Economy of Corraile

The Economy of Corraile is the 19th largest in the world, and a constituent economy of the Organization for Economic Co-operation and Development as well as the AINERO Zone and the ACFTA. As with other developed nations, the Corrailite economy is dominated by the service industry, which employs about three quarters of Corrailites, although the manufacturing sector has contributed significantly to both GDP growth and labour force growth in recent years as well. The Corrailite economy has a strong emphasis on a Tri-Sectorial approach to economic growth, with major emphasis placed on all three major components of the economy: agriculture, manufacturing and services.

The Corrailite economy's focus on export-driven growth in the post-independence period, through a series of State-Supported Organisations (SSO) such as the United Cannery Company as well as Franklin as well as the encouragement of Foreign Direct Investment (FDI) into the country set the motion for exponential economic growth that the economy experienced throughout the 1970s and 1980s. Today, the economy enjoys one of the highest levels of economic freedom in the world, and has been described as one of the most dynamic economies in the Western Hemisphere.

Background
The Corrailite economy, despite the disparity in levels of economic development between states, has generally consistent economic standards in terms of the unemployment rate as well as average income per citizen. Despite the effects of the 2007–2012 global financial crisis, the unemployment has remained one of the lowest in the Western Hemisphere, hovering around 3-4%, albeit at the expense of economic growth, which slowed from 2.7% in 2007 to 0.7% in 2011. This has been attributed to the fact that many major employers in Corraile are domestic corporations, as well as labour laws which ensure that a minimum percentage of employees must be local for major corporations.

International trade makes up a large portion of Corraile's economy, as Corraile is the 11th largest exporter and the 23rd largest importer in the world. The country also has a high trade-to-GDP ratio in the world at 103.6%, signifying the importance of trade to its economy. Manufactured products such as automobiles, aircraft parts and consumer electronics make up the majority of Corrailite exports, while agricultural produce such as corn, wheat and dairy products also play an instrumental role in Corrailite exports. Major trading partners include the United States and the EU, as well as the AC and other nations of the AIN.

Manufacturing activity is generally concentrated in the Federal Territory, Freedo as well as the Solando Metropolitan Area. These areas have been designated by the Corrailite government as key areas for industrial and manufacturing development, and thus have significant benefits for companies, domestic or foreign, that set up industries in these locations. The rapid industrialisation that Corraile underwent in the 1970s and 1980s ensured rapid economic growth, and earned the country the moniker "The Atlantic Tiger". Today, manufacturing still plays a key role in the Corrailite economy, employing a significant percentage of the population (22.6%) and contributing significantly towards GDP as well.



Due to governmental policies to reduce the reliance on primary industries, resource extraction industries such coal mining and logging have experienced a drastic decline since independence in the 1970s. Once a key pillar of economic growth, the coal mining industry in Corraile is now virtually nonexistent, due to the collapse of National Mining in the 1980s, while the logging industry has severely diminished in size due to strict governmental regulations governing the sustainable logging of Corrailite industries. Today, the logging industry constitutes 0.12% of GDP, highlighting its low level of importance n the Corrailite economy.

Key Industries
Due to the economic policies of successive Corrailite governments since independence, the economy is generally well-developed in all three-major sectors. However, in recent years, governmental policies to promote the growth of the tertiary sector, primarily financing and banking, has led to a slight decline in both manufacturing and agriculture's contribution towards the national economy. Nonetheless, both sectors continue to make up a significant proportion of the country's GDP, contributing towards 40.9% of GDP in 2011.

Services
Corraile is home to more than 150 multinational corporations, owing to its favourable corporate tax rates and pro-business environment. A policy of pursuing foreign investments in the tertiary sector was begun under then-Prime Minister Herald Vickers, to help further develop the economy beyond industrialisation. This included the reduction of bureaucracy and red tape in government, which simplified processes for foreign companies to invest in Corraile. In addition, corporate tax rates were cut, and taxes on capital gains were reduced as well. Such efforts to liberalise the financial and services sector of the economy bore fruit at the end of the decade, when the economy entered what was termed as a "second wind". This growth was exemplified by the "skyscraper period", when major construction projects were initiated in major Corrailite cities, most notably Centreburg, due to the much increased demand for office space.

Today, measures to further develop the commercial and services sector are being applied to Stanraer Island as well, with the intention of developing the country's smallest and most economically-underdeveloped state into a primary offshore financial sectors for financial institutions and corporations. Much has been spent by the Corrailite government in an attempt to attract major foreign corporations to register their operations in Stanraer Island.