Spain’s shrinking economy could get more stimulus money.
One week after he dismissed Pedro Solbes, the country’s fiscally cautious economy minister, Spanish Prime Minister Jose Luis Rodriguez Zapatero has said the government is ready to implement further economic stimulus measures if necessary. Zapatero told Socialist members of parliaments: “Our main objective is to take maximum advantage of the measures already in place, and take new measures if necessary.” The Spanish economy slumped after the housing bubble burst there. It now has the highest unemployment rate in the eurozone at 15.5 percent of the workforce. The country’s current economic stimulus package is worth around 70 billion euro.