Summer tourism helped Spain’s economy grow faster than most others in the eurozone in the third quarter. Figures from Spain’s National Statistics Office showed that output expanded by 0.8% between July and September, as household spending recovered from the doldrums. The effects of the recession still hit many Spaniards hard – a major challenge for the centre-right government ahead of next month’s elections, Euronews reported. Falling unemployment has helped boost spending – but more than 20% are still out of work. Labor reforms are credited with having stemmed job losses – but critics say they’ve failed to tackle employers’ abuses of short-term contracts. Economists also say the gap between Spain’s highest earners and its poorest is on the rise. Tourism accounts for around 11%of Spain’s output. A record year for foreign visitors brought a rise in the number of jobs in hotels, restaurants and other parts of the service sector. But many positions are temporary, and wages have often come down.
