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Despite Spiraling Contagion Fears, Spain Debt Worries Are Overblown

It had a huge housing boom, and is now dealing with the fallout. It has a left-of-center government and a big budget deficit, but relatively low debt in relation to its gross domestic product (GDP). And it has a worrisome current account deficit.

I'm talking, of course, about Spain, which investors clearly fear will be the next domino to fall as a result of the Greek debt contagion.

I disagree.

To see why Spain will shrug off the Greek contagion, please read on...