
Spain, a country dear to my heart, is in trouble. Not from its unreformed labour laws and resulting two-tier labour market, its borrowing binges on cheap Euro interest rates or even its burst property bubble, the combination of which has resulted in an astonishing 20% unemployment - although none of these have helped the situation.
It's worse than that, however. There is no replacement for Zapatero: within his party he is without serious challengers minded to challenge, he faces a feeble opposition in Rajoy's PP and, in any case, no-one wants a change of prime minister in a situation where a currency or banking collapse could have disastrous consequences across Europe. So until, with painful slowness, Spain can be pulled back from the brink enough to allow a smooth transfer of power to someone more competent, it's stuck with him.
If you ever needed a reason why the old, corporatist Euro-model of the 70s and 80s is dead, you have only to look on the dead hand on this country's tiller. Europe, as a political entity, needs to be there as a means of working together and forging alliances, not as the paean to our taking responsibility for our own countries.
And, by the way, this affects all of us, not just the Spanish. If Spain were to go down, the consequences could be felt across Europe for many years to come. It is, after all, no longer a poor country on the margins of Europe.
It's the world's ninth largest economy.



