Official figures appear to suggest that the peripheral countries are successfully restoring competitiveness through internal devaluation. Since peaking in 2008/09, whole economy unit labour costs (ULCs) have fallen by about 14% in Greece and Ireland, 7.5% in Spain and 2.5% in Portugal.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services