Tuesday, May 7, 2013

News Summary 3: Spanish emigration to Germany fires at the level of 40 years ago

1. This article discusses the rapid increase in emigration from Spain to Germany that has occurred since 2011. According the the German statistics office, the amount of Spanish immigrants to the country has increased by 45%. This magnitude of Spanish immigration to Germany hasn't occurred since 1973. Approximately 30,000 Spanish immigrants entered Germany since 2012. The likely reason for so many Spaniards to leave their country for Germany is that Germany has a relatively low unemployment rate (5.6%) and a healthy labor market. However, less than half of Spanish immigrants actually find work in Germany. Spain is one of many countries that are losing their citizens to Germany. Due to so many immigrants entering the country, Germany has begun to form various programs that will attract skilled workers from other countries.

2. With the loss of more and more citizens, Spain will likely experience decreases in consumption and investment, which will overall lower the National GDP. With less people available to work, the country will be less productive and will probably continue in its economic downward spiral.

3. The economic crisis in Spain led to this problem because people find it close to impossible to find any sort of job, so they really have no choice but to look elsewhere, especially if they have a family to support. Maybe Spain could find a way to follow Germany's lead and develop programs that would attract workers that are looking for jobs and hopefully lower the emigration rate from the country.

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