Answer:
When producing goods and services, businesses require labor and capital as inputs to their production process. The demand for labor is an economics principle derived from the demand for a firm's output.
There are only two countries on the Iberian Peninsula: Spain, that occupies the bigger part of it, and Portugal, with a smaller part (and a tiny part belongs to the UK, Gibraltar).
Therefore we know that the country in question is Portugal. Portugal's southernmost province is Algarve - and its capital is Faro
