unemployment increase in Spain can be traced back to the debt deleveraging needs of Spanish households. We use provincial household …The Spanish economy is currently plagued by a deep recession with very high unemployment. We ask how much of the … debt and sectoral unemployment data and follow Mian and Sufi (2012) to isolate the effect of household debt on Spanish …

This paper analyzes the strikingly different response of unemployment to the Great Recession in France and Spain. Their … France, unemployment rate has increased by 2 percentage points, whereas in Spain it has shot up to 19% by the end of 2009. We … matching model, we estimate that about 45% of the surge in Spanish unemployment could have been avoided had Spain adopted …

of workers in Spain. Real wages are weakly procyclical in Spain and focusing on differences in different phases of the … cyclicality in recessions. Furthermore, higher levels of unemployment do not translate into additional real wages adjustments when … the economy is contracting, while lower levels of unemployment during expansions have incremental effects on wage …