United States. Central Intelligence Agency

“ Economic difficulties are attributable, in part, to severe drought in several recent years, costly but unsuccessful attempts to match Israel's military strength, a falloff in Arab aid, and insufficient foreign exchange earnings to buy needed inputs for industry and agriculture. Socialist policy, embodied in a thicket of bureaucratic regulations, in many instances has driven away or pushed underground the mercantile and entrepreneurial spirit for which Syrian businessmen have long been famous. ”

“ The economy has historically been based on cattle raising and crops. Agriculture today provides a livelihood for over 80% of the population, but produces only about 50% of food needs and contributes a small 5% to GDP. The driving force behind the rapid economic growth of the 1970s and 1980s has been the mining industry. This sector, mostly on the strength of diamonds, has gone from generating 25% of GDP in 1980 to over 50% in 1988. No other sector has experienced such growth, especially not that of the agricultural sector, which is plagued by erratic rainfall and poor soils. ”

“ Plunging oil and gas prices, combined with the mismanagement of Algeria's highly centralized economy, have brought the nation to its most serious social and economic crisis since independence. The government has promised far-reaching reforms, including giving public sector companies more autonomy, encouraging private-sector activity, boosting gas and nonhydrocarbon exports, and a major overhaul of the banking and financial systems. ”

“ The economy, a mixture of private enterprises of all sizes and extensive government intervention, experienced enormous difficulties in the late 1980s, notably declining real growth, runaway inflation, foreign debt obligations of more than $100 billion, and uncertain economic policy. Government intervention includes trade and investment restrictions, wage/price controls, interest and exchange rate controls, and extensive tariff barriers. Ownership of major industrial facilities is divided among private interests, the government, and multinational companies. ”

“ Timber, hydropower, and iron ore constitute the resource base of an economy that is heavily oriented toward foreign trade. Privately owned firms account for about 90% of industrial output, of which the engineering sector accounts for 50% of output and exports. As the 1990s open, however, Sweden faces serious economic problems: long waits for adequate housing, the decay of the work ethic, and a loss of competitive edge in international markets. ”

“ By far the most important economic activity is the production of petroleum and petroleum products. The petroleum sector accounts for about 85% of budget revenues, 80% of GDP, and almost all export earnings. Saudi Arabia has the largest reserves of petroleum in the world, is the largest exporter of petroleum, and plays a leading role in OPEC. Oil wealth has provided a per capita GDP that is comparable to most industrialized countries. Saudi Arabia is one of the few countries where consumer prices have been dropping or showing little change in recent years. ”

“ Open inflation and excess demand continue to plague the economy, and political repression, following the crackdown at Tiananmen in mid-1989, has curtailed tourism, foreign aid, and new investment by foreign firms. Popular resistance and changes in central policy have weakened China's population control program, which is essential to the nation's long-term economic viability. ”

“ One of Africa's poorest countries, with a per capita GDP of little more than $100, Mozambique has failed to exploit the economic potential of its sizable agricultural, hydropower, and transportation resources. Indeed, national output, consumption, and investment declined throughout the first half of the 1980s because of internal disorders, lack of government administrative control, and a growing foreign debt. A sharp increase in foreign aid, attracted by an economic reform policy, has resulted in successive years of economic growth since 1985. ”

“ One of the poorest nations in the world, alleviation of poverty remains the cornerstone of the government's development strategy. The agricultural sector contributes over 50% to GDP and 75% to exports, and employs over 74% of the labor force. ”

“ Subsistence agriculture, including forestry, is the backbone of the economy, with over 70% of the population living in the countryside. In 1988 the agricultural sector generated about 40% of GDP, mining and manufacturing 14%, utilities and construction 4%, and services 41%. Agricultural products accounted for about 60% of export earnings and the diamond industry for 30%. Important constraints to economic development include the CAR's landlocked position, a poor transportation infrastructure, and a weak human resource base. ”

“ Finland has a highly industrialized, largely free market economy, with per capita output nearly three-fourths the US figure. Its main economic force is the manufacturing sector—principally the wood, metals, and engineering industries. Trade is important, with the export of goods representing about 25% of GNP. Except for timber and several minerals, Finland depends on imported raw materials, energy, and some components of manufactured goods. Because of the climate, agricultural development is limited to maintaining self-sufficiency in basic commodities. ”

“ Industry has surpassed agriculture as the primary sector of economic activity and income. Encouraged by duty-free access to the US and by tax incentives, US firms have invested heavily in Puerto Rico since the 1970s. Important new industries include pharmaceuticals, electronics, textiles, petrochemicals, and processed foods. Sugar production has lost out to dairy production and other livestock products as the main source of income in the agricultural sector. Tourism has traditionally been an important source of income for the island. ”

“ Industrial activity is limited, and what there is involves the processing of agricultural produce (jute, sugarcane, tobacco, and grain) . Apart from agricultural land and forests, the only other exploitable natural resources are mica, hydropower, and tourism. Despite considerable investment in the agricultural sector, production in the 1980s has not kept pace with the population growth of 2.7%, which has led to a reduction in exportable surpluses and balance-of-payments difficulties. Economic prospects for the 1990s remain grim. ”

“ Since World War II, Switzerland's economy has adjusted smoothly to the great changes in output and trade patterns in Europe and presumably can adjust to the challenges of the 1990s, in particular, the further economic integration of Western Europe and the amazingly rapid changes in East European political/economic prospects. ”

“ In 1988 and 1989 the Liberian economy posted its best two years in a decade, thanks to a resurgence of the rubber industry and rapid growth in exports of forest products. Richly endowed with water, mineral resources, forests, and a climate favorable to agriculture, Liberia is a producer and exporter of basic products. Local manufacturing, mainly foreign owned, is small in scope. Liberia imports primarily machinery and parts, transportation equipment, petroleum products, and foodstuffs. ”

“ This Western capitalistic economy has done well since Spain joined the European Economic Community in 1986. With increases in real GNP of 5.5% in 1987 and about 5% in 1988 and 1989, Spain has been the fastest growing member of the EC. Increased investment—both domestic and foreign—has been the most important factor pushing the economic expansion. Inflation moderated to 4.8% in 1988, but an overheated economy caused inflation to reach an estimated 7% in 1989. Another economic problem facing Spain is an unemployment rate of 16.5%, the highest in Europe. ”

“ The central government's ability to collect taxes has suffered greatly from militia control and taxation of local areas. As the civil strife persists, the US dollar has become more and more the medium of exchange. Transportation, communications, and other parts of the infrastructure continue to deteriorate. Family remittances, foreign political money going to the factions, international emergency aid, and a small volume of manufactured exports help prop up the battered economy. ”

“ This modern economy features high-tech agriculture, up-to-date small-scale and corporate industry, extensive government welfare measures, comfortable living standards, and high dependence on foreign trade. Growth in output, however, has been sluggish in 1987-89, and unemployment in early 1989 stood at 9.6% of the labor force. ”

“ To this end the authorities have switched to a system of household responsibility in agriculture in place of the old collectivization, increased the authority of local officials and plant managers in industry, permitted a wide variety of small-scale enterprise in services and light manufacturing, and opened the foreign economic sector to increased trade and joint ventures. The most gratifying result has been a strong spurt in production, particularly in agriculture in the early 1980s. ”