Austria. Economy. Service industries. Agriculture and natural resources

Austria's economy was brought to a standstill as a result of World War II. After the war, with aid from the United States and other Western nations, the Austrian government bought up certain key industries, including coal and metal mining, electric power production, iron and steel production, and oil drilling and refining. Since the early 1950's, Austria has become increasingly industrialized, and its economy has grown steadily. Today, Austria is a prosperous country with little unemployment.

Austria's leading manufacturing activities are the production of metals, such as iron and steel and metal products, including automobiles and other motor vehicles. Other major manufactured products include chemical products, electrical equipment, processed foods and beverages, and textiles and clothing. In addition, many smaller factories and workshops produce fine handicrafts, such as glassware, jewelry, needlework, porcelain objects, and woodcarvings.

Service industries. Service industries also make an important contribution to the economy, providing about 60 per cent of the total value of Austria's annual economic production, and employing about 60 per cent of the country's workers. Wholesale and retail trade form the most important service industry in terms of value of production. Other leading service industries include communications, finance, government, transportation, and utilities.

Tourism is also important to Austria's economy, and the nation is one of Europe's most popular vacation spots. Sports centers in the Alps attract many winter vacationers, particularly skiers, and the lake resorts in central Austria are popular in the summer. In addition, many people come to Austria to enjoy the museums and concert halls of Vienna, as well as the summer music festivals held throughout the country.

Skiers from many countries flock to Innsbruck, Kitzbuhel, and other superb ski areas in the Austrian Alps, left. Austria's booming tourist industry adds more than $1 billion a year to the country's income.

Agriculture and natural resources. By the 1970's, the development of manufacturing and service industries resulted in a sharp decrease in the number of people employed in agriculture. Nevertheless, Austrian farmers today supply more than 75 per cent of the nation's food. Although only about 20 per cent of the land is suitable for farming, modern machinery and farming methods have greatly increased production.

Wine grapes are cultivated in the warmer eastern provinces of Lower Austria, Burgenland, and Styria, right. More than half of Austria's grapes are grown along the Danube Valley northwest of Vienna on steep, terraced vineyards.

While the heart of Austria's cropland is the Vienna Basin, farms are found in every province. Dairy farming and livestock are the main sources of farm income, producing all the eggs, meat, and milk needed by the people. Austria's farmers also grow all of the country's potatoes and sugar beets and most of its barley, oats, rye, and wheat. Other farm crops grown in Austria include apples, corn, grapes, hay, hops, and vegetables. Farm animals graze in mountainous areas, where the ground is too rugged and the climate too cold for crops.

Most farms in Austria are small, and all are privately owned, left. Some farmers —unable to earn enough from agricultural production—make extra money by opening their houses to tourists during the summer.

Although Austria is rich in mineral resources, many deposits are low-grade or too small to be profitably mined. The coalmines in Styria, for example, mainly yield a low-grade coal called lignite. As a result, Austria must import high-quality coal, as well as petroleum and natural gas.

On the other hand, Austria is one of the world's leading producers of magnesite and graphite. In addition, Austria's forests, which cover about 40 per cent of the country, provide plentiful timber, paper, and other products. Swift-flowing rivers, perhaps the country's most important natural resource, provide energy for the hydroelectric power stations that produce most of the nation's electricity.

The Danube River, Ieft, shown here flowing through Linz, is a major shipping route for trade between Austria and nearby countries. Passenger vessels also travel on the Danube. Most of Austria's large factories are located in the valleys of the Danube and other rivers.