SpainSpain

By: Seth BellBy: Seth BellBy: Seth BellBy: Seth Bell

HistoryHistory Powerhouse in the 16th and 17th century which Powerhouse in the 16th and 17th century which

was eventually overtaken by England.was eventually overtaken by England. Great plague struck Spain in the end of the 16th Great plague struck Spain in the end of the 16th

century and wiped out 10% of the population.century and wiped out 10% of the population. Recovering from the Spanish-American War, Recovering from the Spanish-American War,

Spain began further development in the 20th Spain began further development in the 20th century. century.

Neutral in both World Wars.Neutral in both World Wars. Suffered devastating civil war from 1936-1939Suffered devastating civil war from 1936-1939 Joined the EU in 1986.Joined the EU in 1986. Switched its currency from the peseta to the euro Switched its currency from the peseta to the euro

on January 1, 2002.on January 1, 2002.

Powerhouse in the 16th and 17th century which Powerhouse in the 16th and 17th century which was eventually overtaken by England.was eventually overtaken by England.

Great plague struck Spain in the end of the 16th Great plague struck Spain in the end of the 16th century and wiped out 10% of the population.century and wiped out 10% of the population.

Recovering from the Spanish-American War, Recovering from the Spanish-American War, Spain began further development in the 20th Spain began further development in the 20th century. century.

Neutral in both World Wars.Neutral in both World Wars. Suffered devastating civil war from 1936-1939Suffered devastating civil war from 1936-1939 Joined the EU in 1986.Joined the EU in 1986. Switched its currency from the peseta to the euro Switched its currency from the peseta to the euro

on January 1, 2002.on January 1, 2002.

GeographyGeographySouthwest EuropeSouthwest EuropeBordering Waters: Bordering Waters:

Mediterranean Sea, Mediterranean Sea, Atlantic OceanAtlantic Ocean

South of FranceSouth of FranceNorth of Morocco North of Morocco Slightly larger than the Slightly larger than the

U.S. state of U.S. state of California.California.

Southwest EuropeSouthwest EuropeBordering Waters: Bordering Waters:

Mediterranean Sea, Mediterranean Sea, Atlantic OceanAtlantic Ocean

South of FranceSouth of FranceNorth of Morocco North of Morocco Slightly larger than the Slightly larger than the

U.S. state of U.S. state of California.California.

EconomicsEconomics

GDP: $1.362 trillion; ten times smaller than GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion).the United States ($13.86 trillion).

GDP per capita: $33,700; higher than Italy GDP per capita: $33,700; higher than Italy and on pace with France.and on pace with France. United States: $46,000United States: $46,000

Real growth rate: 3.8%; greater than all G7 Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the countries and all big EU economies for the third consecutive year.third consecutive year. United States: 2.2%United States: 2.2%

GDP: $1.362 trillion; ten times smaller than GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion).the United States ($13.86 trillion).

GDP per capita: $33,700; higher than Italy GDP per capita: $33,700; higher than Italy and on pace with France.and on pace with France. United States: $46,000United States: $46,000

Real growth rate: 3.8%; greater than all G7 Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the countries and all big EU economies for the third consecutive year.third consecutive year. United States: 2.2%United States: 2.2%

Economics Cont.Economics Cont.

Labor Force: 22.01 millionLabor Force: 22.01 million United States: 153.1 millionUnited States: 153.1 million

Labor Force: 22.01 millionLabor Force: 22.01 million United States: 153.1 millionUnited States: 153.1 million

Unemployment: 7.6%;Unemployment: 7.6%; Favorable compared to other Favorable compared to other European countries and vast European countries and vast improvement from 20% in early improvement from 20% in early 1990’s.1990’s. United States: 4.6%United States: 4.6%

Economic ProblemsEconomic Problems

High inflation: 2.7%High inflation: 2.7%

Large underground economyLarge underground economy

Poor education systemPoor education system Ranked among worst 3 with United States Ranked among worst 3 with United States

and United Kingdom for worst education in and United Kingdom for worst education in developed country.developed country.

High inflation: 2.7%High inflation: 2.7%

Large underground economyLarge underground economy

Poor education systemPoor education system Ranked among worst 3 with United States Ranked among worst 3 with United States

and United Kingdom for worst education in and United Kingdom for worst education in developed country.developed country.

General Info on Welfare SystemGeneral Info on Welfare System

Existing system was created in the mid Existing system was created in the mid 1970’s following the fall of the dictator 1970’s following the fall of the dictator General Franco.General Franco.

Socialist regime (PSOE) took over and Socialist regime (PSOE) took over and created much of the welfare system that still created much of the welfare system that still exists today.exists today.

Welfare system consists mainly of cash Welfare system consists mainly of cash benefit.benefit.

Main benefits are: health care (sickness and Main benefits are: health care (sickness and maternity), injuries at work, unemployment, maternity), injuries at work, unemployment, pensions, invalidity and death benefits.pensions, invalidity and death benefits.

Existing system was created in the mid Existing system was created in the mid 1970’s following the fall of the dictator 1970’s following the fall of the dictator General Franco.General Franco.

Socialist regime (PSOE) took over and Socialist regime (PSOE) took over and created much of the welfare system that still created much of the welfare system that still exists today.exists today.

Welfare system consists mainly of cash Welfare system consists mainly of cash benefit.benefit.

Main benefits are: health care (sickness and Main benefits are: health care (sickness and maternity), injuries at work, unemployment, maternity), injuries at work, unemployment, pensions, invalidity and death benefits.pensions, invalidity and death benefits.

Income TaxesIncome Taxes

Residents of Spain pay taxes to the government on Residents of Spain pay taxes to the government on their income earned worldwide.their income earned worldwide.

Non-residents of Spain pay taxes only on their Non-residents of Spain pay taxes only on their income earned within Spain.income earned within Spain.

Residents of Spain pay taxes to the government on Residents of Spain pay taxes to the government on their income earned worldwide.their income earned worldwide.

Non-residents of Spain pay taxes only on their Non-residents of Spain pay taxes only on their income earned within Spain.income earned within Spain.

Spain has a double taxation Spain has a double taxation agreement with many agreement with many countries.countries.

This allows a tax credit in your This allows a tax credit in your home country for taxes paid in home country for taxes paid in Spain, and vice versa.Spain, and vice versa.

Unemployment Benefit ProgramUnemployment Benefit Program Very generous unemployment protection system.Very generous unemployment protection system. Unemployed residents are entitled to Unemployed residents are entitled to

approximately 65% of the national average approximately 65% of the national average earnings.earnings.

Those who have worked during six years before Those who have worked during six years before becoming unemployment can receive benefits for becoming unemployment can receive benefits for a maximum period of two years.a maximum period of two years.

Must file for unemployment within 15 days of Must file for unemployment within 15 days of becoming unemployed.becoming unemployed.

Benefit cannot be received if it is your decision to Benefit cannot be received if it is your decision to end work.end work.

Very generous unemployment protection system.Very generous unemployment protection system. Unemployed residents are entitled to Unemployed residents are entitled to

approximately 65% of the national average approximately 65% of the national average earnings.earnings.

Those who have worked during six years before Those who have worked during six years before becoming unemployment can receive benefits for becoming unemployment can receive benefits for a maximum period of two years.a maximum period of two years.

Must file for unemployment within 15 days of Must file for unemployment within 15 days of becoming unemployed.becoming unemployed.

Benefit cannot be received if it is your decision to Benefit cannot be received if it is your decision to end work.end work.

Health CareHealth Care

Health Care has been provided through four Health Care has been provided through four systems:systems:

1.1. Social InsuranceSocial Insurance Provides for for hospital care, good medical services Provides for for hospital care, good medical services

and subsidized prescriptionsand subsidized prescriptions Most hospital care was provided by private hospitals Most hospital care was provided by private hospitals

run by the Catholic church.run by the Catholic church.

2.2. Private InsurancePrivate Insurance3.3. Occupational InsuranceOccupational Insurance4.4. Charitable InsuranceCharitable Insurance

Questionable quality, administered locallyQuestionable quality, administered locally

Health Care has been provided through four Health Care has been provided through four systems:systems:

1.1. Social InsuranceSocial Insurance Provides for for hospital care, good medical services Provides for for hospital care, good medical services

and subsidized prescriptionsand subsidized prescriptions Most hospital care was provided by private hospitals Most hospital care was provided by private hospitals

run by the Catholic church.run by the Catholic church.

2.2. Private InsurancePrivate Insurance3.3. Occupational InsuranceOccupational Insurance4.4. Charitable InsuranceCharitable Insurance

Questionable quality, administered locallyQuestionable quality, administered locally

Health Care Cont.Health Care Cont.

Health Care was and still is a big issue in Spain.Health Care was and still is a big issue in Spain. The quality of service used to vary by certain regions.The quality of service used to vary by certain regions.

In 1986, the government established a universal In 1986, the government established a universal National Health Service to guarantee all National Health Service to guarantee all Spaniards and foreigners in Spain a right to Spaniards and foreigners in Spain a right to health care.health care.

Health Care was and still is a big issue in Spain.Health Care was and still is a big issue in Spain. The quality of service used to vary by certain regions.The quality of service used to vary by certain regions.

In 1986, the government established a universal In 1986, the government established a universal National Health Service to guarantee all National Health Service to guarantee all Spaniards and foreigners in Spain a right to Spaniards and foreigners in Spain a right to health care.health care.

Spanish PoliticsSpanish Politics

System similar to a two-party system.System similar to a two-party system. The two dominant parties are:The two dominant parties are:

1.1. Partido Socialista Obrero Español - which Partido Socialista Obrero Español - which includes other socialist parties from includes other socialist parties from regions all over Spain (i.e. Partit dels regions all over Spain (i.e. Partit dels Socialistes de Catalunya - Socialist Party Socialistes de Catalunya - Socialist Party of Catalonia). of Catalonia).

2.2. Partido Popular - translates to People’s Partido Popular - translates to People’s party. Liberal views.party. Liberal views.

System similar to a two-party system.System similar to a two-party system. The two dominant parties are:The two dominant parties are:

1.1. Partido Socialista Obrero Español - which Partido Socialista Obrero Español - which includes other socialist parties from includes other socialist parties from regions all over Spain (i.e. Partit dels regions all over Spain (i.e. Partit dels Socialistes de Catalunya - Socialist Party Socialistes de Catalunya - Socialist Party of Catalonia). of Catalonia).

2.2. Partido Popular - translates to People’s Partido Popular - translates to People’s party. Liberal views.party. Liberal views.

Political Issues of WelfarePolitical Issues of Welfare

Poverty is still substantially higher than other Poverty is still substantially higher than other parts of Europe.parts of Europe.

Some old functions from the Franco regime Some old functions from the Franco regime still remain intact which are holding back still remain intact which are holding back further development.further development.

Franco was strongly in favor of family values Franco was strongly in favor of family values and as a result, maternity and single parent and as a result, maternity and single parent benefits are, even today, among the lowest in benefits are, even today, among the lowest in the European Union.the European Union.

Poverty is still substantially higher than other Poverty is still substantially higher than other parts of Europe.parts of Europe.

Some old functions from the Franco regime Some old functions from the Franco regime still remain intact which are holding back still remain intact which are holding back further development.further development.

Franco was strongly in favor of family values Franco was strongly in favor of family values and as a result, maternity and single parent and as a result, maternity and single parent benefits are, even today, among the lowest in benefits are, even today, among the lowest in the European Union.the European Union.

Future Concerns of WelfareFuture Concerns of Welfare

Problems associated with Problems associated with unemployment. unemployment.

The increasing flexibility The increasing flexibility of labor market. of labor market.

An aging population.An aging population. Currently, there is little Currently, there is little

reform for the elderly.reform for the elderly. 90% of elders of retirement 90% of elders of retirement

age live with family.age live with family. Only 5% live in retirement Only 5% live in retirement

homes.homes. Large portion of elders live Large portion of elders live

alone on low income.alone on low income.

Problems associated with Problems associated with unemployment. unemployment.

The increasing flexibility The increasing flexibility of labor market. of labor market.

An aging population.An aging population. Currently, there is little Currently, there is little

reform for the elderly.reform for the elderly. 90% of elders of retirement 90% of elders of retirement

age live with family.age live with family. Only 5% live in retirement Only 5% live in retirement

homes.homes. Large portion of elders live Large portion of elders live

alone on low income.alone on low income.

My ThoughtsMy Thoughts

The remnants of the Franco regime that still The remnants of the Franco regime that still remain intact are heavily slowing down the remain intact are heavily slowing down the development of Spain’s welfare system.development of Spain’s welfare system.

Large issues of changing demographics must Large issues of changing demographics must be dealt with.be dealt with.

The problems of unemployment, the labor The problems of unemployment, the labor market, and the aging population have largely market, and the aging population have largely prevented greater social equality despite prevented greater social equality despite increased public expenditure.increased public expenditure.

The remnants of the Franco regime that still The remnants of the Franco regime that still remain intact are heavily slowing down the remain intact are heavily slowing down the development of Spain’s welfare system.development of Spain’s welfare system.

Large issues of changing demographics must Large issues of changing demographics must be dealt with.be dealt with.

The problems of unemployment, the labor The problems of unemployment, the labor market, and the aging population have largely market, and the aging population have largely prevented greater social equality despite prevented greater social equality despite increased public expenditure.increased public expenditure.

SourcesSources

CIA - The World Factbook - SpainCIA - The World Factbook - Spain https://www.cia.gov/library/publications/the-world-https://www.cia.gov/library/publications/the-world-

factbook/geos/sp.htmlfactbook/geos/sp.html CIA - The World Factbook - USACIA - The World Factbook - USA

https://www.cia.gov/library/publications/the-world-https://www.cia.gov/library/publications/the-world-factbook/geos/us.htmlfactbook/geos/us.html

Spain: Growth to Diversity. By Elisabeth Almeda and Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New YorSquaring the Welfare Circle St.Martin's: New Yor

CIA - The World Factbook - SpainCIA - The World Factbook - Spain https://www.cia.gov/library/publications/the-world-https://www.cia.gov/library/publications/the-world-

factbook/geos/sp.htmlfactbook/geos/sp.html CIA - The World Factbook - USACIA - The World Factbook - USA

https://www.cia.gov/library/publications/the-world-https://www.cia.gov/library/publications/the-world-factbook/geos/us.htmlfactbook/geos/us.html

Spain: Growth to Diversity. By Elisabeth Almeda and Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New YorSquaring the Welfare Circle St.Martin's: New Yor