Spanish disposable income falls the most among OECD countries

The real per capita income of Spanish households recorded a decline of 2.09% in the third quarter of 2023 compared with the previous three months, a reading well below the 0.2% decrease for the Organisation for Economic Co-operation and Development (OECD) as a whole, positioning Spain at the head of the reductions, as reported by the think tank of advanced economies.

Spain's drop in real disposable income per capita represents an interruption in three consecutive periods of increases after growth of 5.11% in the fourth quarter of 2022 and 1.95% and 0.59% in the first and second quarters of 2023, respectively.

In the OECD, real household disposable income fell by 0.2% in the third quarter, ending four consecutive quarters in positive territory.

Despite the overall figure, the picture was mixed among OECD countries, as 11 of the 21 countries for which data are available recorded an increase in the third quarter, while 10 saw declines, with Spain leading the way.

The highest increase in real disposable income per capita was observed in Hungary (5.47%) as inflationary pressures eased, ahead of Poland (2.91%) and Italy (1.45%), while Spain (-2.09%), Austria (-1.31%) and Ireland (-0.95%) registered the greatest declines.

Spain leads the OECD in unemployment

The unemployment rate in OECD countries stood at 4.8% in November 2023, remaining for the ninth consecutive month at its lowest level in the historical series, which began in 2001, according to the organisation. Spain is the member country with the highest unemployment rate.

The highest unemployment rates in the OECD were observed in Spain at 11.9%, Colombia at 10.3% and Greece at 9.4%. In contrast, the Czech Republic had the lowest unemployment levels at 2.4%, followed by Japan (2.5%), and South Korea, Poland, Mexico and Israel, all at 2.8%.