Austerity in Spain and most of Europe has failed, according to Wharton management professor Mauro Guillen. Further proof came this week with the announcement that the Spanish economy’s downward spiral continued, with GDP shrinking by 0.4% in the third quarter — the fifth-straight quarterly decline — and unemployment hitting a record 25%. Despite the government’s attempt to put off a eurozone-led bailout of public debt, expect Spain to accept terms within two to three months, says Guillen. In this video, he addresses the question: Have attempts at economic reform in Spain worked on any level?

Professor Guillen offers additional thoughts about austerity and some possible solutions in this video: Searching for a Way Out of Europe’s Dead-end Austerity.

He discusses the risks involved in a possible secession from Spain in Catalonia’s Risky Gamble.