Tuesday, May 20, 2014

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Export: The Key Crisis? | Asturias in Welsh
Spain's internal economy is still lying in bed not done. Next stage of the government in Madrid was to halve the rate of VAT (VAT) on new homes. Too early to tell whether this will have the intended effect, and has already been criticized for failing to help the hundreds of thousands who can not pay the mortgage already. But it does not look like we will see a big increase in the number of families rushing to the stores to buy new furniture for the house and so on.
But poor people from leaving manifest function the one hand, and look at companies, we see that those who export manifest function goods are doing well and improving. The figures in the papers today shows that the total sales to these other rich countries (OECD countries, the Organisation for Economic Cooperation and Development) in the second term (April to June) with 2011 was purchased for more than the first time ever. What kind of thing that sells? Machinery for factories, solar and wind energy equipment, cars and car parts, food and chemicals manifest function (hopefully not together). The services - things like tourism manifest function and insurance - are low on the list.
But is it doesn bar So Good is it? How long will the U.S. or EU countries, can afford to buy at this high? And it should be noted, also, that the Spanish trade with the rest of the world as successful: and so for one reason - oil. You will need a lot more windmills and electric cars to change those statistics.
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