Free buffet
(Spanish State 2011-2018), 2014.
In the decade prior to the great recession of 2008, during the so-called 'real estate boom years', Spain was governed by an ultra-liberal Christian Democrat party. When this party came to power in 1996, it initiated a process of legislative changes that contributed to the development of a speculative economy that favored institutional corruption and led to the country's growing indebtedness.
In 1998 the president of this political party promoted the so-called 'Land Law'. This law declared all land in the state to be developable, except land that could not be requalified by judicial sentence. It was a vague law with hardly any regulatory instruments and its application was left in the hands of the respective Spanish autonomous governments.
The consequence of this Law was that banks, public finances, local administrations, real estate entrepreneurs and regional bosses, encouraged by economic deflation[1], embarked on the so-called 'brick fever'. As if it were a free buffet, the territory of the Spanish state was literally at the disposal of whoever wanted to share it out and speculate with it.
These public-private policies provoked a gigantic real estate bubble that inevitably burst with the financial crash of 2008, dragging millions of people into poverty and despair.
[1] Sustained decline in the prices of goods and services.
This text has been automatically translated by the Deepl app. Due to the nuances of automatic translation, there may be slight differences.
In 1998 the president of this political party promoted the so-called 'Land Law'. This law declared all land in the state to be developable, except land that could not be requalified by judicial sentence. It was a vague law with hardly any regulatory instruments and its application was left in the hands of the respective Spanish autonomous governments.
The consequence of this Law was that banks, public finances, local administrations, real estate entrepreneurs and regional bosses, encouraged by economic deflation[1], embarked on the so-called 'brick fever'. As if it were a free buffet, the territory of the Spanish state was literally at the disposal of whoever wanted to share it out and speculate with it.
These public-private policies provoked a gigantic real estate bubble that inevitably burst with the financial crash of 2008, dragging millions of people into poverty and despair.
[1] Sustained decline in the prices of goods and services.
This text has been automatically translated by the Deepl app. Due to the nuances of automatic translation, there may be slight differences.