European periphery. This essay will focus on two countries, which were affected particularly severely: Spain and Italy. In … Spain, the global financial crisis was worsened by the burst of the housing bubble, which had inflated the cost of housing … "bust" - , whereas Spain is still recovering from it. This paper attempts to analyze the reason for this discrepancy. …

prices series for four main euro area countries (Germany, France, Italy and Spain). Empirical results show a strong … relationship for business cycles in France, Italy and Spain. Moreover, French and Spanish house prices cycles appear to be strongly … only in Spain and Germany …