e other euro-zone aspirants have been
appreciating. GDP per capita equals that of the three Baltic states.

Portugal
Portugal has become a diversified and increasingly
service-based economy since joining the European Community in 1986.
Over the past decade, successive governments have privatized many
state-controlled firms and liberalized key areas of the economy,
including the financial and telecommunications sectors. The country
qualified for the Economic and Monetary Union (EMU) in 1998 and
began circulating the euro on 1 January 2002 along with 11 other EU
member economies. Economic growth has been above the EU average for
much of the past decade, but fell back in 2001-03. GDP per capita
stands at 70% of that of the leading EU economies. A poor
educational system, in particular, has been an obstacle to greater
productivity and growth. Portugal has been increasingly overshadowed
by lower-cost producers in Central Europe and Asia as a target for
foreign direct investment. The coalition government faces tough
choices in its attempts to boost Portugal's economic competitiveness
and to keep the budget deficit within the 3% EU ceiling.

Puerto Rico
Puerto Rico has one of the most dynamic economies in the
Caribbean region. A diverse industrial sector has far surpassed
agriculture as the primary locus 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 1950s. US
minimum wage laws apply. 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, with estimated arrivals of nearly 5
million tourists in 1999. Growth fell off in 2001-03, largely due to
the slowdown in the US economy.

Qatar
Oil and gas account for more than 55% of GDP, roughly 85% of
export earnings, and 70% of government revenues. Oil and gas have
given Qatar a per capita GDP about 80% of that of the leading West
European industrial countries. Proved oil reserves of 14.5 billion
barrels should ensure continued output at current levels for 23
years. Qatar's proved reserves of natural gas exceed 17.9 trillion
cubic meters, more than 5% of the world total and third largest in
the world. Long-term goals feature the development of offshore
natural gas