Where is Spain headed? part 1 of 2

It surprises me to find that many more people seem to be reading my blogs about the actors in Domino than the ones I write about what´s going on in Spain.  It would seem to me important to think about Spain, because in many respects, it´s a linchpin of an economic bloc that includes the United States.  If Spain goes, well, watch out!

In addition, Spain´s protest movement, the Indignados (or Movimiento 15-M) was certainly one of the models for Occupy Wall Street.  After all, the Occupy movement started about a year after the much more peaceful Indignados first appeared on the scene.

(Incidentally, there´s a movement in Canada called the Adbusters that started in 1989, well before the Indignados.  THEY claim to be the model for all of these protest movements.)

A LINK about some of the recent demonstrations in Spain organized by the Indignados.

So on that note, what´s going on in Spain?

Well, for one thing, taxes have gone up, unemployment has gone up, and people continue to be paid late or only partially or not at all (especially government workers and outside contractors for government).  A law has also been passed making it illegal to use social media to organize public demonstrations that result in problems for the authorities -- and don't most public demonstrations end in problems for the authorities, even though the organizers had not intended it?  The law has not yet been enforced very often, but it´s kind of a monster sitting in a cave, waiting for an opportunity to come out and wreak havoc.

On the other hand, one of my friends in Spain report that on some days, such as festival days, it looks as if everything were normal.  The streets are full of people, the cafe-bars have plenty of customers, people seem happy and carefree.

Another blog LINK about recent demonstrations in Spain -- some pretty powerful photos in this one.

On non-festival days, however, the streets are empty, the cafes-bars have few customers, the small shops are closing (and small shops make up a very important part of Spain´s economy), manufacturing has almost disappeared (except for parts of the auto industry), and construction work is hard to come by (another thing  that also used to be a major part of Spain´s economy).

In addition, the national tax collecting agency (Hacienda) has taken to sending investigators to inquire into people´s bank accounts, especially in the past several months.  If you owe money to the taxing agency but also owe money for your mortgage, etc., watch out.  The money you earn that you put into your bank account to pay your mortgage might be found by the taxing agency which will simply pounce on it...and there goes your mortgage payment.

An interesting fact about mortgage payments in Spain:  if  you can´t pay your mortgage, and lose your home, not only are you homeless but you still owe that mortgage to the bank.  Let´s just say that in Spain, you can´t win for losing.

OUR NEXT BLOG will finish up this topic.