“BERLIN (Reuters) – Standard and Poor’s sees a high risk that Spain, Italy, Portugal and France will not be able to carry through necessary reforms as the unemployed become less willing to put up with austerity, S&P’s Germany head Torsten Hinrichs told a newspaper.
“The high unemployment in Spain, Italy and France is socially explosive,” Hinrichs was quoted as saying in Monday’s Neue Osnabrücker Zeitung.
“There has to be a social consensus for saving measures. High unemployment … does not help.”
Hinrichs said the people of Spain and Portugal had already proven they were willing to bear withausterity measures, but “this cannot continue forever”.
In Italy, there was the further danger that “a new government may not be strong enough for the still necessary reforms to strengthen growth,” he said….”
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