http://news.yahoo.com/spain-overcome-economic-crisis-without-aid-minister-175009339.html
1. Spain's economic struggles are getting worse. The country is facing a "great depression" of their own. After filing a budget of 27 billion euros in tax increase and slashing the public deficit by 3.2% are some steps they are taking in order to stay away from needing aid. Spain is hoping to be able to come out of this economic nightmare without the aid of a bailout like Greece, Portugal, and Ireland.
2. A result of the budget managing means higher rates of unemployment. The increase in unemployment can be a negative in being able to fully utilize Spain's total resources. Not being able to afford to fully utilize their employment and resources, it is going to be hard for the country to get out of such a struggle but they can't afford to be at full force. The increase in tax could affect the publics willingness and ability in a negative way causing a negative shit in the demand curve. This could also hurt the economy because there would be less money coming in from domestic shopping.
3. I believe that Spain should do all that is possible in order to avoid a bailout. Country's face hard times, but if they can over come it they will be stronger then before and more educated on positive factors/practices in order to be ready if the economy ever tanks again.
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