The author returns from a few weeks travelling around Spain and gives his opinions on Spain through his economist’s eyes.
I must admit that I’ve commonly regarded Spain as a bit of a basket case. It suffered a similar fate to Ireland in the GFC with a big housing bust, though, unlike Ireland, it didn’t have a large tech sector and dodgy international finance dealings to keep things ticking over. I always had the impression in my youth that it was on the verge of collapse, though this opinion was never based on extensive research! 😄
Not so says Mr. Caplan - while things are not all rosy, he reckons there is massive untapped potential, particularly if immigration is encouraged from the half a billion Spanish speakers worldwide.
After I visit a new country, Tyler Cowen always asks me, “Are you long or short?” In terms of potential, I’m very long on Spain. The trinity of “deregulate immigration, employment, and housing” is vital in almost every country, but this formula would do more for Spain than nearly any other country. Wise policy would make Spain the biggest economy in Europe in twenty years flat.