Europe Current Events
Subject:
Algebra [1]
Taylor Gleason 03. 03. 10 Period 1 Mr. Garrahy Current Events Europe II Spain ? ?The Pain in Spain Falls Mainly on the Cajas? ? Spain is suffering in a time of economic hardships, like most countries, but the people blame the economy on the ?Cajas?, which are nonprofit institutions that make roughly half of all loans in the country. These banks ? similar to savings and loan associations in the U.S. ? eagerly served up credit as the housing bubble inflated over the past decade. Today, nearly half of the Cajas? $1.8 trillion in assets are mortgages or other real estate loans. With home prices plunging, the 45 Cajas are suffering. The defaults could lead to a wave of foreclosures or write downs that would further hobble Spain?s anemic economy.