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  • Government spokeswoman and deputy premier Soraya Saenz de Santamaria speaks Dec. 30, 2011, during a press conference following the new conservative government's second Cabinet meeting at the Monlcoa Palace in Madrid. (Associated Press)

    Spain revises up deficit and raises taxes

    Spain's new government warned Friday that the country's budget deficit will be much higher than anticipated this year, as it unveiled a first batch of austerity measures that include surprise income and property tax hikes.

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