United States. Central Intelligence Agency

“ The economy is small and trade dependent. Agriculture, once the most important sector, is now dwarfed by industry, which accounts for 38% of GDP, about 80% of exports, and employs 26% of the labor force. Although exports remain the primary engine for Ireland's robust growth, the economy is also benefiting from a rise in consumer spending and recovery in both construction and business investment. Since the 1980s, inflation has fallen sharply and chronic trade deficits have been transformed into annual surpluses. ”

“ In recent years business and political leaders have become increasingly concerned about Germany's apparent decline in attractiveness as a business location. They cite the increasing preference of German companies to locate new manufacturing facilities - long the strength of the postwar economy - in foreign countries, including the US, rather than in Germany, so they can be closer to their markets and avoid Germany's high taxes and labor costs. At the same time, Germany faces its own unique problem of bringing its eastern area up to scratch after 45 years of communist rule. ”

“ Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. Canada started the 1990s in recession, and real rates of growth have averaged only 1.1% so far this decade. Because of slower growth, Canada still faces high unemployment - especially in Quebec and the Maritime Provinces - and a large public sector debt. With its great natural resources, skilled labor force, and modern capital plant, however, Canada will enjoy better economic prospects in the future. ”

“ The economy is a mixture of village agriculture and handicrafts, an industrial sector based largely on oil, support services, and a government characterized by budget problems and overstaffing. Oil has supplanted forestry as the mainstay of the economy, providing about 90% of government revenues and exports. In the early 1980s, rapidly rising oil revenues enabled the government to finance large-scale development projects with GDP growth averaging 5% annually, one of the highest rates in Africa. ”

“ Inflation rose to 22.5% in 1995 from 13.5% in 1994, then dropped back to 13.9% in 1996. Unemployment appears moderate at little more than 5% but substantial underemployment continues. Furthermore, substantial government deficits have undermined efforts to maintain the quality of social services. The government thus faces a formidable set of problems: to curb inflation, reduce the deficit, encourage domestic savings, and improve public sector efficiency while increasing the role of the private sector, all this in harmony with IMF agreements. ”

“ The need for even more comprehensive basic intelligence in the postwar world was well expressed in 1946 by George S. Pettee, a noted author on national security, when he wrote in The Future of American Secret Intelligence (Infantry Journal Press, 1946, page 46) that world leadership in peace requires more elaborate intelligence than war. "The conduct of peace involves all countries, all human activities-not just the enemy and his war production." ”

“ Mexico has a free market economy with a mixture of modern and outmoded industry and agriculture, increasingly dominated by the private sector. The Mexican economy enters 1997 in the midst of an economic recovery that began to pick up steam in mid-1996. After plummeting more than 6% in 1995 in the aftermath of the peso crisis, economic activity in Mexico grew by an estimated 5.1% in 1996. Many private forecasters who had scoffed at the ZEDILLO administration's 3% growth target for 1996 are now projecting economic expansion of 4-5% for 1997. Strong export growth continues to drive the economy ”

“ Richly endowed with water, mineral resources, forests and a climate favorable to agriculture, Liberia had been a producer and exporter of basic products, while local manufacturing, mainly foreign owned, had been small in scope. Political and economic instability - including the stripping of resources by local warlords - threatens prospects for reconstruction as well as the repatriation of an estimated 750,000 Liberian refugees who have fled to neighboring countries. ”

“ The economy, one of the world's smallest and least developed, is based on agriculture and forestry, which provide the main livelihood for 90% of the population and account for about 40% of GDP. Agriculture consists largely of subsistence farming and animal husbandry. Rugged mountains dominate the terrain and make the building of roads and other infrastructure difficult and expensive. The economy is closely aligned with India's through strong trade and monetary links. The industrial sector is small and technologically backward, with most production of the cottage industry type. ”

“ Iceland's Scandinavian-type economy is basically capitalistic, yet with an extensive welfare system, low unemployment, and remarkably even distribution of income. The economy depends heavily on the fishing industry, which provides 75% of export earnings and employs 12% of the work force. In the absence of other natural resources - except energy - Iceland's economy is vulnerable to changing world fish prices. The economy remains sensitive to declining fish stocks as well as to drops in world prices for its main exports: fish and fish products, aluminum, and ferrosilicon. ”

“ Lithuania has made great strides in reducing its annual rate of inflation - from over 1,100% in 1992 to about 35% in 1995 and 13.1% in 1996. Although the government tried to stay the course on economic reform and fiscal discipline in 1996, the new government, which took office in 1996 inherited high debts for energy supplies. As for real resources, Lithuania's growth depends largely on its ability to exploit its strategic location - with its ice-free port at Klaipeda and its rail and highway hub in Vilnius connecting it with Eastern Europe, Belarus, Russia, and Ukraine. ”

“ Azerbaijan shares all the formidable problems of the ex-Soviet republics in making the transition from a command to a market economy, but its considerable energy resources brighten its long-term prospects. Baku has only recently begun making progress on economic reform, and old economic ties and structures are slowly being replaced. A major short-term obstacle to economic progress, including stepped up foreign investment, is the continuing conflict with Armenia over the ethnic Armenian-dominated region of Nagorno-Karabakh. ”

“ Economy - overview: Economic activity consists primarily of subsistence farming and fishing. The islands have few mineral deposits worth exploiting, except for high-grade phosphate. The potential for a tourist industry exists, but the remoteness of the location and a lack of adequate facilities hinder development. Financial assistance from the US is the primary source of revenue, with the US pledged to spend $1 billion in the islands in the 1990s. Geographical isolation and a poorly developed infrastructure are major impediments to long-term growth. ”

“ Tourism, the mainstay of Andorra's tiny, well-to-do economy, accounts for roughly 80% of GDP. An estimated 10 million tourists visit annually, attracted by Andorra's duty-free status and by its summer and winter resorts. Andorra's comparative advantage has recently eroded as the economies of neighboring France and Spain have been opened up, providing broader availability of goods and lower tariffs. The banking sector, with its "tax haven" status, also contributes substantially to the economy. Agricultural production is limited by a scarcity of arable land, and most food has to be imported. ”

“ Since 1990, when Bogota introduced a comprehensive reform program that opened the economy to foreign trade and investment, GDP growth has averaged more than 4% annually. Growth has been fueled in recent years by the rapid expansion of the oil sector, progress in the construction and financial service industries, and an influx of foreign capital. Direct foreign investment, especially in the oil industry, is rising at a rapid rate. In 1996, oil overtook coffee as Colombia's main export. ”

“ Tourism continues to be by far the dominant activity in the economy but the combined share in GDP of transport and communications, trade, and public utilities has increased markedly in recent years. Tourism's direct contribution to output in 1994 was about 20%. In addition, increased tourist arrivals helped spur growth in the construction and transport sectors. The dual island nation's agricultural production is mainly directed to the domestic market; the sector is constrained by the limited water supply and labor shortages that reflect the pull of higher wages in tourism and construction. ”

“ In past years extensive mineral resources had been developed with Soviet support; total Soviet assistance at its height amounted to 30% of GDP. The mining and processing of coal, copper, molybdenum, tin, tungsten, and gold account for a large part of industrial production. The dramatic drop in the price of copper which accounts for half of the country's export earnings, has held back economic growth. The Mongolian leadership also has been soliciting support from international financial agencies and foreign investors. The economy, however, has still not recovered from the loss of Soviet aid. ”

“ The government is pushing for increased exports of manufactured goods, but competition in international markets continues to be severe. Australia has suffered from the low growth and high unemployment characterizing the OECD countries in the early 1990s, but the economy has expanded at reasonably steady rates in recent years. In addition to high unemployment, short-term economic problems include a balancing of output growth and inflationary pressures and the stimulation of exports to offset rising imports. ”

“ Economy - overview: Subsistence agriculture, together with forestry, remains the backbone of the economy of the Central African Republic (CAR) , with more than 70% of the population living in outlying areas. The agricultural sector generates half of GDP. Timber has accounted for about 16% of export earnings and the diamond industry for nearly 54%. Important constraints to economic development include the CAR's landlocked position, a poor transportation system, a largely unskilled work force, and a legacy of misdirected macroeconomic policies. ”

“ Finland has a highly industrialized, largely free-market economy, with per capita output equaling that of the UK, France and Italy. Its key economic sector is manufacturing - principally the wood, metals, and engineering industries. Trade is important, with the export of goods representing about 30% of GDP. Except for timber and several minerals, Finland depends on imports of raw materials, energy, and some components for manufactured goods. Because of the climate, agricultural development is limited to maintaining self-sufficiency in basic products. ”

“ Western aid and investment, especially in the tourist and oil industries, would help restore the economy. The government has been successful in some reform efforts - partially macroeconomic stabilization policies - and it has normalized relations with its creditors. Yet it still is struggling with privatization of large state enterprises and with bank reform. The draft 1997 budget boosts expenditures on the repair and upgrading of infrastructure. In 1996, the substantial trade deficit was partially offset by increased earnings from tourism. ”

“ Economy
Economy - overview: Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Nevertheless, following decades of mismanagement and statist policies, the economy in the late 1980s was plagued with huge external debts and recurring bouts of hyperinflation. Elected in 1989, in the depths of recession, President MENEM has implemented a comprehensive economic restructuring program that shows signs of putting Argentina on a path of stable, sustainable growth. ”

“ The great majority of households gain their livelihoods from subsistence farming and migrant labor; a large portion of the adult male work force is employed in South African mines. Manufacturing depends largely on farm products which support the milling, canning, leather, and jute industries. Although drought has decreased agricultural activity over the past few years, completion of a major hydropower facility will permit the sale of water to South Africa and will support the economy's continued expansion. The pace of the privatization of state-owned firms increased toward the end of 1994. ”

“ Greece has a mixed capitalist economy with the public sector accounting for roughly half of GDP. Tourism is a major source of foreign exchange, and agriculture is self-sufficient, except for meat, dairy products, and animal feedstuffs. Macroeconomic problems include mediocre GDP growth, the huge public sector, substantial budget deficits, and 10% unemployment. The government's hard drachma policy and public sector wage restraint are largely responsible for the downward trend in inflation, now at the lowest level in 22 years. ”

“ Economy
Economy - overview: Niger is a poor, landlocked Sub-Saharan nation, whose recent GDP growth has barely matched the rapid growth of population. The economy is centered on subsistence agriculture, animal husbandry, and reexport trade, and increasingly less on uranium, its major export throughout the 1970s and 1980s. Terms of trade with Nigeria, Niger's largest regional trade partner, have improved dramatically since the 50% devaluation of the African franc in January 1994; this devaluation boosted exports of livestock, peas, onions, and the products of Niger's small cotton industry. ”

“ The economy has been dominated by the oil sector, which has traditionally provided about 95% of foreign exchange earnings. In the 1980s, financial problems caused by massive expenditures in the eight-year war with Iran and damage to oil export facilities by Iran, led the government to implement austerity measures and to borrow heavily and later reschedule foreign debt payments; Iraq suffered economic losses of at least $100 billion from the war. After the end of hostilities in 1988, oil exports gradually increased with the construction of new pipelines and restoration of damaged facilities. ”

“ From 60 to 100 million surplus rural workers are adrift between the villages and the cities, many subsisting through part-time low-paying jobs. Popular resistance, changes in central policy, and loss of authority by rural cadres have weakened China's population control program, which is essential to maintaining growth in living standards. Another long-term threat to continued rapid economic growth is the deterioration in the environment, notably air pollution, soil erosion, and the steady fall of the water table especially in the north. ”