28 Jan '15, 12am

The Recession, Austerity and Tourism

Austerity has squeezed so many sectors of the economy in places like Spain and Greece. Let me give you an example of a story I was told. There was a cement factory in Spain that was employing about 100 before the recession hit. The construction industry was hit hard during the recession as people no longer had money for new construction projects, so the demand for cement dried up (pun intended) through no fault of the factory itself. The factory owners found it very hard to lay off staff who have really done nothing wrong because of the unions who were set up to protect the rights of the workers, but they were unable to keep producing huge volumes of cement that nobody would buy. As a result, the whole factory went bust and everyone who used to work for the factory from the boss to the janitor became unemployed.

Full article: http://alvinology.com/2015/01/28/the-recession-austerity-...