According to Eurostat, a Directorate-General of the European Commission, the unemployment rate in Spain stood at 9.1 percent at the beginning of 2008, when the Great Recession began and hit its peak in July 2013 at 26.3 percent. In 2012, the country’s GDP grew at –2.9 percent. Since then, Spain has experienced a steady decline in unemployment, receding to 15.2 percent as of June 2018. How is it possible that output can decrease while at the same time unemployment decreases?