La Econimics de una victoria

For a nation struggling with towering debts and weak banks, highest unemployment in the continent, and the recent burst of the housing bubble at least has something to savor now as their heroes have defeated Netherlands to lift their first FIFA World Cup trophy. This feat could materialize only after Iniesta’s winning kick in the 116th minute as both the sides were goal-less in the regulation 90 minutes in a short-tempered grand finale which saw 12 yellow cards, one red card, nearly 40 free kicks and uncountable fouls. The Spanish team obtained a warm reception when they reached the Madrid Airport on Monday. Throngs gathered at the airport to hail the team which emerged from the plane with keeper-captain Iker Casillas, coach Vicente del Bosque and the golden trophy. The team will be facilitated by Spanish Prime Minister Jose Luis Rodriguez Zapatero and an open bus ride is also in the offing through the national capital. New world champions Spain, the eighth such team in history, joins the melee of the title holders - Brazil (five titles), Italy (four), Germany (three), Argentina (two), Uruguay (two), France (one) and England (one).
This victory should bolster the dilapidated economy of Spain. For all those who don’t have any idea about the Euro zone crisis, Spain belongs to a group of weaker economies, called PIGS – Portugal, Ireland, Greece and Spain, in profound economic trouble in the Euro zone which is a term used for 16 members of the European Union that use a common currency, namely the Euro. Although Spain is the world’s 9th largest economy, almost 4 times as that of Greece, it could not bear the brunt of its debt burden. Even though is is one of the major exporters of automobiles in the entire Europe it failed to save its GDP declination of 3.6 percent and hence led to an all time high unemployment rate of 19.5 percent. It also lost its presence in global market by losing majority of international jobs. Collapse of a bubbled housing market led to a stagnant economic development and made the Socialist government in Madrid introduce tough austerity measures, including wage cuts for public-sector workers, in a bid to prevent a Greekstyle debt crisis. Also it is a part of EU and hence have zero control over its currency.
Well, Spain is on the route to follow Greece for the bailout package since deep financial crisis seems inevitable. But, will the German Chancellor Angela Merkel approve the trillion-dollar bailout package as she was the lone warrior against the Greece’ $1-trillion rescue plan that was co-financed by the euro region and the International Monetary Fund. I hope the World Cup will elevate the spirits in Spain to exchange blows against an uneven economy and help them evade the trillion-dollar bailout-rescue package.

Some of the factors keeping Spain awake at night :
Highest Unemployment rate in the European Continent
90% Banks in heavy debts
Weakening GDP
Blah blah blah...