> In the past engineers used to create wealth in Spain, creating 30 to 40% of the Gross product in Industry in Spain. Now it is 10%.
Spain also had a big fat housing bubble inflating the GDP and probably this statistic aswell.
> How is young people moving to Germany contributing to Spain?
> Earning? They spend most of their money where they live.
They have an oversupply of unemployed people. Paying unemployment benefits does not help Spain to get competitive.
I have read multiple stories claiming that most expats do not want to stay forever and in fact do not. Moving from Spain to Germany is more like moving to a part of Spain that speaks a different language than moving to the US. It is not like they need a visa and give up everything back home.
Many are supporting their parents, they continue to develop their career, they learn another language, maybe they build some wealth, they definitely will develop relationships. They will keep all of this, which will help Spain when they move along.
This is not something, that only happens in Spain.
Turkey is a good example. They benefit tremendously from the large Turkish community in Germany. When Turkish-German people move back, they transfer knowledge and bring access to the German market. Access beyond just theoretical laws, but actual knowledge of the language, the society and even business contacts. Turkey can then use this and mix it with its own competitive advantages.
I have seen a few documentaries of Germans of Turkish descent moving back to Turkey working there for a few years and then ironically moving back to Germany again, because they experienced a culture shock. I think this back and forth helps both countries, because they build relationships and exchange knowledge. Nobody loses, but each has now gained a competitive advantage to other possible partners.
Two other examples, which are a bit different, but still show how beneficial interchange is:
* People living in Poland, supporting their families there, but working in Germany (elderly care, craftsmen, e-commerce fulfillment), essentially just an injection of cash into their market increasing their local purchasing power. The growth of the Polish economy clearly shows, that it is not losing here.
* The same happens in Southern Germany with people working in Switzerland or Luxembourg, but living in Germany. In return Swiss people buy groceries in Germany. One of the richest regions. It benefits enormously from it. As usual only house prices are hideous.
So my conclusion is: As long as there is a back and forth and not just a flow in one direction, this interchange helps both countries' economies. It is a super effective way to remove trade barriers. And I have not even talked about the social benefits for society and individuals.