Has Spain’s Economy Emerged from the Recession?
Data confirm that Spain’s economy grew during the third quarter this year, officially pulling the country out of a recession, Bloomberg reports.
Gross domestic product grew by 0.1 percent in the third quarter of 2013, up from a 0.1 percent decline in the second quarter. It’s the first quarter in which the Spanish economy has expanded since 2011, thus ending a two-year slump for the country.
In other recently released data, inflation was shown to have sunk to 0.1 percent in October. While this is good news for those who want their euros to carry more weight in the country, it has raised fears of deflationary pressures from some economists, especially considering that year-over-year prices actually dropped in Spain, Reuters reports. Between falling salaries and low levels of job creation, some are worried that the Spanish economy could be headed for a prolonged period of stagnation in the years ahead.