A resounding election victory by Spain's center-right People's Party was previously forecast as the Spanish people were disappointed with the ruling Social Party’s governance which has resulted in low wages, economic difficulties and mistrust in the government.

With nearly 98% of votes counted, the People’s Party led by Mariano Rajoy gained 44.57% of the votes, which enable it to seize 186 out of 350 seats in the Parliament. Meanwhile, the Social Party of Prime Minister Jose Luis Rodriguez Zapatero faced the worst ever failure with only 28.67% of the votes, equivalent to 110 seats. This means, within 15 days in November, 3 governments in the euro zone collapsed due to economic difficulties and public debts. After Greek Prime Minister Papandreou and Italian Prime Minister Silvio Berlusconi withdrew from the political arena, Spanish Prime Minister Jose Luis Rodriguez Zapatero had to hold an early election and then failed due to the government’s incompetence in economic management. Spanish people were disappointed with and angry at the government’s failure to rescue the country’s economy and austerity measures which have been resulted in low salaries and people’s harsh lives. They voted for the People’s Party in a hope that the center right People’s Party will take necessary steps to boost economic development and generate more jobs. Thousands of supporters for the opposition party went down the streets in Madrid to congratulate the election results. However, major challenges are ahead the new government. They include increasing public debts, which account for 65% of the GDP compared with the average rate of 85% of the European Union. Though Spain currently doesn’t need assistance from the Eurozone yet, analysts say unless appropriate policies are put in place, it would be difficult for the country to resist by 2012. Meanwhile, Spain’s economic growth rate is expected to reach between 0.7 and 0.8% this year, equivalent to 60% of the set target of 1.3%. This low rate is due to the country’s high rate of unemployment, which reached 20.89% in the second quarter of this year thus resulting in the reduction of purchasing power. Some analysts forecast Spain’s economy would fall down to recession. Goldman Sachs and France’s INSEE Statistics forecast Spain’s economic growth rate will drop by 0.2% in the fourth quarter of this year and 0.1% in the first quarter of next year. Prior to the Parliament’s early election, on October 31^st, Standard and Poor lowered the country’s credit level from AA to AA- due to its gloomy economic growth.

Wining the Parliament’s early election, Spain’s People’s Party has to weather the burdens of the economic crisis and the public debts. Leader of the Party, Mr. Mariano rajoy pledged to do everything for Spanish people but warned that there aren’t any miracles for the current economic crisis. The Spanish public is looking forward the government’s effective management with unpainful austerity measures.