Tuesday, August 06, 2013

Uncommon market

Wall Street Journal editorial page on the latest Gibraltar fracas --

With GDP per capita nearly twice that of their neighbors in Spain and 3% unemployment compared to 26% north of the border, that's unlikely to change any time soon. Maybe the better path is for Spain to try to become more a part of Gibraltar—at least by adopting its low-tax, free-trading economic model.

Essentially therefore the advice to Spain is to become a giant duty free shop -- which would mean being outside the EU customs union. Free-trade indeed!