chapter  6
Spain’s lost decade
ByLuis Buendía, Ricardo Molero-Simarro
Pages 6

In this final chapter, we summarize the main characteristics of the Spanish economy in all its dimensions (production; external insertion, including financial insertion; labor market; and income distribution) in both the growth and crisis periods by inter-relating the analyses presented in previous chapters into our framework, as stated in the Introduction. We further highlight similarities between the adjustment experienced in Spain and that which took place in Latin America in the 1980s and 1990s, underlining the role played by the domestic actors that have so far controlled the accumulation pattern. Moreover, we assess the extent of the economic recovery that has taken place recently, and we evaluate the economic policies applied since the Partido Popular won the election in 2016. In opposition to the perpetuation of fiscal austerity and wage adjustment, we propose several measures that could contribute to a transformation of Spain’s economic and social models in hopes of helping to avoid future crises and allowing for better living conditions for the majority of the population. We argue that those measures should include a greater degree of economic democracy in order to make them irreversible.