Main article: Economy of Sweden Gross Regional Product (GRP) per capita in thousands of kronor (2004). Sweden has a strong market economy regulated by the state, which has been known as the Swedish model and presented as an example of socio-economic proposal of the European social democracy. mainly export oriented, has a modern distribution system sufficient external and internal communications and a skilled labor force. Timber, hydropower, and iron are the basis for highly focused its economy to international trade. The engineering contributes 50 of production and exports. Telecommunications and automotive and pharmaceutical industries are also important. Agriculture has 2 of GDP and employment.By the end of 2007 the twenty largest companies registered in Sweden were Volvo, Ericsson, Vattenfall, Skanska, Sony Ericsson Mobile Communications AB, Svenska Cellulosa Aktiebolaget, Electrolux, Volvo Personvagnar, TeliaSonera, Sandvik, Scania, IKEA, Hennes Mauritz, Nordea, Preem, Atlas Copco, Securitas, Nordstjernan, and SKF. Almost all the Swedish industrial production is done by private companies, a fact that contrasts with other industrialized countries such as Austria and Italy, where state enterprises are a major presence. The center-right government of Prime Minister Fredrik Reinfeldt installed in 2006 announced it would privatize most state enterprises and by 2008 had sold Vin Sprit (V S), producer of Absolut vodka, the insurer Vasakronan and actions in OMX, company that controls the stock market. Real GDP growth in Sweden, 1996-2006.The economically active population (EAP) is about 4.5 million people, of whom about one third have higher education studies. opened its first office in Los Angeles, we have expanded to nearly 80 offices in 40 countries – extended their market reach into the middle market with the introduction of Futurestep, our outsourced recruiting subsidiary. The country’s economy grows at a rate of 2 per year. The average worker receives 40 of their salary after the collection of taxes and social security contributions. The tax burden in Sweden is high compared with other developed countries, reaching 51.1 of GDP in 2007, almost double that of countries like the U.S. and Ireland. Public employees total nearly one third of the workforce, a rate higher than most countries. GDP growth has accelerated since the reforms in the 1990s, especially in the manufacturing sector. Sweden is a member of the European Union and some of its common market.The World Economic Forum in 2008 saw Sweden as the third most competitive country in the world. For its part, the Economic Freedom Index ranked No. 27 among 162 countries evaluated, and No. 14 among the 41 European countries. Finally, ranked number 9 in the IMD Competitiveness Yearbook 2008. Sweden rejected the euro through popular vote and now the official currency is the krona (SEK). The Swedish Central Bank (Sveriges Riksbank) – founded in 1668 making it the oldest central bank in the world – is concerned with price stability, keeping inflation at 2 per year, one of the lowest among countries Europe since the mid 1990s. Countries with making the bulk of financial activity are Germany, USA, Norway, United Kingdom, Denmark and Finland.