Spain is the correct answer because it is the only country listed that is located in Europe. Paraguay is in South America, Portugal is also in Europe but it is not the correct answer. Great Britain is not a country, it is a part of the United Kingdom. France is in Europe, but it is not the correct answer. The Netherlands is also in Europe, but it is not the correct answer. Therefore, Spain is the only option that fits the criteria of being a country in Europe.