In Spain’s Falling Prices, Early Fears of Deflation - NYTimes.com

 

Spain’s jobless rate, already a painful 15.5 percent, could soon reach 20 percent, a troubling number for a major industrialized country

economists fear Spain may be in the early grip of deflation, a hallmark of both the Great Depression and Japan’s lost decade of the 1990s, and a major concern since the financial crisis went global last year.

Deflation is not just a Spanish concern. Luxembourg, Portugal and Ireland have reported price drops, too.

The jobless rate for those under 25 is at a Depression-like level of 31.8 percent

In Spain’s Falling Prices, Early Fears of Deflation - NYTimes.com