2.3%. In Spain unemployment continues to edge up. It is close to 20% and is more than 40% for those aged between 16 and 24. The International Monetary Fund forecasts that Spain’s economy will shrink this year by 0.4%. It is struggling to emerge from recession. Spain has a budget deficit of 10%.’
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