I wouldn't say there is more corruption in Spain than in most other countries - maybe it is now more visible because of the focus on dirty deals in the real estate sector.

The larger economic woes stem from high inflation and low productivity that has eroded the competitiveness of Spanish firms while internal demand has risen exponentially. The result is a current account deficit that is second only to America's. The likelihood of a nasty correction is very real. After all, 14 years of solid economic growth in a mature economy is unprecedented.