So, Spain has won the World Cup and the Golden Generation that was, allegedly, English football (Wayne Rooney, Steven Gerrard, et al) merely served to demonstrate that all that glisters is not gold. But does that make any difference to the parlous state Spain as an economy, and quite probably as a society, finds itself in? Well, yes and no!
Well actually it’s no and yes! No, because their paper thin economy, based on the mirage of property, was just that a, mirage and no goal in extra time is going to change that.
At the heart of economics lies the concept of utility – a sense of well-being. If Spain had produced huge amounts of properties that individuals sought to buy either by creating wealth that gave other Spaniards a sense of well-being, let’s say Ipods or cars of impeccable value for money, or that foreigners (producers of utility that Spaniards desire) desire ; then all would be well. The average Spanish builder might spend his money on some foreign product only for that foreigner to return the favour and buy the building our Spanish builder has built.
Unfortunately, far too many such buildings were built and far too many in circumstances where ownership of the utility such buildings might afford was seriously in doubt. It is hard to have a sense of well-being when the product is incomplete or likely to be demolished for a road due to Spain’s Kafkaesque planning laws.
But, it’s a yes, or rather a maybe, if the only information you have about Spain is the fact that its national soccer side won THE major trophy in the world of soccer. Or, as is the case with South Africa, one of the few facts you know about South Africa is that is organised and held THE major tournament in the soccer world, and that means the whole world outside the USA, without any of the anticipated problems either with crime or disorganisation.
Of course, scenes of jubilation upon the homecoming of the victorious team can be considered evidence of well-being but it is really euphoria. Being drunk or high on drugs conveys a feeling of temporary well-being or euphoria but it is not well-being in the true sense of the word – a continuing state.
The Spanish FA, as winners of the World Cup received $31 in prize money and allegedly the Spanish players were on a win bonus of 500,000 Euros each. So they certainly had a sense of well-being. The quite reasonable expectation of an improvement in South Africa’s image should also lead to greater well-being as tourism would be a major beneficiary of such an improvement. That, in turn, should lead to a greater sense of well-being for the average South African employed in the tourist industry. But the average Spaniard? No, I’m afraid not.