Spain’s economy is among the top five economies of the European continent, it earns most of its income through the arrival of tourists and tourists. It is also considered one of the main countries in the area of the Euro currency.
Both the World Trade Organization and the Economic Cooperation and Development Organization have added this nation as a member. It has also been able to acceptably overcome the crisis of corona disease and fix the damages caused by it. To gain such a secure place in the globe, Spain had to deal with plenty of ups and downs, as we must note. Because achieving a high economic rank in Europe and even at the global level is a great achievement for a country that does not have oil and gas resources.
Following World War II, Spain’s economy
The Spanish economy suffered seriously from the outbreak of World War II. During these years, its autocratic government became an isolated country, to the extent that it was not present in the United Nations. But in 1995, it was able to modify its status and join the UN thanks to its association with the Cold War.
The peso was substituted by the euro as the official currency of the nation in 2002, and Spain’s economy became more widely known in the world at large. But this change led to an economic shock in the real estate sector so some economic experts warned of economic collapse. During the years 2008 to 2013, the economy of this country suffered a strange record, and a large part of this record was in the housing sector.
In these years, Spain’s gross production decreased drastically, the financial power of banks decreased, the stock market index fell, factories fired many workers, most of the activities were closed, and the government’s debts were greatly increased. People were disappointed and were waiting for economic collapse; but surprisingly, this did not happen and this country was saved from this collapse.
In the meantime, the European Union provided financial assistance of 100 billion euros to Spain to start the economic reforms of banks and companies. After these actions, since 2013, the economic situation of Spain has improved, and finally, since 2014, this country has managed to overcome the economic crisis and resume its growing process. Spain’s period of prosperity can be said to have started in that year since a significant proportion of the population got out of poverty, business and agriculture grew, and the gross domestic output was 1080 billion euros.
Spain’s state of the economy
Spain has the fifth-largest industry globally in the EU and its economy ranks fourth in the euro area. Its people live with the highest global standards in terms of welfare, standard of living, and livelihood. In addition to these things, this country ranks 19th in terms of GDP.
Spain scores in the top 10 nations in this category in relation to other nations, after Germany, France, England, and South Korea. Likewise, Spain is a participant in institutions involving the European Union, World Trade Organization, NATO, Organization for Economic Cooperation and Development, United Nations, and World Trade.
Agriculture and animal husbandry are the main part of the Spanish economy
Although Spain is one of the largest producers of agricultural products in Western Europe, seasonal droughts in most of Spain’s lands sometimes face many problems for agriculture and livestock. Wheat and barley are the most important cereal crops in Spain in terms of production and cultivated area. Despite the government’s efforts to encourage farmers to plant corn and oilseeds, a large amount of Spain’s need for these materials is still met through imports. Southeast Spain is the center of barley cultivation, while wheat is grown in the provinces of Castile-Leon, Aragon, Castilla Mancha, and Extra Madura.
The most important success of Spain in the field of agriculture has been the adaptation of vegetable gardens to the difficult Mediterranean climate of this country. Car parks are mainly located in the states of Valencia and Murcia. There are more spots where fruits are grown. The provinces of Castellon and Alicante provide figs and almonds, peaches and apricots grown in Murcia, while the north and northwest available apples and pears.
The main product of the lands under major ownership in the south is olives, almost all of which are used for oil production. The vineyards are situated in Catalonia’s, Valencia’s, and Malaga’s hills as well as in Castilla La Mancha’s, La Rioja’s, and those of La Rioja. In Europe, Spain is third in terms of alcohol production. Small amounts of hemp, cotton, and tobacco are also grown in Spain.
Alfalfa comprised nearly 11 million tons of Spain’s crop production in 2002, then followed by juba (8.5 million tons), sugar (8 million tons), wheat (6.5 million tons), corn (4.5 million tons), tomatoes (4 million tons), potatoes (3 million tons), oranges (3 million tons), and wine (close to 40 million liters).
According to the mentioned statistics, among agricultural products, cereals 25%, fruits 23%, legumes 20%, olive oil 8%, industrial plants 11%, grapes 6%, potatoes 3% and other products 4% of all products. Sheep and cattle breeding is very important in Spain, and Spain is one of the largest sheep and goat breeders in Europe. In regards to animal goods, pigs account for 30%, cows for 19%, milk for 17%, sheep and goat milk for 13%, birds for 11%, eggs for 5%, and miscellaneous goods for 5%.
The Significance of industry and Vehicle manufacture in the Spanish Economy
The main sectors of Spain include machinery, tourism, vehicles, metallurgy, chemicals, medicine, shipbuilding, food, textiles, clothes, and drinks, all of which have strong infrastructures. This sector accounts for approximately 27% of the country’s gross domestic product, but among all of these, automobile manufacturing, tobacco, and food have a more colorful role than others.
This nation’s car sector has grown considerably since the economic crisis finished, and it has been able to export its goods to over 120 nations worldwide. Prominent countries of the world such as America, England, Germany, and Italy are customers of this country’s cars. In addition to the undeniable effects of increasing the national income level, the automobile industry has provided employment in Spain for a large group of people.
The crucial role of the tourism sector in the Spanish economic
Spain is arguably among the most widely visited nations in all of Europe. According to statistics, a large number of people go to this nation each year to explore its tourist attractions. Therefore, 12% of Spain’s GDP is dedicated to the travel sector, which has helped it rise to among the best five destinations for travelers on the planet.
In the national economy, visitors play a major role. Many thousands of people now have access to new job possibilities and money thanks to them. However, some economic experts believe that many of the tourism capacities of this country have not been revealed. It is also worth mentioning that the largest share of tourism from this tourist destination belonged to American citizens. Although the outbreak of Covid-19 reduced the amount of GDP through tourism, this sector is still considered one of the most vital pillars of this country and is the main source of its income.
Spanish economic development and immigration
According to all the mentioned cases, one of the main reasons for immigration to Spain today is the stable economy of this country. The legal mechanism of this country has caused financial and administrative corruption to decrease to a great extent. Likewise, this country has a 20–30% less expensive cost of living than other European nations.
The options for economic growth in this nation are now significantly greater due to the availability of rich land for agriculture and the growth of the cattle sector, as well as the development of industries in large cities. As well, Spain enables immigrants to get visas and residences by compelling foreign investors in an assortment of methods, such as selling property, bringing funds to a bank, or starting a new company.
As previously known, Spain is currently growing to be both one of the world’s most popular vacation spots and an important source of immigration. Therefore, many tourists visit this beautiful country with a tour of Spain and cause the economic prosperity of this country. Of course, it should also be noted that the stable economy and culture of this country are very important in choosing it for life.