Spain's 'real' GDP could be 21% lower than reported - With Spanish unemployment surging, tax collection low, and delinquent loans soaring, local news outlet El...

Spain's 'real' GDP could be 21% lower than reported - With Spanish unemployment surging, tax collection low, and delinquent loans soaring, local news outlet El Confidencial notes that it does not add up that GDP has only modestly declined. The Spanish newspaper has published three charts which highlight the dramatic divergences between official (government-supplied) data and synthetic (market-based) measures of activity in the construction, industrial, and services industries. Given these 'real' levels, El Confidencial suggests real Spanish GDP could be a massive 21% lower than reported. The assumption of a 21% lower GDP would also mean lower tax revenues, higher unemployment and lower business profits than reported. Taking a page out of the books of Chinese (and US) data manipulation, especially in the midst of a massive political scandal, we are not holding our breaths for the correction from the government, says Zerohedge writer Tyler Durden. (VIEW LINK)