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terms of the banking community's access to NB financing.

The NB's peg to the German mark is expected to remain unchanged, given the importance of maintaining the competitiveness of Dutch exports to Germany. Under the circumstances the interest rate differentials between Dutch and German capital market rates will also continue. Dutch short term rates are forecast to average 9.25 percent, with the yield on treasury bonds hovering around 8.8 percent.

The Dutch guilder is linked to the German mark in the European Monetary System. There is a single exchange rate. While residents of the Netherlands must obtain an exchange license for certain large international financial

transactions, in practice these licenses are granted routinely and thus there is no exchange control.

3. Structural Policies

Almost all purchasing decisions are made on the basis of non-discriminatory commercial criteria. Most government procurement is done in compliance with the GATT Government procurement code. The Netherlands has no discriminatory export or import policies with the exception of those resulting from its membership in the European Economic Community.

Increased momentum toward the European Community's goal of a unified internal market in 1992 has caught the attention of growing numbers of U.S. exporters eager to take advantage of Holland's position and experience as a distribution center for Europe. It has also sparked a wave of interest in investment in Holland as non-EC firms seek to get a foothold in the EC.

The Netherlands is a major creditor nation, with a current account surplus expected to reach $10.5 billion in 1991. The country has no significant external debt. The Netherlands is a participant in and a strong supporter of the IMF, IBRD, and other multilateral international financial institutions.

The Dutch economy is one of the most internationallyoriented in the world. The Netherlands is the sixth largest U.S. export market in the world, as well as the one with which the United States has its largest bilateral trade surplus, 8 billion dollars in 1990, with a 15 percent gain in U.S. exports. The Netherlands is the third largest direct investor in the United States, behind the United Kingdom and Japan. Dutch investment in the United States in 1990 reached over $64 billion, with U.S. direct investment in the Netherlands valued

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at about $23 billion (historical-cost).

Most trade barriers that do exist result from common EC policies. Some areas of concern for U.S. exporters to the Netherlands are:

Price Restrictions: In 1991 the Dutch Ministry of Health began to limit the amount it reimburses a patient for any particular prescription drug to a sum based on an average price of therapeutically similar drugs (clustering). This legislation could undermine the benefits of pharmaceutical patent protection and discourage research-based companies from investing in the Netherlands.

Broadcasting and Media Legislation: Amendments to the Dutch Media Act relating to admitting local and foreign commercial broadcasting stations into the Netherlands are now before the first chamber of Parliament and are expected to become effective in early 1992. Draft legislation translating the EC Broadcast Directive into the Dutch Media Act is still under preparation. Article 6 of the EC directive is of particular importance to the United States since it requires that 50 percent of program content be of EC origin.

The Netherlands practices no preferential or

discriminatory export or import policies with the exception of those which result from its membership in the European Economic Community.

7.

Protection of U.S. Intellectual Property

Intellectual Property Protection: The Netherlands belongs to the World Intellectual Property Organization (WIPO), is a signatory of the Paris Convention for the Protection of Industrial Property, and conforms to accepted international practice for protection of technology and trademarks. Patents for foreign investors are granted retroactively to the date of original filing in the home country, provided the application is made though a Dutch patent lawyer within one year of the original filing date. Patents are valid for 20 years. Legal procedures exist for compulsory licensing if the patent is determined to be inadequately used after a period of three years, but these procedures have rarely been invoked. Since the Netherlands and the U.S. are both parties to the Patent Cooperation Treaty (PCT) of 1970, patent rights in the Netherlands may be obtained if the PCT application is used.

The enforcement of anti-piracy laws remains a concern to U.S. producers of software, audio and video tapes, and textbooks. The Dutch government has recognized the problems in protecting intellectual property and has proposed legislation to revise the Dutch copyright law to introduce higher penalties for copyright infringement.

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8. Worker Rights

a. The Right of Association

The right of Dutch workers to associate freely is well established. Just under 25 percent of the employed labor force belongs to unions. Unions, while entirely free of government and political party control, may and do participate in political life. All union members, except most civil servants, have the legal right to strike. Even Dutch military personnel are free to join unions. Disputes involving civil servantas are subject to arbitration.

b. The Right to Organize and Bargain Collectively

The right to organize and bargain collectively is recognized and well established. Discrimination against union membership does not exist. Dutch society has developed a social partnership among government, private employers, and trade unions. This tripartite system involves all three participants in negotiating collective bargaining agreements which cover about 76 percent of Dutch workers.

C. Prohibition of Forced or Compulsory Labor

Forced or compulsory labor is prohibited by the constitution and does not exist.

d. Minimum Age for Employment of Children

The minimum age for employment of young people is 16. At that age, youths may work full time only if they have completed the mandatory 10 years of schooling. Those still in school at age 16 may not work more than 8 hours per week. Laws prohibit youths under the age of 18 from working at night, overtime, or in areas which could be dangerous to their physical or mental development. In order to promote the employment of young people, the Netherlands has a reduced minimum wage for employees between ages 16 and 23.

Dutch law and practice adequately protect the safety and health of workers. There is no legally-mandated work week; it is set by collective bargaining. The average workweek for adults is 38 hours. The legally-mandated minimum wage is subject to semi-annual living cost adjustment.

f. Rights in Sectors With U.S. Investments

The above described workers rights hold equally for goods-producing sectors in which U.S. capital is invested.

(D)-Suppressed to avoid disclosing data of individual companies

Source: U.S. Department of Commerce, Survey of Current Business August 1991, Vol. 71, No. 8, Table 11.3

NORWAY

Key Economic Indicators

(Millions of Norwegian Krone (NOK) unless otherwise noted)

3/ National Saving/National Disposable Income.

4/ Gross Fixed Investment/GDP.

5/ Norwegian Foreign Trade Statistics.

6/ End-Year Foreign Assets Minus Foreign Liabilities.

7/ Total Interest & Principal Paid On Long-Term Debt by Private and Public Sector.