Joblessness has climbed to 19 percent in Spain, the highest in the euro zone, after the collapse of a housing bubble. But here in Cádiz, it is at a staggering 29 percent - and has been in double digits for decades.
Elsewhere in Europe, such high numbers would lead to deep social unrest. Not so in Cádiz. Here, as across the Mediterranean, life remains puzzlingly comfortable behind the dramatic figures, thanks to a complex safety net in which the underground economy, family support and government subsidies ensure a relatively high quality of life.
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Payroll taxes and unemployment benefits are high in Spain, and many people avoid them by hiring workers under the table or by offering them temporary contracts that avoid the high costs of hiring and firing. Always popular in the Mediterranean, tax fraud has grown during the economic crisis, to the point that many experts see it as the biggest reason why high unemployment has not translated into mass protests.
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