11. JUSTICE: Theoretically independent, the three-level court system (local, district, and Supreme Court) functions as part of executive branch. Military tribunals operate as part of system under Supreme Court. 12. ADMINISTRATIVE DIVISIONS: Thirty-nine counties, each subdivided into varying numbers of communes, villages, and municipalities. Bucharest administered as an independent political entity. Governmental functioning ostensibly decentralized, but policy and control exercised by higher state and party organs. 13. ECONOMY: Government controlled, with basic five-year plans patterned on Soviet model. Development hampered by scarcity of raw materials and manufacturing equipment and by insufficient number of experienced workers and managers. 14. AGRICULTURE: About 63 percent of land is agricultural; of this, 65 percent under cultivation. Food production adequate for domestic needs, but exports limited because of insufficient investment and lack of labor incentives. 15. INDUSTRY: Rapid growth since 1950 stimulated by massive inputs of capital, labor, and imports of modern machinery and technology. Labor productivity and quality of manufactured products have improved but remain low. 16. FOREIGN ECONOMIC RELATIONS: Foreign trade is state monopoly and is conducted primarily with Soviet Union and East European communist countries. Balance of trade generally negative, reflecting imports of high-quality machinery from West necessary for industrial advancement. Exports limited to light machinery, foodstuffs, and some consumer goods. 17. FINANCE: Monetary unit is the nonconvertible leu. The to tourist rates of about 16 lei per US$1. Currency and foreign exchange are state controlled, administered through the National Bank. 18. COMMUNICATIONS: All information media party or state owned and controlled. Press and radio more extensively developed than television, but all function as parts of ideological and political indoctrination system. 19. RAILROADS: Important freight and passenger carrier. About 6,900 miles of trunkline in operation, almost all standard gauge. About 100 miles electrified, and rest of system converting to use of diesel locomotives. 20. HIGHWAYS: Of 47,800 total road mileage, about 6,600 miles nationally maintained as principal operating network. System supplanting railroads as major short-haul carrier of freight and passengers. 21. INLAND WATERWAYS: About 1,500 miles of principal rivers and canals are navigable. Water transport has minor role as a cargo carrier. 22. AIRWAYS: Romanian Air Transport, the state-owned airline, operates domestic service to twelve principal cities and to about twenty national capitals in Europe and the Middle East. 23. PIPELINES: Largest network serves oilfields and moves most liquid petroleum and refined products to refineries and ports. Natural gas lines exist, but mountainous terrain limits general distribution.