Be the first to like this
The global economic cycle is improving. Expansion in developed economies is offsetting the slowdown in emerging markets. These are risks, but.are not systemic.
Spain: upside bias in growth, which will be above 1% in 2014 and around 2% in 2015, but reforms must continue.
Private consumption is undoubtedly recovering, particularly durable goods. Causes: better fundamentals, more financing, less uncertainty and the PIVE programme (incentivising purchase of energy-efficient cars).
Substituting national products for imported goods, as a result of changing preferences, accounts for 60% of the fall in consumption imports during the crisis.
Lower-income households are bearing higher inflation because they concentrate their consumption on products whose prices are more rigid to the downside.