use peseta in a sentence.
Sometimes I wonder if a return to the Peseta and devaluation would bring back the foreign money in the RE market...
For europeans, a lot of bad things, the most important:1)Forced conversions of savings from euros to pesetas, liras, francs, and in the process devaluating their purchasing power 50% or more(somebody have to pay for the excesses in financing industry and history says it is always the people as the people that have money will fly or ask expert advice to not being touched)..
Capital gains is a tough one because the "gain" could just move to a foreign assetCrunchFund could start being denominated in Pesetas, Roubles, Euro or Sterling.
That said, I live in Europe/Spain and I'm perfectly aware that A) a bailout of Spain would be nearly impossible considering the size of the economy here, B) any return to a past currency, like the Peseta, would constitute a massive default, C) a default would fall heavily on German Banks who hold these debts, pushing Europe's lead economy into danger, and/or a bailout would also have to be funded by Germany among other countries with similar effect.
If Spain had its own currency, the current account deficit would create a surplus of peseta on the international markets and drive up the price of imports for Spain, while making products produced in Spain cheaper and easier to export.