Beginning in 1959, under an IMF stabilization plan, the country liberalized trade and capital flows, particularly foreign direct investment. Spain was transformed into a modern industrial economy with a thriving tourism sector. The economic expansion led to improved income distribution, and helped develop a large middle class. Social changes brought about by economic prosperity and the inflow of new ideas helped set the stage for Spain's transition to democracy during the latter half of the 1970s. Industry Spain's leading industries are automobiles, steel, chemicals, shoes and leather goods, clothing, and rubber products.
Tourism is also a major industry as well as a vital source of foreign exchange.
With 50 million foreign visitors per year, Spain is one of the world's leading tourist countries. Most visitors are Europeans attracted to Spain's Mediterranean coast. Industries such as electronics, textiles, and plastics have gravitated to the Catalonia region around Barcelona. Madrid is the financial capital, the administrative center for corporate headquarters, and a nexus for light industry and high technology. US citizens are permitted to enter Spain without visas as temporary visitors for business, tourism, or transit.