Spain By: Seth Bell

History Powerhouse in the 16th and 17th century which was eventually overtaken by England. Powerhouse in the 16th and 17th century which was eventually overtaken by England. Great plague struck Spain in the end of the 16th century and wiped out 10% of the population. Great plague struck Spain in the end of the 16th century and wiped out 10% of the population. Recovering from the Spanish-American War, Spain began further development in the 20th century. Recovering from the Spanish-American War, Spain began further development in the 20th century. Neutral in both World Wars. Neutral in both World Wars. Suffered devastating civil war from Suffered devastating civil war from Joined the EU in Joined the EU in Switched its currency from the peseta to the euro on January 1, Switched its currency from the peseta to the euro on January 1, Powerhouse in the 16th and 17th century which was eventually overtaken by England. Powerhouse in the 16th and 17th century which was eventually overtaken by England. Great plague struck Spain in the end of the 16th century and wiped out 10% of the population. Great plague struck Spain in the end of the 16th century and wiped out 10% of the population. Recovering from the Spanish-American War, Spain began further development in the 20th century. Recovering from the Spanish-American War, Spain began further development in the 20th century. Neutral in both World Wars. Neutral in both World Wars. Suffered devastating civil war from Suffered devastating civil war from Joined the EU in Joined the EU in Switched its currency from the peseta to the euro on January 1, Switched its currency from the peseta to the euro on January 1, 2002.

Geography Southwest Europe Southwest Europe Bordering Waters: Mediterranean Sea, Atlantic Ocean Bordering Waters: Mediterranean Sea, Atlantic Ocean South of France South of France North of Morocco North of Morocco Slightly larger than the U.S. state of California. Slightly larger than the U.S. state of California. Southwest Europe Southwest Europe Bordering Waters: Mediterranean Sea, Atlantic Ocean Bordering Waters: Mediterranean Sea, Atlantic Ocean South of France South of France North of Morocco North of Morocco Slightly larger than the U.S. state of California. Slightly larger than the U.S. state of California.

Economics GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion). GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion). GDP per capita: $33,700; higher than Italy and on pace with France. GDP per capita: $33,700; higher than Italy and on pace with France. United States: $46,000 United States: $46,000 Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the third consecutive year. Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the third consecutive year. United States: 2.2% United States: 2.2% GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion). GDP: $1.362 trillion; ten times smaller than the United States ($13.86 trillion). GDP per capita: $33,700; higher than Italy and on pace with France. GDP per capita: $33,700; higher than Italy and on pace with France. United States: $46,000 United States: $46,000 Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the third consecutive year. Real growth rate: 3.8%; greater than all G7 countries and all big EU economies for the third consecutive year. United States: 2.2% United States: 2.2%

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

Economic Problems High inflation: 2.7% High inflation: 2.7% Large underground economy Large underground economy Poor education system Poor education system Ranked among worst 3 with United States and United Kingdom for worst education in developed country. Ranked among worst 3 with United States and United Kingdom for worst education in developed country. High inflation: 2.7% High inflation: 2.7% Large underground economy Large underground economy Poor education system Poor education system Ranked among worst 3 with United States and United Kingdom for worst education in developed country. Ranked among worst 3 with United States and United Kingdom for worst education in developed country.

General Info on Welfare System Existing system was created in the mid 1970’s following the fall of the dictator General Franco. Existing system was created in the mid 1970’s following the fall of the dictator General Franco. Socialist regime (PSOE) took over and created much of the welfare system that still exists today. Socialist regime (PSOE) took over and created much of the welfare system that still exists today. Welfare system consists mainly of cash benefit. Welfare system consists mainly of cash benefit. Main benefits are: health care (sickness and maternity), injuries at work, unemployment, pensions, invalidity and death benefits. Main benefits are: health care (sickness and maternity), injuries at work, unemployment, pensions, invalidity and death benefits. Existing system was created in the mid 1970’s following the fall of the dictator General Franco. Existing system was created in the mid 1970’s following the fall of the dictator General Franco. Socialist regime (PSOE) took over and created much of the welfare system that still exists today. Socialist regime (PSOE) took over and created much of the welfare system that still exists today. Welfare system consists mainly of cash benefit. Welfare system consists mainly of cash benefit. Main benefits are: health care (sickness and maternity), injuries at work, unemployment, pensions, invalidity and death benefits. Main benefits are: health care (sickness and maternity), injuries at work, unemployment, pensions, invalidity and death benefits.

Income Taxes Residents of Spain pay taxes to the government on their income earned worldwide. Residents of Spain pay taxes to the government on their income earned worldwide. Non-residents of Spain pay taxes only on their income earned within Spain. Non-residents of Spain pay taxes only on their income earned within Spain. Residents of Spain pay taxes to the government on their income earned worldwide. Residents of Spain pay taxes to the government on their income earned worldwide. Non-residents of Spain pay taxes only on their income earned within Spain. Non-residents of Spain pay taxes only on their income earned within Spain. Spain has a double taxation agreement with many countries. Spain has a double taxation agreement with many countries. This allows a tax credit in your home country for taxes paid in Spain, and vice versa. This allows a tax credit in your home country for taxes paid in Spain, and vice versa.

Unemployment Benefit Program Very generous unemployment protection system. Very generous unemployment protection system. Unemployed residents are entitled to approximately 65% of the national average earnings. Unemployed residents are entitled to approximately 65% of the national average earnings. Those who have worked during six years before becoming unemployment can receive benefits for a maximum period of two years. Those who have worked during six years before becoming unemployment can receive benefits for a maximum period of two years. Must file for unemployment within 15 days of becoming unemployed. Must file for unemployment within 15 days of becoming unemployed. Benefit cannot be received if it is your decision to end work. Benefit cannot be received if it is your decision to end work. Very generous unemployment protection system. Very generous unemployment protection system. Unemployed residents are entitled to approximately 65% of the national average earnings. Unemployed residents are entitled to approximately 65% of the national average earnings. Those who have worked during six years before becoming unemployment can receive benefits for a maximum period of two years. Those who have worked during six years before becoming unemployment can receive benefits for a maximum period of two years. Must file for unemployment within 15 days of becoming unemployed. Must file for unemployment within 15 days of becoming unemployed. Benefit cannot be received if it is your decision to end work. Benefit cannot be received if it is your decision to end work.

Health Care Health Care has been provided through four systems: Health Care has been provided through four systems: 1. Social Insurance  Provides for for hospital care, good medical services and subsidized prescriptions  Most hospital care was provided by private hospitals run by the Catholic church. 2. Private Insurance 3. Occupational Insurance 4. Charitable Insurance  Questionable quality, administered locally Health Care has been provided through four systems: Health Care has been provided through four systems: 1. Social Insurance  Provides for for hospital care, good medical services and subsidized prescriptions  Most hospital care was provided by private hospitals run by the Catholic church. 2. Private Insurance 3. Occupational Insurance 4. Charitable Insurance  Questionable quality, administered locally

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

Spanish 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. Partido Socialista Obrero Español - which includes other socialist parties from regions all over Spain (i.e. Partit dels Socialistes de Catalunya - Socialist Party of Catalonia). 2. Partido Popular - translates to People’s 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. Partido Socialista Obrero Español - which includes other socialist parties from regions all over Spain (i.e. Partit dels Socialistes de Catalunya - Socialist Party of Catalonia). 2. Partido Popular - translates to People’s party. Liberal views.

Political Issues of Welfare Poverty is still substantially higher than other parts of Europe. Poverty is still substantially higher than other parts of Europe. Some old functions from the Franco regime still remain intact which are holding back further development. Some old functions from the Franco regime still remain intact which are holding back further development. Franco was strongly in favor of family values and as a result, maternity and single parent benefits are, even today, among the lowest in the European Union. Franco was strongly in favor of family values and as a result, maternity and single parent benefits are, even today, among the lowest in the European Union. Poverty is still substantially higher than other parts of Europe. Poverty is still substantially higher than other parts of Europe. Some old functions from the Franco regime still remain intact which are holding back further development. Some old functions from the Franco regime still remain intact which are holding back further development. Franco was strongly in favor of family values and as a result, maternity and single parent benefits are, even today, among the lowest in the European Union. Franco was strongly in favor of family values and as a result, maternity and single parent benefits are, even today, among the lowest in the European Union.

Future Concerns of Welfare Problems associated with unemployment. Problems associated with unemployment. The increasing flexibility of labor market. The increasing flexibility of labor market. An aging population. An aging population. Currently, there is little reform for the elderly. Currently, there is little reform for the elderly. 90% of elders of retirement age live with family. 90% of elders of retirement age live with family. Only 5% live in retirement homes. Only 5% live in retirement homes. Large portion of elders live alone on low income. Large portion of elders live alone on low income. Problems associated with unemployment. Problems associated with unemployment. The increasing flexibility of labor market. The increasing flexibility of labor market. An aging population. An aging population. Currently, there is little reform for the elderly. Currently, there is little reform for the elderly. 90% of elders of retirement age live with family. 90% of elders of retirement age live with family. Only 5% live in retirement homes. Only 5% live in retirement homes. Large portion of elders live alone on low income. Large portion of elders live alone on low income.

My Thoughts The remnants of the Franco regime that still remain intact are heavily slowing down the development of Spain’s welfare system. The remnants of the Franco regime that still remain intact are heavily slowing down the development of Spain’s welfare system. Large issues of changing demographics must be dealt with. Large issues of changing demographics must be dealt with. The problems of unemployment, the labor market, and the aging population have largely prevented greater social equality despite increased public expenditure. The problems of unemployment, the labor market, and the aging population have largely prevented greater social equality despite increased public expenditure. The remnants of the Franco regime that still remain intact are heavily slowing down the development of Spain’s welfare system. The remnants of the Franco regime that still remain intact are heavily slowing down the development of Spain’s welfare system. Large issues of changing demographics must be dealt with. Large issues of changing demographics must be dealt with. The problems of unemployment, the labor market, and the aging population have largely prevented greater social equality despite increased public expenditure. The problems of unemployment, the labor market, and the aging population have largely prevented greater social equality despite increased public expenditure.

Sources CIA - The World Factbook - Spain CIA - The World Factbook - Spain factbook/geos/sp.html factbook/geos/sp.html CIA - The World Factbook - USA CIA - The World Factbook - USA factbook/geos/us.html factbook/geos/us.html Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New Yor Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New Yor CIA - The World Factbook - Spain CIA - The World Factbook - Spain factbook/geos/sp.html factbook/geos/sp.html CIA - The World Factbook - USA CIA - The World Factbook - USA factbook/geos/us.html factbook/geos/us.html Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New Yor Spain: Growth to Diversity. By Elisabeth Almeda and Sebastia Sarasa (1996). European Welfare Policy; Squaring the Welfare Circle St.Martin's: New Yor