cy has been provided. To go with these policies of restrictive demand and more flexible supply, the government has tried to stimulate an income policy on several occasions. This has especially come into effect in the past five years. As Spain has been forced to live within its means and state spending has been slashed to control the rising budget deficit. The country is also the world's largest producer of olive oil, fourth largest of dried fruit and the sixth largest of citrus fruits. Spain's vineyards are the largest in the world and some 60% larger than France's, although, it is only the fourth highest producer of wine-grapes and ranks third in wine production. Other important crops include barley, wheat, maze, rice, potatoes, sugar-beet, peppers, avocados, tomatoes, tobacco, hops, oil bearing fruits and cork. Spain has over three million hectares of land under irrigation and employs widespread artificial watering which often is not cost effective. Spanish farmers have been particularly badly hit by falling prices and drought in recent years. However, tourism remains its most important industry, accounting for about 4% of the GDP and employing approximately 10% of the workforce. It contributes much needed support to the Spanish economy. Tourism provides jobs for 8.1% of the active population. In 1999 the number of tourist arrivals went up to an enormous amount. Also accounting for a large part of the workforce are chemicals and petro-chemicals, heavy industry, food and beverages, as well as being Europe’s fourth largest manufacturing country.Manufacturing contributed 17.4% of GDP and in 1997 the sector employed 19% of the labor force. Spain is one of the world’s largest exporters of passenger cars. In 1999 production of passenger vehicles reached an outrageous number, of which more than 80% were exported. The modern labor market in Spain has been characterized by the peak in the creation of new jobs from 1...
