held NA June 2000);
prime minister appointed by the president
election results: Olafur Ragnar GRIMSSON elected president; percent
of vote--41.4%

Legislative branch: unicameral Parliament or Althing (63 seats;
members are elected by popular vote to serve four-year terms)
elections: last held on 8 April 1995 (next to be held by April 1999)
election results: percent of vote by party--Independence Party 37.1%,
Progressive Party 23.3%, Social Democratic Party 11.4%, Socialists
14.3%, People's Movement 7.2%, Women's Party 4.9%; seats by
party--Independence 25, Progressive 15, Social Democratic 7,
Socialists 9, People's Movement 4, Women's Party 3

Judicial branch: Supreme Court or Haestirettur, justices are
appointed for life by the president

Political parties and leaders: Independence Party (conservative)

International organization participation: Australia Group, BIS,
CBSS, CCC, CE, EAPC, EBRD, ECE, EFTA, FAO, IAEA, IBRD, ICAO, ICC,
ICFTU, ICRM, IDA, IFC, IFRCS, IHO, ILO, IMF, IMO, Inmarsat,
Intelsat, Interpol, IOC, ISO, ITU, MTCR, NATO, NC, NEA, NIB, OECD,
OPCW, OSCE, PCA, UN, UNCTAD, UNESCO, UNMIBH, UNU, UPU, WEU
(associate), WHO, WIPO, WMO, WTrO

Diplomatic representation in the US:
chief of mission: Ambassador Jon-Baldvin HANNIBALSSON
chancery: Suite 1200, 1156 15th Street NW, Washington, DC 20005
consulate(s) general: New York

Diplomatic representation from the US:
chief of mission: Ambassador Day Olin MOUNT
embassy: Laufasvegur 21, Reykjavik
mailing address: US Embassy, PSC 1003, Box 40, FPO AE 09728-0340

Flag description: blue with a red cross outlined in white that
extends to the edges of the flag; the vertical part of the cross is
shifted to the hoist side in the style of the Dannebrog (Danish flag)

Economy

Economy--overview: 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. The center-right government plan