Spain's economy is anchored in services, with tourism as the dominant foreign exchange earner. Capital enters through visitor expenditure and, to a lesser degree, through export-oriented manufacturing in specific regions. The euro membership defines Spain's monetary constraint: exchange rate adjustment is unavailable, which means competitiveness adjustments must occur through wages and productivity. Internal circulation is shaped by a dual labour market structure that depresses long-run productivity growth. The fiscal position is constrained by debt levels and eurozone governance requirements that limit counter-cyclical spending capacity. The structural tension is between Spain's position as a high-tourism-demand destination — which provides consistent capital inflows — and the economy's limited capacity to convert that inflow into broad-based, high-productivity employment.
15–16 pages. Structured orientation — no background reading required.