DENMARK

Kingdom of Denmark

Kongeriget Danmark

CAPITAL: Copenhagen (København)

FLAG: The Danish national flag, known as the Dannebrog, is one of the oldest national flags in the world, although the concept of a national flag did not develop until the late 18th century when the Dannebrog was already half a millennium old. The design shows a white cross on a field of red.

ANTHEM: There are two national anthems—Kong Kristian stod ved hojen mast (King Christian Stood by the Lofty Mast) and Der er et yndigt land (There Is a Lovely Land).

MONETARY UNIT: The krone (Kr) of 100 øre is a commercially convertible paper currency with one basic official exchange rate. There are coins of 25 and 50 øre, and 1, 5, 10, and 20 kroner, and notes of 50, 100, 500, and 1,000 kroner. Kr1 = $0.16863 (or $1 = Kr5.93) as of 2005.

WEIGHTS AND MEASURES: The metric system is the legal standard, but some local units are used for special purposes.

HOLIDAYS: New Year's Day, 1 January; Constitution Day, 5 June; Christmas Day, 25 December; Boxing Day, 26 December. Movable religious holidays include Holy Thursday, Good Friday, Easter Monday, Prayer Day (4th Friday after Easter), Ascension, and Whitmonday.

TIME: 1 pm = noon GMT.

LOCATION, SIZE, AND EXTENT

Situated in southern Scandinavia, the Kingdom of Denmark consists of Denmark proper, the Faroe Islands, and Greenland. Denmark proper, comprising the peninsula of Jutland (Jylland) and 406 islands (97 of them inhabited), has an area of 43,094 sq km (16,638 sq mi) and extends about 402 km (250 mi) n–s and 354 km (220 mi) e–w. Comparatively, the area occupied by Denmark is slightly less than twice the size of the state of Massachusetts. The Jutland Peninsula accounts for 29,767 sq km (11,493 sq mi) of the total land area, while the islands have a combined area of 13,317 sq km (5,142 sq mi). Except for the southern boundary with Germany, the country is surrounded by water—Skagerrak on the n, Kattegat, Øresund, and Baltic Sea on the e, and the North Sea on the w. Denmark's total boundary length is 7,382 km (4,587 mi), of which only 68 km (42 mi) is the land boundary with Germany.

Bornholm, one of Denmark's main islands, is situated in the Baltic Sea, less than 160 km (100 mi) due e of Denmark and about 40 km (25 mi) from southern Sweden. It has an area of 588 sq km (227 sq mi) and at its widest point is 40 km (25 mi) across.

Denmark's capital city, Copenhagen, is located on the eastern edge of the country on the island of Sjaelland.

TOPOGRAPHY

The average altitude of Denmark is about 30 m (98 ft), and the highest point, Yding Skovhoj in southeastern Jutland, is only 173 m (568 ft). In parts of Jutland, along the southern coast of the island of Lolland, and in a few other areas, the coast is protected by dikes. All of Denmark proper (except for the extreme southeast of the island of Bornholm, which is rocky) consists of a glacial deposit over a chalk base. The surface comprises small hills, moors, ridges, hilly islands, raised sea bottoms, and, on the west coast, downs and marshes. There are many small rivers and inland seas. Good natural harbors are provided by the many fjords and bays.

CLIMATE

Denmark has a temperate climate, the mildness of which is largely conditioned by the generally westerly winds and by the fact that the country is virtually encircled by water. There is little fluctuation between day and night temperatures, but sudden changes in wind direction cause considerable day-to-day temperature changes. The mean temperature in February, the coldest month, is 0°c (32°f), and in July, the warmest, 17°c (63°f). Rain falls fairly evenly throughout the year, the annual average amounting to approximately 61 cm (24 in).

FLORA AND FAUNA

Plants and animals are those common to middle Europe. There are many species of ferns, flower, fungi, and mosses; common trees include spruce and beech. Few wild or large animals remain. Birds, however, are abundant; many species breed in Denmark and migrate to warmer countries during the autumn and winter. Fish and insects are plentiful. As of 2002, there were at least 43 species of mammals, 196 species of birds, and over 1,400 species of plants throughout the country.

ENVIRONMENT

Denmark's most basic environmental legislation is the Environmental Protection Act of 1974, which entrusts the Ministry of the Environment, in conjunction with local authorities, with anti-pollution responsibilities. The basic principle is that the polluter must pay the cost of adapting facilities to environmental requirements; installations built before 1974, however, are eligible for government subsidies to cover the cost of meeting environmental standards.

Land and water pollution are two of Denmark's most significant environmental problems although much of Denmark's household and industrial waste is recycled. In the mid-1990s, Denmark averaged 447.3 thousand tons of solid waste per year. Animal wastes are responsible for polluting both drinking and surface water. Nitrogen and phosphorus pollution threaten the quality of North Sea waters. A special treatment plant at Nyborg, on the island of Fyn, handles dangerous chemical and oil wastes. The nation has about 6 cu km of renewable water resources with 43% of annual withdrawals used for farming and 27% for industrial purposes.

Remaining environmental problems include air pollution, especially from automobile emissions; excessive noise, notably in the major cities; and the pollution of rivers, lakes, and open sea by raw sewage. In the early 1990s Denmark ranked among 50 nations with the heaviest industrial carbon dioxide emissions. In 1996, emissions totaled 56.5 million metric tons per year. In 2000, the emissions total dropped to 44.6 million metric tons.

As of 2003, Denmark had at least 220 protected sites, with an area of over 1.3 million hectares, or about 34% of the total land area. The Ilulissat Icefjord is a natural UNESCO World Heritage Site; there are 38 Ramsar wetland sites. According to a 2006 report issued by the International Union for Conservation of Nature and Natural Resources (IUCN), threatened species included 4 types of mammals, 10 species of birds, 7 species of fish, 1 type of mollusk, 10 species of other invertebrates, and 3 species of plants. Endangered species include the coalfish whale, blue whale, loggerhead, leatherback turtle, and Atlantic sturgeon.

POPULATION

The population of Denmark in 2005 was estimated by the United Nations (UN) at 5,418,000, which placed it at number 108 in population among the 193 nations of the world. In 2005, approximately 15% of the population was over 65 years of age, with another 19% of the population under 15 years of age. There were 98 males for every 100 females in the country. According to the UN, the annual population rate of change for 2005–10 was expected to be 0.2%, a rate the government viewed as satisfactory. The projected population for the year 2025 was 5,527,000. The population density was 126 per sq km (326 per sq mi).

The UN estimated that 72% of the population lived in urban areas in 2005, and that urban areas were growing at an annual rate of 0.28%. The capital city, København (Copenhagen), had a population of 1,066,000 in that year. Other large towns are Aarhus (Arhus), 291,258; Odense, 184,308; Aalborg (Alborg), 162,521; Esbjerg, 82,314; and Randers, 62,252.

MIGRATION

Emigration is limited, owing mainly to the relatively high standard of living in Denmark. There are 500 refugees accepted every year by Denmark for resettlement. These refugees are those who need an alternative place to their first country of asylum, usually for protection-related reasons. An Integration Act took effect 1 January 1999. Under this act, most foreign nationals, including refugees, must participate in a three-year integration program, during which their social assistance is reduced. In 2004 Denmark received 65,310 refugees. The main countries of origin for these refugees were Bosnia and Herzegovina (25,395), Iraq (11,831), and Afghanistan (6,369). Also in 2004, Denmark received 3,235 asylum applications; of these, about 15% were given permission to stay. The countries of origin for asylum seekers were Bosnia and Herzegovina, Iraq, Palestine, Russia, Serbia and Montenegro, Somalia, and Iran.

In April 1999 the government enacted a plan ("Lex Kosovo") to provide temporary protection for evacuees from Macedonia. (These were Kosovars who had already sought asylum in Denmark but whose cases were pending or had been rejected.) Under this plan, all were granted temporary protection for a renewable six-month period. As of August 1999, 2,823 people had been evacuated from Macedonia to Denmark.

In 2005 the net migration rate was estimated as 2.53 migrants per 1,000 population.

ETHNIC GROUPS

The population of Denmark proper is of indigenous northern European stock, and the Danes are among the most homogeneous peoples of Europe. The population is comprised of Scandinavian, Inuit (Eskimo), and Faeroese peoples. There is also a small German minority in southern Jutland and small communities of Turks, Iranians, and Somalis.

LANGUAGES

Danish is the universal language. In addition to the letters of the English alphabet, it has the letters ae, ø, and å. A spelling reform of 1948 replaced aa by å, but English transliteration usually retains the aa. There are many dialects, but they are gradually being supplanted by standard Danish. Modern Danish has departed further from the ancient Nordic language of the Viking period than have Icelandic, Norwegian, and Swedish (to which Danish is closely related), and there is a substantial admixture of German and English words. Danish may be distinguished from the other Scandinavian languages by its change of k, p, and t to g, b, and d, in certain situations and by its use of the glottal stop. Faeroese and Greenlandic (an Eskimo dialect) are also used. Many Danes have a speaking knowledge of English and German, and many more are capable of understanding these languages.

RELIGIONS

About 84.3% of the people are nominally members of the official state religion, the Evangelical Lutheran Church, which is supported by the state and headed by the sovereign. Only about 3% of these Evangelical Lutherans are active members. Muslims are the next largest group with about 3% of the population. Protestants and Roman Catholics together make up another 3% of the population. Christian denominations represented in the country include Baptists, Jehovah's Witnesses, Methodists, Seventh-Day Adventists, The Church of Jesus Christ of Latter-day Saints (Mormons), Anglicans, and Russian Orthodox. Copenhagen is the site of the European headquarters for the Church of Scientology, which is not officially recognized as a religion by the state. There are about 7,000 Jews in the country. An indigenous religion known as Forn Sidr was officially recognized in 2003; followers worship the old Norse gods. About 5.4% of the population claim no religious affiliation and 1.5% claim to be atheists.

Religious freedom is provided by the constitution and this right is generally respected in practice. As the official church of state, the Evangelical Lutheran Church is the only church which receives state funding. A number of other religious groups have complained that this system is unfair and contrary to religious equality. In 1999 an independent four-member council appointed by the government published guidelines and principles for official approval of religious organizations. The guidelines establish clear requirements that religious organizations must fulfill, including providing a full written text of the religion's central traditions, descriptions of its rituals, an organizational structure accessible for public control and approval, and constitutionally elected representatives who can be held responsible by authorities. The guidelines also forbid organizations to "teach or perform actions inconsistent with public morality or order." Official approval offers tax-exempt status to the organization and marriages within approved churches are automatically recognized by the state.

TRANSPORTATION

Transportation is highly developed in Denmark. The road system is well engineered and adequately maintained. Among the most important bridges are the Storstrom Bridge linking the islands of Sjaelland and Falster, and the Little Belt Bridge linking Fyn and Jutland. A new train and auto link joins Sjaell and Fyn (18 km/11 mi); a new series of bridges connecting Denmark to Sweden—spanning 4.9 mi across the Oresund Strait and costing Kr13.9 billion—opened in July 2000. The link reduces transit time between the two countries to 15 minutes for cars and trucks and less than 10 minutes for high-speed trains. Cars travel on the upper tier and trains on the lower. As of 2002, Denmark had 71,474 km (44,414 mi) of roadways, all of which were paved, including 880 km (547 mi) of expressways. In 2003, Denmark had 1,894,649 passenger cars and 428,949 commercial vehicles registered for use.

The railway system had a total of 2,628 km (1,635 mi) of standard gauge railroad in 2004, of which 595 km (370 mi) was electrified.

The Danish merchant fleet as of 2005 was composed of 287 ships of at least 1,000 GRT, for a total of 6,952,473 GRT. The majority of these vessels belonged to the Danish International Registry, an offshore registry program allowing foreign-owned vessels to sail under the Danish flag. Denmark, which pioneered the use of motor-driven ships, has many excellent and well-equipped harbors, of which Copenhagen is the most important. Denmark also had 417 km of navigable inland waterways, as of 2001.

There were an estimated 97 airports in 2004, of which 28 had paved runways as of 2005. Kastrup Airport near Copenhagen is a center of international air traffic. Domestic traffic is handled by Danish Airlines in conjunction with SAS, a joint Danish, Norwegian, and Swedish enterprise. In 2003, about 5.886 million passengers were carried on scheduled domestic and international airline flights.

HISTORY

Although there is evidence of agricultural settlement as early as 4000 bc and of bronze weaponry and jewelry by 1800 bc, Denmark's early history is little known. Tribesmen calling themselves Danes arrived from Sweden around ad 500, and Danish sailors later took part in the Viking raids, especially in those against England. Harald Bluetooth (d.985), first Christian king of Denmark, conquered Norway, and his son Sweyn conquered England. During the reign of Canute II (1017–35), Denmark, Norway, and England were united, but in 1042, with the death of Canute's son, Hardecanute, the union with England came to an end, and Norway seceded. During the next three centuries, however, Danish hegemony was reestablished over Sweden and Norway, and in the reign of Margrethe (1387–1412) there was a union of the Danish, Norwegian, and Swedish crowns. In 1523, the Scandinavian union was dissolved, but Norway remained united with Denmark until 1814.

The Reformation was established in Denmark during the reign of Christian III (1534–59). A series of wars with Sweden during the 17th and early 18th centuries resulted in the loss of Danish territory. Meanwhile, under Frederik III (r.1648–70) and Christian V (r.1670–99), absolute monarchy was established and strengthened; it remained in force until 1849. Freedom of the press and improved judicial administration, introduced by Count Johann von Struensee, adviser (1770–72) to Christian VII, were abrogated after his fall from favor. Having allied itself with Napoleon, Denmark was deprived of Norway by the terms of the Peace of Kiel (1814), which united Norway with Sweden; and as a result of the Prusso-Danish wars of 1848–49 and 1864, Denmark lost its southern provinces of Slesvig, Holstein, and Lauenburg. Thereafter, the Danes concentrated on internal affairs, instituting important economic changes (in particular, specialization in dairy production) that transformed the country from a nation of poor peasants into one of prosperous smallholders. Denmark remained neutral in World War I, and after a plebiscite in 1920, North Slesvig was reincorporated into Denmark.

Disregarding the German-Danish nonaggression pact of 1939, Hitler invaded Denmark in April 1940, and the German occupation lasted until 1945. At first, the Danish government continued to function, protecting as long as it could the nation's Jewish minority and other refugees (some 7,200 Jews eventually escaped to neutral Sweden). However, when a resistance movement developed, sabotaging factories, railroads, and other installations, the Danish government resigned in August 1943 rather than carry out the German demand for the death sentence against the saboteurs. Thereafter, Denmark was governed by Germany directly, and conflict with the resistance intensified.

After the war, Denmark became a charter member of the UN and of NATO. In 1952, it joined with the other Scandinavian nations to form the Nordic Council, a parliamentary body. Having joined EFTA in 1960, Denmark left that association for the EEC in 1973. Meanwhile, during the 1950s and 1960s, agricultural and manufacturing production rose considerably, a high level of employment was maintained, and foreign trade terms were liberalized. However, the expense of maintaining Denmark's highly developed social security system, growing trade deficits (due partly to huge increases in the price of imported oil), persistent inflation, and rising unemployment posed political as well as economic problems for Denmark in the 1970s and 1980s, as one fragile coalition government succeeded another.

Economic performance was strong after the mid-1990s. Annual growth of GDP was 3% between 1994 and 1998 although the rate dropped to 1.6% in 1999. (It was projected to be 2.3% in 2005–06.) Thanks to strong growth, unemployment fell from 12.2% in 1994 to 6% in 1999. In March 2000, the buoyant economic outlook prompted Prime Minister Poul Nyrup Rasmussen to announce a referendum on Economic and Monetary Union to take place on 28 September 2000; it was rejected by 53.2% of the electorate. Voters narrowly rejected the Maastricht Treaty on European Union in 1992, but later approved it in 1993 after modifications were made in Denmark's favor. One of the special agreements was that Denmark could opt not to join EMU. For all practical purposes, however, Danish monetary policy has closely followed that of the European Central Bank and the Danish crown shadows the euro (the European single currency).

As with other European countries, Denmark in the 21st century sees illegal immigration as a major problem. The issue was a deciding one in the 20 November 2001 elections, with the right-wing xenophobic Danish People's Party (founded in 1995) gaining 12% of the vote and 22 seats to become the third-largest party in parliament. The new government composed of the Liberal Party and the Conservative Party formed by Prime Minister Anders Fogh Rasmussen depended upon the Danish People's Party for legislative support. In June 2002, parliament passed a series of laws restricting the rights of immigrants, including the abolition of the right to asylum on humanitarian grounds, and cuts of 30–40% in the social benefits available to refugees during their first seven years of residency. In February 2005, Fogh Rasmussen won a second term as prime minister as his Liberal Party again formed a coalition with the Conservative Party. Rasmussen became the first Danish Liberal leader to win a second consecutive term. The Danish People's Party, although not part of the governing coalition, strengthened its presence in parliament by two seats.

GOVERNMENT

Denmark is a constitutional monarchy. Legislative power is vested jointly in the crown and a unicameral parliament (Folketing), executive power in the sovereign—who exercises it through his or her ministers—and judicial power in the courts. The revised constitution of 1953 provides that powers constitutionally vested in Danish authorities by legislation may be transferred to international authorities established, by agreement with other states, for the promotion of international law and cooperation.

The sovereign must belong to the Lutheran Church. The crown is hereditary in the royal house of Lyksborg, which ascended the throne in 1863. On the death of a king, the throne descends to his son or daughter, a son taking precedence.

Executive powers belong to the crown, which enjoys personal integrity and is not responsible for acts of government. These powers are exercised by the cabinet, consisting of a prime minister and a variable number of ministers, who generally are members of the political party or coalition commanding a legislative majority. No minister may remain in office after the Folketing has passed a vote of no confidence in him or her.

The single-chamber Folketing, which has been in existence since 1953, is elected every four years (more frequently, if necessary) by direct and secret ballot by Danish subjects 18 years of age and older. Under the 1953 constitution there are 179 members, two of whom are elected in the Faroe Islands and two in Greenland. Of the remaining 175 members, 135 are elected by proportional representation in 17 constituencies, and 40 supplementary seats are divided among the parties in proportion to the total votes cast.

A parliamentary commission, acting as the representative both of the Folketing and of the nation, superintends civil and military government administration.

POLITICAL PARTIES

Until 1849, the Danish form of government was autocratic. The constitution of 1849 abolished privileges, established civil liberties, and laid down the framework of popular government through a bicameral parliament elected by all men over 30. In 1866, however, the National Liberal Party, composed largely of the urban middle class, succeeded in obtaining a majority for a constitution in which the upper chamber (Landsting) was to be elected by privileged franchise, the great landowners gaining a dominant position. This proved the starting point of a political struggle that divided Denmark until 1901. Formally, it concerned the struggle of the directly elected chamber, the Folketing, against the privileged Landsting, but in reality it was the struggle of the Left Party (made up largely of farmers, but after 1870 also of workers) to break the monopoly of political influence by the Right Party (consisting of the landowning aristocracy and the upper middle class). Meanwhile, the workers established trade unions, their political demands finding expression in the Social Democratic Party. In 1901, Christian IX called on the Left to form a government, and thereafter it was the accepted practice that the government should reflect the majority in the Folketing.

In 1905, the Left Party split. Its radical wing, which seceded, became a center party, the Social Liberals, and sought to collaborate with the Social Democrats. In 1913, these two parties together obtained a majority in the Folketing, and a Social Liberal government led Denmark through World War I. A new constitution adopted in 1915 provided for proportional representation and gave the vote to all citizens, male and female, 25 years of age and older (changed in 1978 to 18 years). In an attempt to obtain a broader popular base, the old Right Party adopted the name Conservative People's Party, and thenceforth this party and the Moderate Liberals (the old Left Party), the Social Liberals, and the Social Democrats formed the solid core of Danish politics. The Social Democrats briefly formed governments in 1924 and in 1929, in association with the Social Liberals.

During the German occupation (1940–45), a coalition government was formed by the main political parties, but increasing Danish popular resistance to the Germans led the Nazis to take over executive powers. From 1945 to 1957, Denmark was governed by minority governments, influence fluctuating between the Social Democrats on the one hand and the Moderate Liberals and Conservatives on the other, depending on which of the two groups the Social Liberals supported. In 1953, a new constitution abolished the Landsting and introduced a single-chamber system in which parliamentarianism is expressly laid down.

Aims of the Social Democratic Party are to nationalize monopolies, redistribute personal incomes by taxation and other measures, partition farm properties to form independent smallholdings, and raise working-class living standards through full employment. It supports the principle of mutual aid, as practiced in a combination of social welfare and widespread public insurance schemes. The Conservative Party advocates an economic policy based on the rights of private property and private enterprise and is firmly opposed to nationalization and restrictions, though it is in favor of industrial protection. It calls for a national contributory pensions scheme that would encourage personal initiative and savings. The major parties support the UN and NATO and favor inter-Scandinavian cooperation.

Issues in the 1970s focused less on international matters than on policies affecting Denmark's economy. The general elections of December 1973 resulted in heavy losses for all the established parties represented in the Folketing and successes for several new parties, notably the center-left Democratic Center Party and the "Poujadist" Progress Party led by Mogens Glistrup, an income tax expert who reputedly became a millionaire by avoiding taxes and providing others with advice on tax avoidance. The Progress Party, established early in 1973, advocated the gradual abolition of income tax and the dissolution of over 90% of the civil service. The Social Democrats, who had been in power, lost significantly in this election, and their chairman, Anker Jørgensen, resigned as prime minister. In mid-December, Poul Hartling was sworn in as prime minister, with a Liberal Democratic cabinet. The 22 Liberal members in the Folketing made up the smallest base for any government since parliamentary democracy was established in Denmark.

When it became clear in December 1974 that the Folketing would not approve the drastic anti-inflation program the Hartling government had announced, general elections were again called for. In the January 1975 balloting, the Liberals almost doubled their representation in the Folketing. However, because most of the other non-Socialist parties had lost support and because three of the four left-wing parties simultaneously gained parliamentary seats, the preelection lack of majority persisted, and Hartling resigned at the end of the month. After several attempts at a coalition by Hartling and Anker Jørgensen, the latter's alignment of Social Democrats and other Socialist-oriented minority parties finally succeeded in forming a new government. Jørgensen remained prime minister through general elections in 1977, 1979, and 1981. In September 1982, however, dissension over Jørgensen's plan to increase taxes in order to create new jobs, boost aid to farmers, and reduce the budget deficit led the government to resign. A four-party coalition led by Poul Schlüter, the first Conservative prime minister since 1901, then took power as a minority government, controlling only 66 seats out of 179. After the defeat of his 1984 budget, Schlüter called for new elections, which were held in January 1984 and increased the number of seats controlled by the coalition to 79. Following elections in September 1987, however, the number of seats held by the coalition fell to 70.

The 1994 election brought to power a three-party coalition of Social Democrats, Center Democrats, and Radical Liberals (they commanded a total of 76 seats in the 179-seat parliament). The 1994 election produced significant difficulties for the political right. The Conservatives were usually the major right-wing force with a legacy of heading governments but it saw its representation drop to 28 seats from 31 while the Liberal Party increased its share of the vote from 15.8% to 23.3% and thereby became the largest opposition party. The center-left coalition survived the departure of the Center Democrats in 1996, which rejected Prime Minister Poul Nyrup Rasmussen's decision to seek support for the 1997 budget from the far left. The fragile two-party coalition stumbled from one crisis to another in 1997 and the 1998 election promised to bring a Liberal-Conservative cabinet back to power. In February 1998, the Social Democrats recovered in opinion polls and Nyrup Rasmussen called a snap election.

The election results were as follows: Social Democrats 35.9% (65 seats), Radical Liberals 3.9% (7 seats), Center Democrats 4.3% (8 seats), Christian People's Party 2.5% (4 seats), Socialist People's Party 7.6% (13), Unity Party 2.7% (5 seats), Liberals 23% (43), Conservatives 8.9% (17), Progress Party 2.4% (4), and Danish People Party 7.4% (13 seats). Following the 1998 election, the Social Democratic and Radical Liberal coalition remained intact with Nyrup Rasmussen as prime minister. The Conservatives suffered a dramatic defeat and saw their share of the vote drop from 15% to 8.9%. The two far right parties—the Danish People's Party and the Progress Party—recorded the biggest gains by taking votes from the mainstream right-wing parties. In March 2000, Nyrup Rasmussen reshuffled his cabinet to breathe new life into government and to respond to the pressures coming from the Danish People's Party, which accused the government of being soft on immigration. Campaigning on a platform "Denmark for the Danes," the People's Party attracted a large number of sympathizers.

The issue of immigration remained primary in the early elections called for by Nyrup Rasmussen on 20 November 2001. Nyrup Rasmussen's Social Democrats suffered a major defeat, gaining only 29.1% of the vote and 52 seats. Center-right parties gained their largest majority since 1926. The Liberal Party (31.3% of the vote and 56 seats) and the Conservative People's Party (9.1% and 16 seats) formed a minority government headed by Anders Fogh Rasmussen (no relation to Poul Nyrup Rasmussen) that depended upon the anti-immigrant Danish People's Party (12% and 22 seats) for legislative support. Other parties represented in the Folketing following the 2001 elections were as follows: Socialist People's Party, 6.4% (12 seats); Radical Left, 5.2% (9 seats); Unity List—the Red Greens, 2.4% (4 seats); Christian People's Party, 2.3% (4 seats); and the 2 representatives each from the Faroe Islands and Greenland.

Elections for the Folketing were next held on 8 February 2005. The percentage of the vote gained by each party and distribution of seats was as follows: Liberal Party, 29% (52 seats); Social Democrats, 25.9% (47 seats); Danish People's Party, 13.2% (24 seats); Conservative Party, 10.3% (18 seats); Social Liberal Party, 9.2% (17 seats); Socialist People's Party 6% (11 seats); Unity List, 3.4% (6 seats); and the two representatives each from the Faroe Islands and Greenland. Anders Fogh Rasmussen led a Liberal-Conservative coalition for a second consecutive term as prime minister. After the election, Fogh Rasmussen pledged to continue a "fair and firm immigration policy."

LOCAL GOVERNMENT

A major reform of local government structure took effect on 1 April 1970. Copenhagen, Fredericksberg, and the regional municipality of Bornholm enjoy dual status as both local and county authorities. The previous distinction between boroughs and urban and rural districts was abolished, and the number of counties was reduced from 25 to 14 (the number in 2005 stood at 13). The primary local units (municipalities), reduced from 1,400 to 275 (271 as of 2005), are governed by an elected council (kommunalbestyrelse) composed of 9 to 31 members who, in turn, elect a mayor (borgmester) who is vested with executive authority. Each county is governed by an elected county council (amtsiåd), which elects its own chairman, or county mayor (amstborgmester). County councils look after local matters, such as road building and maintenance, health and hospital services, and general education.

A major restructuring of local government was planned for 2007. The government's proposal was for the counties to be replaced by five regions, and for a reduction of the municipalities to 98. The new municipalities were to take over most of the responsibilities of the former counties. Most of the new municipalities were expected to have populations exceeding 20,000 people.

The Faroe Islands and Greenland enjoy home rule, with Denmark retaining responsibility for foreign affairs, defense, and monetary matters. Representatives of the Faroe Islands announced plans to organize a referendum on independence from Denmark by fall 2000. The government's response was to threaten to cut off all aid to the Faroese if they opted for independence. The referendum planned for May 2001 was cancelled.

JUDICIAL SYSTEM

As a rule, cases in the first instance come before one of 82 county courts. Certain major cases, however, come under one of the two High Courts (Landsrettes), in Copenhagen and Viborg, in the first instance; otherwise these courts function as courts of appeal. The High Courts generally sit in chambers of three judges. In jury trials (only applicable in cases involving serious crimes) three High Court judges sit with 12 jurors. The Supreme Court (Hojesteret) is made up of a president and 18 other judges, sitting in two chambers, each having at least five judges; it serves solely as a court of appeal for cases coming from the High Courts. Special courts include the Maritime and Commercial Court. An Ombudsman elected by and responsible to parliament investigates citizen complaints against the government or its ministers.

The judiciary is fully independent of the executive and legislative branches. Judges are appointed by the monarch on recommendation of the Minister of Justice and serve life terms. They may be dismissed only for negligence or for criminal acts. Denmark accepts compulsory jurisdiction of the International Court of Justice with reservations.

ARMED FORCES

Since 1849 Danish military defense has been based on compulsory national service. All young men must register at the age of 18 and are subject to 9–12 months' service. Voluntary military service is popular because of educational benefits. Total active armed forces numbered 21,180 in 2005, including 680 Joint Service personnel. The Army consisted of 12,500 active members, with the Navy at 3,800, and the Air Force at 4,200. There were also 129,700 members in the reserves which included about 59,300 in the volunteer home guard. The Danish Army had 231 main battle tanks, 310 armored personnel carriers, and 860 artillery pieces (176 are towed). Denmark's navy operated three guided missile corvettes in addition to 67 patrol/coastal and six minewarfare vessels. The Danish Air Force operates 62 combat capable aircraft. Danish forces participated in NATO, UN, and European Union missions in 13 countries/regions around the globe, including support for Operation Enduring Freedom. Military expenditures for 2005 amounted to $3.17 billion.

INTERNATIONAL COOPERATION

Denmark became a charter member of the United Nations on 24 October 1945 and belongs to ECE and several nonregional specialized agencies. In association with WHO, Denmark has supported UN relief work by supplying medical personnel to assist developing countries. The European regional office of WHO is in Copenhagen. The country is a member of the WTO. Denmark participates actively in multilateral technical aid programs, and the Danish Council for Technical Cooperation provides additional aid to developing countries in Asia and Africa. The nation also assists the African Development Bank and the Asian Development Bank. Denmark is a member of NATO and of various inter-European organizations including the Council of Europe, the European Investment Bank, G-9, the Paris Club, and the OECD. Denmark is a member of the European Union and an observer in the OAS.

As a member of the Nordic Council, Denmark cooperates with other northern countries—Finland, Iceland, Norway, and Sweden—in social welfare and health insurance legislation and in freeing its frontiers of passport control for residents of other Scandinavian countries. The nation also participates in the regional Council of the Baltic Sea States and the Barents Council. Denmark has observer status in the Western European Union.

Denmark belongs to the Australia Group, the Zangger Committee, the Nuclear Suppliers Group (London Group), the European Organization for Nuclear Research (CERN), and the Nuclear Energy Agency. In environmental cooperation, Denmark is part of the Antarctic Treaty; the Basel Convention; Conventions on Biological Diversity, Whaling, and Air Pollution; Ramsar; CITES; the London Convention; International Tropical Timber Agreements; the Kyoto Protocol; the Montréal Protocol; MARPOL; the Nuclear Test Ban Treaty; and the UN Conventions on the Law of the Sea, Climate Change and Desertification.

ECONOMY

Denmark was traditionally an agricultural country. After the end of World War II, manufacturing gained rapidly in importance and now contributes 25.5% of national income, compared with 2.2% for agriculture. As of 2004, the service sector accounted for over 72.3% of GDP. Important service sectors are communications and information technologies, management consulting, and tourism. Shipping remains the most important service sector in Denmark: Denmark has always been a prominent maritime nation, and since much Danish shipping operates entirely in foreign waters, it contributes considerably to the nation's economy. Denmark also has important investments abroad.

Danish living standards and purchasing power are among the highest in the world, but the domestic market is limited by the small population, and most important industries must seek foreign markets in order to expand. Natural resources are limited, and therefore Denmark must export in order to pay for the raw materials, feeds, fertilizers, and fuels that must be imported. Integration into the EU's common agricultural policy has considerably improved Danish terms of trade by providing higher prices.

Productivity increased greatly in the postwar period. In agriculture the volume index for production rose steadily, while the agricultural labor force decreased. Similarly, improved techniques and mechanization in industry enabled production to increase, despite a percentage decline in the number of persons employed. In the 21st century, high-tech agriculture is a mark of Denmark's thoroughly modern market economy. As well, up-to-date small-scale and corporate industry, extensive government welfare measures, a stable currency, and a high dependence upon foreign trade all contribute to Denmark's prosperity.

From 1961 to 1971, the average annual rate of price increases in Denmark was 6.1%; in 1972, it was 6.6%; in 1973, 9.3%; and in 1974, partly because of rising oil costs, 15.2%. Throughout the remainder of the 1970s and through 1982, inflation remained in the 9–12% bracket. It then dropped from 6.9% in 1983 to 1.3% in 1993. By 1995, it had increased to 3.3% but in 1998 was down again to 1.8%. The inflation rate averaged 2% over the 2001–05 period.

Economic activity slackened during the 1970s, with GDP growth at 2.3% a year, down from a rate of about 4.5% during 1960–70. Growth remained moderate during the 1980s, averaging 2% a year. The GDP grew by 2.2% in 1990, but only at 1% in 1991, 1.2% in 1992, and 1.1% in 1993. In 1994, growth began to rebound, with GDP growing by 3.1%; in 1998 growth was 2.6%. In 2001, GDP growth was only 0.9%, down from 3% in 2000, largely due to the global economic slowdown and poor domestic demand. GDP growth recovered in 2004, helped by income tax cuts, and was forecast to remain solid in 2005–06. GDP growth was estimated at 2.9% in 2005, falling gradually to 2.6% in 2006 and 2.1% in 2007. This rapid economic expansion is being driven by strong household demand for goods and services, as well as healthy investment growth.

Recessions in 1974–75 and 1980–81 spurred a substantial rise in unemployment. From a rate of 0.9% in 1973, unemployment reached 12.3% in 1993. By 1995, it had decreased to 10.2%, still quite high compared to the United States, but about the same as other EU countries. By 1998, however, it fell to an estimated 6.5%. The unemployment rate stood at 6% in 2003 and 6.2% in 2004, among the lowest of EU countries.

Throughout the 1970s and through most of the next six years, Denmark's trade balance was in chronic deficit, but a surplus was registered in 1987 and continued through 1997. Denmark's vulnerability to the Asian and Russian financial crises in the late 1990s resulted in a balance of payments deficit in 1998. As of 2005, the current account had been in surplus since 1998. The current account balance as a percentage of GDP over the 2001–05 period was 2.8%.

Although Denmark easily met all of the criteria for membership in the European economic and monetary union (EMU), it opted to stay out of the euro zone. Denmark participates in the exchange-rate mechanism (ERM 2), which pegs the Danish krone to the euro. A referendum to ratify the EU constitutional treaty had been postponed indefinitely as of December 2005.

The government was likely to continue an expansionary fiscal policy in 2006, and the general government budget surplus was forecast to narrow. The Danish government lowered income and corporate taxes in 2004. Government debt remains high, at 47.4% of GDP in 2003, albeit down from the 2000–02 period.

INCOME

The US Central Intelligence Agency (CIA) reports that in 2005 Denmark's gross domestic product (GDP) was estimated at $182.1 billion. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange based on current dollars. The per capita GDP was estimated at $33,500. The annual growth rate of GDP was estimated at 2.2%. The average inflation rate in 2005 was 1.9%. It was estimated that agriculture accounted for 2.2% of GDP, industry 24%, and services 73.8%.

According to the World Bank, in 2003 remittances from citizens working abroad totaled $941 million or about $175 per capita and accounted for approximately 0.4% of GDP. Foreign aid receipts amounted about $8 per capita.

The World Bank reports that in 2003 household consumption in Denmark totaled $100.33 billion or about $18,624 per capita based on a GDP of $211.9 billion, measured in current dollars rather than PPP. Household consumption includes expenditures of individuals, households, and nongovernmental organizations on goods and services, excluding purchases of dwellings. It was estimated that for the period 1990 to 2003 household consumption grew at an average annual rate of 1.7%. In 2001 it was estimated that approximately 16% of household consumption was spent on food, 11% on fuel, 3% on health care, and 17% on education.

LABOR

In 2005, Denmark's labor force was estimated at 2.9 million. Of those employed in 2002, an estimated 79% were in the services sector, 17% in industry, and 4% in agriculture. The Danish unemployment rate in 2005 was estimated at 5.7%. The 1982–90 period brought a 1.3% decline in agricultural employment, a slight decrease in employment in manufacturing, and a large increase in employment in services, especially government services (education, social welfare, etc.). With the aim of holding down unemployment, the government offers the option of early retirement, apprenticeship and trainee programs, and special job offerings for the long-term unemployed.

As of 2005, an estimated 78% of all wage-earners were organized into trade unions. These unions are independent of the government or political parties. Most unions are limited to particular trades. Most workers are entitled to strike and that option is exercised often. Collective bargaining is practiced widely. Military personnel and the police are also allowed to form and join a union.

Although there is no nationally mandated minimum wage rate, the average net wage (including pension benefits) for adult workers was $29 per hour in 2004, which was sufficient to provide a decent standard of living for a family. The typical private sector workweek, as set by contract, not law, was 37 hours in 2005. Overtime is not compulsory. The minimum age for full-time work is 15 years, although children as young as 13 can work part-time, although there are limits imposed as to the tasks they can perform and the hours worked. Health and safety standards are set by law and cover school-age children in the workplace.

AGRICULTURE

About 54% of the land in 2002 was cultivated, most of it for feed and root crops. In 2003, agriculture engaged 3.4% of the labor force. Although agriculture is of great significance to the Danish economy, its relative importance declined from 19% of the GDP in 1961 to 2.1% in 2003.

The majority of farms are small and medium-sized; about 63% are smaller than 50 hectares (124 acres). In 2004, there were 45,624 Danish farms. Thousands of smallholdings have been established since 1899 under special legislation empowering the state to provide the land by partitioning public lands, by expropriation, and by breaking up large private estates. In the more newly established holdings, the farmer owns only the buildings (for which the state advances loans), the land being owned by the state and the smallholder paying an annual rent fixed under the land-tax assessment. Comparatively few new holdings have been established since 1951.

Grain growing and root-crop production are the traditional agricultural pursuits, but considerable progress has been made in recent decades in apple growing and the production of field, forage, flower, and industrial seeds. Although the soil is not particularly fertile and holdings are kept deliberately small, intensive mechanization and widespread use of fertilizers and concentrated feeds result in high yields and excellent quality. In 2002 there were 123,000 tractors and 97,000 harvester-threshers.

The crop yields of major crops for 2004 were (in thousands of tons): barley, 3,590; wheat, 4,759; rye, 146; sugar beets, 2,829; rapeseed (canola), 469; and corn for fodder, 4,381.

Agricultural exports supplied 17.2% of the value of Danish exports in 2004. Farm products provide materials for industrial processing, and a significant share of industry supplies the needs of domestic agriculture.

The Danish government devotes particular effort to maintaining the volume, price, quality, and diversity of agricultural products, but internal regulation is largely left to private initiative or exercised through private organizations, notably the cooperatives.

ANIMAL HUSBANDRY

Denmark is generally regarded as the world's outstanding example of intensive animal husbandry. It maintains a uniformly high standard of operations, combining highly skilled labor, scientific experimentation and research, modern installations and machinery, and versatility in farm management and marketing. The excellent cooperative system guarantees the quality of every product of its members. Meat, dairy products, and eggs contribute a most important share of Danish exports. There is a close relationship between cost of feed and export prices.

The livestock population in 2004 included 1,646,000 head of cattle (including 563,000 dairy cows), 13,233,000 hogs, 141,000 sheep, 39,000 horses, and 16,136,000 chickens. Mink, fox, polecat, finnraccoon, and chinchilla are raised for their pelts. In 2004, 12.6 million pelts were processed, valued at Kr2.7 billion.

The value of exported meat and animal products in 2004 amounted to $4.6 billion, consisting primarily of live pigs and pork, cheese, and canned meat. Production in 2004 included 4,569,000 tons of milk, 46,700 tons of butter, and 335,500 tons of cheese. In addition, egg production was 81,000 tons in 2004. Some 50% of all eggs consumed domestically are produced by alternative methods, a phrase that generally refers to layers raised organically or in free-range. The government's goal is for all eggs to ultimately be produced by noncaged layers. Organic milk is also a growing market. Organically produced feed's share of the domestic market is also increasing.

FISHING

The country's long coastline, conveniently situated on rich fishing waters, provides Denmark with excellent fishing grounds. Fishing is an important source of domestic food supply, and both fresh and processed fish are important exports. During 1990–95, the government financially supported fleet reduction in order to alleviate structural problems in the industry, and 605 vessels left the fleet during those years. At the beginning of 2005, there were 2,180 Danish fishing vessels, with a combined 95,685 GRT. The catch is composed mainly of herring and sprat, cod, mackerel, plaice, salmon, and whiting; but sole and other flatfish, tuna, and other varieties are also caught. In 2004, total Danish landings were 984,037 tons.

Denmark is one of the world's leading seafood exporters. In 2003, fish exports were valued at $3.2 billion, up 17% from 2000.

FORESTRY

A law of 1805 placing all forestland under reservation stated that "where there is now high forest there must always be high forest." Various measures were adopted to maintain forest growth. Later revisions of the law compelled all woodland owners to replant when trees are felled and to give adequate attention to drainage, weeding out of inferior species, and road maintenance. As a result, forests, which occupied only 5% of Denmark's land area and were actually in danger of extinction at the beginning of the 19th century, now make up 10% of the land and are in excellent condition. The total forest area in 2000 was 486,000 hectares (1,200,000 acres). Spruce and beech are the most important varieties. The government would like to increase forest area to 800,000 hectares (1,977,000 acres), nearly 20% of Denmark's total area, during the next 80 years.

Roundwood harvested in 2003 amounted to 1.8 million cu m (64 million cu ft), of which about 75% came from conifers and 25% came from broadleaf species. Denmark is a large importer of softwood lumber, especially from the other Scandinavian countries, and is a large particleboard consumer. Total Danish wood trade in 2003 amounted to $2.3 billion, consisting of imports of $1.9 billion and exports totaling $391.5 million. Pine logs account for about 60% of the total value of imported wood, much of it used by the furniture industry. Danish furniture exports in 2004 amounted to more than $2.5 billion.

On 3 December 1999, the first hurricane ever recorded in Denmark destroyed large tracts of its forested areas. Estimated loss of trees amounted to 150% of Denmark's normal annual timber harvest.

MINING

Denmark's industrialized market economy depended on imported raw materials, its mineral resources were mainly fossil fuels in the North Sea, and the nonfuel minerals industry included mining and quarrying of chalk, clays, diatomite, limestone (agricultural and industrial), and sand and gravel (onshore and offshore). The industrial minerals sector was particularly active. There were some 90 pits in Denmark from which clay was mined; this material was used primarily by the cement, brick making, and ceramic tile industries. The production of sand, gravel, and crushed stone has become more important in recent years, not only in meeting domestic demand, but also as an export to Germany and other Scandinavian countries. Kaolin, found on the island of Bornholm, was used mostly for coarse earthenware, furnace linings, and as filler for paper; production was 2,500 metric tons in 2004, unchanged from 2000. There were important limestone, chalk, and marl deposits in Jutland. Chalk production totaled 1,950,000 tons in 2004. Limonite (bog ore) was extracted for gas purification and pig iron production. Large deposits of salt were discovered in Jutland in 1966; in 2004, 610,000 metric tons were mined. The country also produced fire clay, extracted moler, lime (hydrated and quicklime), nitrogen, peat, crude phosphates, dimension stone (mostly granite), and sulfur. According to the constitution, subsurface resources belonged to the nation, and concessions to exploit them required parliamentary approval.

ENERGY AND POWER

Denmark's energy sector is marked by negligible sources of waterpower, and no nuclear power plants. However, the country has significant oil and natural gas reserves located in the North Sea, and it is also turning to wind power as an important source of electrical power generation.

In 2002, Denmark's electrical generating capacity totaled 12.746 million kW. Of that total, conventionally fueled capacity accounted for 10.049 million kW. Geothermal/other fuel based capacity was next at 2.868 million kW and hydropower based capacity at 0.011 million kW. In that same year, Denmark generated 36.367 billion kWh of electric power, of which thermal fuel powered generation accounted for 29.319 billion kWh, followed by geothermal/other powered generation at 29.319 billion kWh, and hydropower generation at 0.032 billion kWh. Imports of electrical power in 2002 totaled 8.900 billion kWh, with exports for that year at 11.100 billion kWh. The Danish electrical generating sector is marked by its use of alternative or geothermal/other power sources, most notably, wind-driven generation. Although 80% of the nation's electric power was generated by fossil fuels, slightly more than 19% was generated by alternative sources. According to a report by BusinessWeek online, dated 30 April 2001, around 13% of Denmark's electric power is wind generated, and the country has become a leader in the manufacturing of wind powered generating equipment.

Denmark's position flanking the North Sea has given the nation a share of the significant oil and natural gas reserves that have been discovered there. As of 1 January 2002, Denmark had proven oil reserves of 1.23 billion barrels. By the end of 2004, according to British Petroleum (BP), Denmark's proven oil reserves rose to 1.3 billion barrels. In 2002, Denmark produced an average of 370,760 barrels per day of crude oil. In 2004, that total rose to an average of 394,000 barrels per day, according to BP. In addition, between 1999, and 2005, a number of new fields have begun to produce, boosting the country's crude oil output. However, starting in 1997, Denmark's oil consumption has steadily fallen, according to BP. In that year the consumption of all oil products dropped to 229,000 barrels per day, from 235,000 barrels per day in 1996. In 2003, total oil product consumption fell to 193,000 barrels per day, and in 2004 fell 1.8% to 189,000 barrels per day.

Denmark has proven reserves of natural gas, as of end 2004, of 0.09 trillion cu m, and output has steadily risen over the previous three decades. According to BP, in 2002, Denmark produced 8.4 billion cu m of natural gas. In 2004, output rose to 9.4 billion cu m.

Denmark has no proven coal reserves and must therefore import all the coal it consumes. In 2002, imports of hard black coal totaled 6,946,000 tons.

INDUSTRY

Manufacturing greatly expanded after the end of World War II and now accounts for a greater share of national income than does agriculture. In 2004, manufacturing (including mining and utilities) accounted for 25.5% of the GDP, employing approximately 17% of the total working population. In the important food and drink industry, which tends to be relatively stable, the pattern differs for various branches, but meat packing has developed remarkably. The chemical, metalworking, and pharmaceutical industries have made notable progress. Handicrafts remain important, and Danish stone, clay, glass, wood, and silver products are world famous. Other important industries include: iron, steel, machinery and transportation equipment, textiles and clothing, electronics, construction, furniture, shipbuilding and refurbishment, and windmills.

In the world market, Danish manufacturers, having a limited supply of domestic raw materials, a relatively small home market, and a naturally advantageous geographic position, have concentrated on the production of high-quality specialized items rather than those dependent on mass production. For example, Denmark became the world's largest supplier of insulin, the raw materials for which come from livestock intestines; the Danish company Novo Nordisk is the world leader in insulin and diabetes care. Denmark by the early 2000s produced some 20–25% of the world's hearing aids.

Machinery, by far the most important industrial export, includes cement-making machinery, dairy machinery, diesel engines, electric motors, machine tools, and refrigeration equipment. Other important exports include meat and meat products (especially pork and pork products—Denmark is the world's largest exporter of pork), fish, dairy products, chemicals, furniture, ships, and windmills.

SCIENCE AND TECHNOLOGY

The Ministry of Research is the central administrative unit for research policy. Among advisory bodies to it are the Danish Council for Research Policy, the Danish Natural Science Research Council, the Danish Medical Research Council, the Danish Agricultural and Veterinary Research Council, the Danish Technical Research Council, and the Danish Committee for Scientific and Technical Information and Documentation. The chief learned societies are the Royal Danish Academy of Science and Letters (founded in 1742) and the Danish Academy of Technical Sciences (founded in 1937). Denmark also has 29 specialized learned societies in the fields of agricultural and veterinary science, medicine, natural sciences, and technology. Among the principal public research institutions are the universities Aalborg, Aarhus, Copenhagen, Odense, and Roskilde; the Royal Veterinary and Agricultural University at Frederiksberg; the Technological University of Denmark near Copenhagen; the National Hospital in Copenhagen; the Risø National Laboratory near Roskilde; the Danish Institute for Fisheries and Marine Research at Charlottenlund; and the Danish Meteorological Institute at Copenhagen. In 1987–97, science and engineering students accounted for 25% of university enrollment. In 2002, a total of 10.6% of all bachelor's degrees awarded were for the sciences (natural sciences, mathematics and computers, and engineering). Many of the world's preeminent theoretical nuclear physicists have worked at the Niels Bohr Institute for Astronomy, Physics, and Geophysics of Copenhagen University. Copenhagen has museums of geology and zoology and botanical gardens.

Research and development (R&D) expenditures in 2002 totaled $4,178.639 million or 2.51% of GDP. For that same year, there were 3,153 technicians and 4,822 researchers per million people actively engaged in R&D. In 2001, business provided 61.5% of all funding for R&D activities, followed by government at 28%, foreign sources at 7.8% and higher education at 2.6%. Total R&D spending that year came to $3,877.477 million, or 2.40% of GDP. In 2002, high-tech exports were valued at $8.089 billion and accounted for 22% of manufactured exports.

DOMESTIC TRADE

Large units are becoming more common in wholesale as well as retail trade, ordering directly from local manufacturers and foreign suppliers. Retail operations now include purchasing organizations, various types of chains, cooperatives, self-service stores, supermarkets, and department stores. Chain stores are gaining dominance in the nonfood retail goods market. The food retail sector is dominated by Dansk Supermarked, Coop Danmark, and about 30 other independent food import establishments. A 25% value-added tax applies to most goods and services.

Danish retail trade is marked by keen competition between independent retailers, manufacturers' chains, and consumer cooperatives. About 30% of all Danish retail establishments are in the greater Copenhagen area, and these account for almost 40% of all retail sales.

Business opening hours vary between 8 and 9 am; closing is between 5:30 and 7 pm for stores and 4 to 4:30 pm for offices. Early closing (1 pm) on Saturdays is now standard. Banking hours are from 9:30 am to 4 pm, Monday through Friday; also, 4 to 6 pm on Thursday.

General, trade, and technical periodicals are important media, and direct-mail, television, and film advertising are used extensively. The most important trade exhibition, the International Fair, takes place every spring in Copenhagen.

FOREIGN TRADE

The Danish economy depends heavily on foreign trade. Denmark is a net exporter of food and energy. Raw materials for use in production used to account for more than half the value of imports, but have seen a considerable decline in recent years. Farm products traditionally comprised the bulk of total Danish exports, but since 1961, industrial exports have greatly exceeded agricultural exports in value. In 2003, industrial products accounted for 81%

of Denmark's total commodity exports by value (of which machinery and instruments covered 35%); agricultural and fishing exports accounted for 10% (of which pork and pork products covered 48%—Denmark is the world's largest exporter of pork). Raw materials and semi-manufactures accounted for 43% of imports, consumer goods 29%, capital equipment 14%, transport equipment 7%, fuels 5%, and other imports 2%.

Denmark's trading partners in 2003 (according to percent of total trade in goods) included Germany (21%), Sweden (13%), the United Kingdom (8%), the United States (5%), Norway (5%), Japan (2%), and eastern European countries (5%).

To curb domestic demand, the government introduced several fiscal restraint measures in 1986, resulting in a decline in imports. Such measures and a tight-money policy have curbed inflation and made Danish exports more competitive, leading to trade surpluses in the late 1980s, 1990s, and early 2000s. In 2004, total exports were $75.6 billion and imports were $67.2 billion, for a trade surplus of $8.4 billion.

A great producer of food, Denmark's commodity exports include meat, fresh fish, and cheese, each of which command a substantial percentage of the world's food exports in their categories. The country also exports fine furniture and medicaments.

BALANCE OF PAYMENTS

The decline in Denmark's trade balance since the end of World War II resulted in a serious deterioration in the balance-of-payments position, particularly after 1960. In the late 1960s, the course of Denmark's international economic activity paralleled trends in continental Europe, with high trade and capital flow levels being accompanied by a deteriorating current-account position; this condition continued into the early 1970s. The Danish government had hoped that Denmark's entry into the EC would reduce the country's persistent deficit and bring the balance on current account into a more favorable position, but this was not

the case in the late 1970s. Although current account deficits were reduced somewhat in 1980–81, thanks to the devaluation of the krone and the restrictive income and fiscal policies implemented in 1979–80, the deficit again increased in 1982 and by 1985 was at the highest level since 1979.

In 1990, after a century of deficits, the balance of payments showed a surplus of $1.3 billion, and rose to $4.7 billion in 1993. In 1994 the surplus dropped to $2.7 billion, but by 2002 it stood at $8.4 billion. The surplus has allowed Denmark to begin repaying its large foreign debt, which peaked in 1988 at $44 billion, or 40% of GDP. (External debt stood at $21.7 billion in 2000.) Net interest payments on debt continue to be a burden, accounting for about 10% of goods and services export earnings.

As of 2005, except for one year—1998—Denmark had had comfortable current account surpluses for 15 years. The current account surplus stood at $6.5 billion in 2004.

BANKING AND SECURITIES

By an act of 7 April 1936, the Danish National Bank, the bank of issue since 1818, was converted from an independent to an official government corporation. Its head office is in Copenhagen, and it has branches in provincial towns. The Nationalbank performs all the usual functions of a central bank, and it holds almost all the nation's foreign exchange reserves. Commercial banks provide short-term money to business and individuals, almost always in the form of overdraft credits, which are generally renewable.

Danish banks, hit particularly hard by the Nordic banking crisis of 1991–93, have rebounded. By the end of the decade, they had rebounded completely. Their recovery was bolstered in large part by continuing capital gains in securities markets. In mid-2003, there were 187 commercial and savings banks, eight mortgage credit institutions, 30 investment companies, 138 nonlife insurance companies, and 94 life assurance companies and multi-employer pension funds.

Credit and mortgage societies are active in Denmark. In 1982, index-linked real estate loans were introduced, initially carrying nominal interest rates of 2.5% per year, with balance and installments adjusted yearly according to variations in the consumer price index and wage indexes. In the mid-1990s, the lending rate was about 12%. The International Monetary Fund reports that in 1999, currency and demand deposits—an aggregate commonly known as M1—were equal to $54.7 billion. In that same year, M2—an aggregate equal to M1 plus savings deposits, small time deposits, and money market mutual funds—was $97.5 billion. The money market rate, the rate at which financial institutions lend to one another in the short term, was 3.37%. The discount rate, the interest rate at which the central bank lends to financial institutions in the short term, was 3%.

The stock exchange (or Bourse) in Copenhagen was built during 1619-30 by Christian IV. He subsequently sold it to a Copenhagen merchant, but it reverted to the crown and in 1857 was finally sold by Frederik VII to the Merchants' Guild. Although it is the oldest building in the world built as an exchange and still used as one, the nature of the business transacted in it has greatly changed. Originally a commodity exchange equipped with booths and storage rooms, the Bourse is now almost exclusively a stock exchange. In 1970, the Stock Exchange was placed under the jurisdiction of the Ministry of Commerce with a governing committee of 11 members. Only a few bond issues are made by manufacturing firms each year. In 1980, Denmark took the initial step toward becoming the first country to convert the issuing of stock, share, and bond certificates into a computer account registration system. As of 2004, a total of 178 companies were listed on the Copenhagen Stock Exchange, which had a total capitalization of $151.342 billion. In that same year, the KFX Copehagen rose 0.7% from the previous year to 286.7.

INSURANCE

The Danish insurance industry is regulated by the Danish Supervisory Authority of Financial Affairs. Danish companies do most stock insurance business. Some government-owned insurance companies sell automobile, fire, and life insurance and handle the government's war-risk insurance program. In Denmark, third-party auto insurance, workers' compensation, nuclear power station insurance, hunter's liability, dog liability, third-party aircraft liability and mortgaged property insurance are compulsory. The two primary pieces of legislation affecting the insurance industry are the Insurance Companies Act and the Insurance Contracts Act. The first contains regulations for establishing and operating insurance companies and describes the public supervision of the insurance business. The second governs relations between insurance companies, policy holders, and claimants. In 2003, the value of all direct premiums written totaled $16.737 billion, with life premiums accounting for the largest portion at $10.944 billion. Denmark's top nonlife insurer that same year was Tryg Skade, with gross nonlife premiums written of $1,177.9 million. Danica Pension was the country's top life insurer in 2003 with gross life premiums written of $1.772.4.

PUBLIC FINANCE

The finance bill is presented to the Folketing yearly; the fiscal year follows the calendar year. As a general rule, the budget is prepared on the "net" principle, the difference between receipts and expenditures—surplus

or deficit—of public undertakings being posted to the revenue accounts. By far the largest amounts of public expenditure are for social security, health, education and research, unemployment insurance, pensions, allowances, and rent subsidies. Under a new tax reform plan, agreed upon by the government and the Danish People's Party in March 2003, Danish citizens received tax relief in 2004, although at a lesser rate than originally was hoped. Denmark has yet to accept the euro as its currency, although it meets all the criteria set forth by the European Monetary Union to do so. The 1993 Finance Act serves as an example of how revenue is only to a limited degree spent on the public sector's own operational and initial expenditure, but mainly repaid to citizens. Out of the Kr340 billion the government had at its disposal in 1993, 46% was to be sent back to individual citizens as income transfers. In addition, the government transferred 12% of the budget to municipalities in the form of block grants, which also will largely end up as transfer payments to individuals.

The US Central Intelligence Agency (CIA) estimated that in 2005 Denmark's central government took in revenues of approximately $148.8 billion and had expenditures of $142.6 billion. Revenues minus expenditures totaled approximately $6.2 billion. Public debt in 2005 amounted to 40.4% of GDP. Total external debt was $352.9 billion.

The International Monetary Fund (IMF) reported that in 2003, the most recent year for which it had data, central government revenues were Kr532,687 million and expenditures were Kr504,284 million. The value of revenues was us$80,857 million and expenditures us$76,546 million, based on a market exchange rate for 2003 of us$1 = Kr6.588 as reported by the IMF. Government outlays by function were as follows: general public services, 27.2%; defense, 4.6%; public order and safety, 2.6%; economic affairs, 6.8%; housing and community amenities, 1.6%; health, 0.9%; recreation, culture, and religion, 2.3%; education, 12.6%; and social protection, 41.3%.

TAXATION

Denmark's taxes are among the highest in the world. Danish residents are liable for tax on global income and net wealth. Nonresidents are liable only for tax on certain types of income from Danish sources.

The corporate income tax in Denmark is 30%, which must be prepaid during the income tax year to avoid a surcharge. Capital gains are also taxed at the 30% rate.

Personal income tax is collected at state, county and local levels. A tax ceiling ensures that combined income taxes do not exceed 59% of income. Income tax rates are progressive: 39% on income up to €22,118; 45% on income between €22,118 and €36,025; and 60% on income above €36,025. Several kinds of deductions or reductions can be applied to taxable income. Dividends are taxed at 28% up to the amount of personal allowance, after which the rate goes to 43%. Royalties are subject to a 30% tax rate. There is also a voluntary church tax with an average rate of 0.8%. The social security contribution from employee earnings is 9%, 8% for unemployment insurance and 1% for special pension scheme savings. The voluntary church tax and social security contributions do not count toward the 59% tax ceiling. Tax is withheld at the source. Foreign researchers and key employers may qualify for a gross tax of 25% on their salary instead of paying regular income tax. They are still liable for 9% social security contributions.

Denmark's main indirect tax in the value-added tax (VAT) first introduced in March 1967 with a standard rate of 10%. The current standard rate of 25% was introduced in January 1992. Daily newspapers and a few other goods and services are exempt from the VAT.

CUSTOMS AND DUTIES

Denmark—a consistent advocate of free and fair conditions of international trade—had until recently the lowest tariff rate in Europe. However, owing to shortages of foreign currency, Denmark did impose quantitative restrictions on imports, and as late as 1959 about 64% of Danish industrial production was so protected. On joining the European Free Trade Association (EFTA) on 8 May 1960, Denmark began eliminating tariff rates and quantitative restrictions on industrial products from other EFTA countries. By 1 January 1970, those that remained were abolished. On 1 January 1973, Denmark ended its membership in EFTA and became a member of the European Community, which not only represents a free trade area but also seeks to integrate the economies of its member states.

Denmark adheres to provisions of GATT on import licensing requirements although certain industrial products must meet Danish and EC technical standards. Denmark converted to the Harmonized System of import duties on 1 January 1988. Most products from European countries are duty-free. Duty rates for manufactured goods range from 5–14% of CIF value, and a 25% VAT is applied to imported, as well as domestic, products. Basic necessities and foodstuffs are given a 0% rate. Agricultural products are governed by the Common Agricultural Policy (CAP), a system of variable levies, instead of duties.

FOREIGN INVESTMENT

Denmark is a rich, modern society with state-of-the art infrastructure and distribution system. A highly-skilled labor force and a northern location in Europe make it attractive to foreign investors wishing to have access to markets in Scandinavia, the Baltics, and other northern European destinations. Denmark is a firm advocate of liberal trade and investment policies and actively courts foreign investment.

Foreign investors are treated on an equal footing with Danish investors; investment capital and profits may be freely repatriated. After the late 1950s, Denmark attracted a moderate amount of foreign investment. In 1998, however, annual FDI inflows jumped from $2.8 billion to $7.7 billion and then soared to $32.3 billion in 2000. In terms of success in attracting FDI, Denmark went from the 62nd ranked country (out of 140 countries studied) on UNCTAD's Inward FDI Performance Index for the period 1988 to 1990 to the 12th ranked country for the period 1998–2000. Denmark's ranking in terms of potential for inward FDI increased from 10th place in the world to 8th place. In the economic slowdown of 2001and in decline in FDI inflows that followed the 11 September 2001 terrorist attacks in the United States, annual FDI inflow fell to about $14 billion in 2001 and to an estimated $7.7 billion in 2002.

The total stock of FDI in Denmark increased by 79% from 1998–2003, and corresponded to approximately 25% of GDP in 2003 (at $54 billion). Danish investment abroad amounted to 27% of GDP. The corporate tax is relatively low by EU-15 standards, at 28%. There is no additional local tax, franchise, or net wealth tax. The corporate tax is paid after deductions for expenses.

The largest foreign investors in Denmark are the United States, Sweden, and the United Kingdom. The main sources of FDI stock in Denmark in 2003 were the United States (28%), Sweden (20%), the United Kingdom (10%), Norway (9%), and Germany (4%). The main destinations of Danish investment abroad in 2003 were the United Kingdom (12%), Norway (10%), Sweden (9%), the United States (6%), and Germany (6%).

ECONOMIC DEVELOPMENT

For many years, Danish governments followed a full-employment policy and relied chiefly on promotion of private enterprise to achieve this end. Beginning in the late 1970s, however, the government increased its intervention in the economy, in response to rising unemployment, inflation, and budget deficits. Inflation has been curbed and budget deficits reduced. This bolstered the currency from devaluation, but at the cost of restraining growth, and unemployment continued to rise.

Government influence on private enterprise through the exercise of import and export licensing has diminished in recent years. The discount policy of the National Bank is of major importance to the business community. Control of cartels and monopolies is flexible. The government has in recent years sold part or whole interest in many business entities, including the national telecommunications company TDC, Copenhagen airports, and the government's computer services company, Datacentralen. Most of the country's power stations are owned and operated by local governments and municipalities.

Capital incentives are available to assist new industries, mainly in the less-developed areas of Denmark. Municipalities also provide infrastructure, industrial parks, or inexpensive land. Under a 1967 provision, the Regional Development Committee (composed of representatives of a number of special-interest organizations and central and local authorities) can grant state guarantees or state loans for the establishment of enterprises in less developed districts.

In 1978, Denmark reached the UN target for official development assistance (ODA) in the mid-1970s: 0.7% of GNP. It reached 0.96% of GNP in 1991, second only to Norway, and 1.01% in 2001, when it led the world in ODA. In 2004, Denmark set aside 0.84% of its GNP for ODA, third highest behind Norway and Luxembourg. Denmark's official assistance to developing countries amounted to $2 billion in 2004.

Unemployment was at a 25-year low in 2002, and the economy weathered the global economic recession fairly well. (Unemployment was also low in 2004, at 6.2%.) The government ran fiscal surpluses in order to prepare for the costs of an aging population. Nevertheless, state spending to total economic activity remains one of the highest in the world. Small and medium-sized businesses characterize the private sector, with companies with less than 50 employees accounting for approximately half of total employment, and only 12% of the workforce work in firms with more than 500 employees. Women are highly represented in the labor force.

The government was likely to continue an expansionary fiscal policy in 2006, and the general government budget surplus was forecast to narrow. The Danish government lowered income and corporate taxes in 2004, and announced in 2005 that it was working on simplifying the rules governing the taxation of dividends. Government debt remains high, but the public budget was in surplus in 2005.

SOCIAL DEVELOPMENT

Denmark was one of the first countries in the world to establish efficient social services with the introduction of relief for the sick, unemployed, and aged. Old age benefits date back to 1891. Social welfare programs include health insurance, health and hospital services, insurance for occupational injuries, unemployment insurance and employment exchange services, old age and disability pensions, rehabilitation and nursing homes, family welfare subsidies, general public welfare, and payments for military accidents. Maternity benefits are payable up to 52 weeks. In 2004 the retirement age increased to 69 years for residents.

According to the constitution, any incapacitated person living in Denmark has a right to public relief. Benefits such as maintenance allowances for the children of single supporters, day care, and others, involve neither repayment nor any other conditions; some others are regarded as loans to be repaid when possible. Family allowances are paid to families with incomes below a certain threshold; rent subsidies require a means test. Denmark has a dual system of universal medical benefits for all residents and cash sickness benefits for employees. All Danish citizens over 67 years of age may draw old age pensions. Disability pensions, equal in amount to old age pensions plus special supplements, are paid to persons with a stipulated degree of disablement.

Women make up roughly half of the work force. Laws guarantee equal pay for equal work, and women have and use legal recourse if they feel discriminated against. Spousal rape and spousal abuse are criminal offenses. There are crisis centers that counsel and shelter victims of domestic violence. Children's rights are well protected.

The constitution provides for freedom of the press and speech, assembly and association, and for religious freedom, and generally respects these rights. Discrimination based on sex, creed, race, or ethnicity is prohibited by law.

HEALTH

Denmark's health care system has retained the same basic structure since the early 1970s. The administration of hospitals and personnel is dealt with by the Ministry of the Interior, while primary care facilities, health insurance, and community care are the responsibility of the Ministry of Social Affairs. Anyone can go to a physician for no fee and the public health system entitles each Dane to his/her own doctor. Expert medical/surgical aid is available, with a qualified nursing staff. Costs are borne by public authorities, but high taxes contribute to these costs. As of 2004, there were an estimated 366 physicians and 972 nurses per 100,000 people. In addition, there were 90 dentists, 49 pharmacists, and 25 midwives per 100,000 people.

The total fertility rate in 2000 was 1.7, while the maternal mortality rate was 10 per 100,000 live births. Approximately 63% of married women (ages 15 to 49) used contraception. Cardiovascular diseases and cancer were the leading causes of death. Denmark's cancer rates were the highest in the European Union. The HIV/AIDS prevalence was 0.20 per 100 adults in 2003. As of 2004, there were approximately 5,000 people living with HIV/AIDS in the country. There were an estimated 100 deaths from AIDS in 2003.

Danish citizens may choose between two systems of primary health care: medical care provided free of charge by a doctor whom the individual chooses for a year and by those specialists to whom the doctor refers the patient; or complete freedom of choice of any physician or specialist at any time, with state reimbursement of about two-thirds of the cost for medical bills paid directly by the patient. Most Danes opt for the former. All patients receive subsidies on pharmaceuticals and vital drugs; everyone must pay a share of dental bills. Health care expenditure was estimated at 8.4% of GDP.

Responsibility for the public hospital service rests with county authorities. Counties form public hospital regions, each of which is allotted one or two larger hospitals with specialists and two to four smaller hospitals where medical treatment is practically free. State-appointed medical health officers, responsible to the National Board of Health, are employed to advise local governments on health matters. Public health authorities have waged large-scale campaigns against tuberculosis, venereal diseases, diphtheria, and poliomyelitis. The free guidance and assistance given to mothers of newborn children by public health nurses have resulted in a low infant mortality rate of 4.56 per 1,000 live births (2005). Medical treatment is free up to school age, when free school medical inspections begin. As of 2001, children up to one year of age were vaccinated against diphtheria, pertussis, and tetanus (99%) and measles (92%). In 2005, life expectancy at birth was 77.62 years. The overall death rate was 11 per 1,000 people.

HOUSING

In recent decades, especially since the passage of the Housing Subsidy Act of 1956, considerable government support has been given to housing. For large families building their own homes, government loans have been provided on exceptionally favorable terms, and special rent rebates have been granted to large families occupying apartments in buildings erected by social building societies or in buildings built with government loans since 1950. Subject to certain conditions, housing rebates have been granted to pensioners and invalids. An annual grant is made to reduce householders' maintenance expenses. This extensive support helped to reduce the wartime and immediate postwar housing shortage.

In 2005, there were 2,633,886 dwellings in the nation; 94% were occupied. About 38% were detached, single-family homes; another 35% were detached, multi-family homes and 12% were terraced or linked dwellings. Of the occupied dwellings, about 51% were owner occupied. About 26% of all dwellings consist of five rooms and a kitchen; only about 48,892 dwellings do not have a kitchen at all. During the period 1991–2004, less than 20,000 new homes were built each year. About 17,778 new dwellings were built in 2004, mostly by private builders. Approximately 231,906 dwellings were built before 1900. About 40% of the housing stock was built 1950–79.

EDUCATION

Primary, secondary, and most university and other higher education are free. Preschools are operated by private persons or organizations with some government financial aid. Education has been compulsory since 1814; currently, it is compulsory for nine years, for children ages 7 to 16. The Danish primary school system, known as the Folkeskole, covers the nine required years and many opt for an additional 10th year. English is included in the curriculum from the fifth grade. After basic schooling, two-thirds of the pupils apply for practical training in a trade or commerce at special schools. The remaining one-third enroll in secondary schools, which finish after three years with student examination and pave the way for higher education at universities. Municipal authorities, with some financial aid from the central government, have been responsible for providing schools for these children.

In 2001, about 90% of children between the ages of three and six were enrolled in some type of preschool program. Primary school enrollment in 2003 was estimated at about 100% of age-eligible students. The same year, secondary school enrollment was about 96% of age-eligible students. Most students complete their primary education. The student-to-teacher ratio for primary school was at about 10:1 in 2000; the ratio for secondary school was also about 10:1.

Adult education exists side by side with the regular school system. Founded as early as 1844, the folk high schools are voluntary, self-governing high schools imparting general adult education. In addition, there are hundreds of schools for higher instruction of pupils without previous special training. There are 12 universities, including the University of Copenhagen (founded in 1479), the University of Aarhus (founded as a college in 1928 and established as a university in 1933), the University of Odense (opened in 1966), and the University Center at Roskilde (founded in 1970). Attached to the various faculties are institutes, laboratories, and clinics devoted primarily to research, but also offering advanced instruction. There are about 100 specialized colleges with professional programs. Many specialized schools and academies of university rank provide instruction in various technical and artistic fields. All these institutions are independent in their internal administration. In 2003, about 67% of the tertiary age population were enrolled in some type of higher education program. The adult literacy rate for has been estimated at nearly 100%.

As of 2003, public expenditure on education was estimated at 8.5% of GDP, or 15.4% of total government expenditures.

LIBRARIES AND MUSEUMS

Denmark's national library, the Royal Library in Copenhagen, founded by Frederik III in 1653, is the largest in Scandinavia, with over 4.6 million volumes. The manuscript department of the Royal Library holds an extensive collection of the manuscripts and correspondence of Hans Christian Andersen and the Søren Kierkegaard Archives (manuscripts and personal papers). The National Museum of Photography (over 25,000 pieces) and the Museum of Danish Cartoon Art are also housed at the Royal Library. Three other large libraries are the University Library in Copenhagen, Copenhagen Public Libraries, and the State Library at Aarhus. The Regional Library of Northern Jutland includes a central library, 17 branch locations and 3 mobile units. As of 2002, there were 250 free public libraries throughout the country with 892 points of service. That year, the public libraries had a total of more than 31.4 million volumes. The Danish Library Association was founded in 1905. The Danish Union of Librarians had about 5,500 members in 2005.

Among the largest museums are the National Museum (with rare ethnologic and archaeological collections), the Glyptotek (with a large collection of ancient and modern sculpture), the State Art Museum (containing the main collection of Danish paintings as well as other Scandinavian artists), the Thorvaldsen Museum, the Hirshsprung Collection, and the Rosenborg Palace, all in Copenhagen, and the National Historical Museum in Frederiksborg Castle, at Hillerod. Among the newer facilities is the Amalienborg Museum in Copenhagen, which opened in 1994 and houses treasures of the royal family. The National Museum of Science and Technology in Elsinore includes the Teknisk Museum (Museum of Technology) and the Trafikmuseum (Transport Museum); the Kommunikationsmuseum (Museum of Communications) in Aalborg is an extension of the Teknisk Museum.

MEDIA

Although the government telephone service owns and operates long-distance lines and gives some local service, the bulk of local telephone service is operated by private companies under government concession with government participation. In 2003, there were an estimated 669 mainline telephones for every 1,000 people. The same year, there were approximately 883 mobile phones in use for every 1,000 people. Telegraph services are owned and operated by the government.

The radio broadcasting services are operated by the Danish State Radio System, on long, medium, and short waves. Television broadcasting hours are mainly devoted to current and cultural affairs and to programs for children and young people. There is no commercial advertising on radio or television; owners of sets pay an annual license fee. As of 1998 there were 2 AM and 355 FM radio stations and 26 television stations. In 2003, there were an estimated 1,400 radios and 859 television sets for every 1,000 people. About 236.7 of every 1,000 people are cable subscribers. In 2003, there were 576.8 personal computers for every 1,000 people and 513 of every 1,000 people had access to the Internet. There were 1,724 secure Internet servers in the country in 2004.

The largest daily newspapers (with their political orientation and 2002 circulation totals) are Ekstra Bladet (independent/social-liberal, 159,500), Politiken (independent/social-liberal, 153,500), Berlingske Tidende (independent/conservative, 160,100), B.T. (independent/conservative, 144,900), Aarhus Stiftstidende (independent, 176,400), Vendsyssel Tidende (independent, 114,000), Aalborg Stiftstidende (independent, 72,700), and Fyens Stiftstidende (independent, 66,400).

Complete freedom of expression, including that in print and electronic media, is guaranteed under the constitution. The media in Denmark are largely independently operated and are free from government interference.

ORGANIZATIONS

Nearly every Danish farmer is a member of at least one agricultural organization and of one or more producer cooperatives. The oldest agricultural organization, the Royal Agricultural Society of Denmark, was established in 1769, but most of the other organizations have been founded since 1850. They promote agricultural education and technical and economic development. Local societies have formed provincial federations, which in turn have combined into two national organizations, the Federation of Danish Agricultural Societies and the Federation of Danish Smallholders Societies. The Cooperative Movement of Denmark comprises three groups: agricultural cooperatives, retail cooperatives, and urban cooperatives. Owners of estates and large farms belong to separate organizations specializing in the affairs of larger agricultural units. Most consumers' cooperative societies belong to the Danish Cooperative Wholesale Society, which makes bulk purchases for member societies and also manufactures various products.

The Federation of Danish Industries and the Industrialists' Association in Copenhagen represent industrial undertakings and trade associations, safeguard and promote the interests of industry, and deal with trade questions of an economic nature. The Danish Confederation of Trade Unions has also been influential. The Council of Handicrafts represents various crafts, trades, and industries, and gives subsidies to technical and trade schools. The leading organizations of the wholesale trade are the Copenhagen Chamber of Commerce and the Provincial Chamber of Commerce. There are also active professional societies representing a broad range of career fields.

The scholarly and cultural organization of the Royal Danish Academy of Sciences and Letters was founded in 1742. A wide variety of organizations exist to promote research and education in medical and scientific fields, such as Danish Academy of Technical Sciences, the Danish Dental Association, the Danish Medical Society, and the Danish Cancer Society. The Danish Council of Ethics is appointed by the government to conduct research and offer legislative recommendations on bioethical issues.

A number of national and regional cultural organizations are active, as are associations representing popular sports and recreational activities. The Danish Athletic Federation represents about 30,000 athletes nationwide. The Danish Youth Council is an umbrella organization representing about 62 youth organizations with a combined membership of over one million youth. Youth organizations include the Conservative Youth of Denmark, Danish 4-H Youth, Danish Socialist Democratic, Faroe Islands Youth Council, Greenland Youth Council (SORLAK), scouting programs, and YMCA/YWCA.

Denmark has active chapters of The Red Cross, CARE, Caritas, Greenpeace, UNICEF, and Amnesty International.

TOURISM, TRAVEL, AND RECREATION

Dozens of castles, palaces, mansions, and manor houses, including the castle at Elsinore (Helsingør)—site of Shakespeare's Hamlet —ware open to the public. Tivoli Gardens, the world-famous amusement park, built in 1843 in the center of Copenhagen, is open from May through mid-September. Copenhagen is an important jazz center and holds a jazz festival in July. The Royal Danish Ballet, of international reputation, performs in Copenhagen's Royal Theater, which also presents opera and drama. Greenland, the world's largest island, is part of the Kingdom of Denmark and attracts tourists to its mountains, dog sledges, and midnight sun.

A valid passport is required of all visitors except for Scandinavian nationals. Visas are not required for stays of up to 90 days.

Approximately 1,294,477 tourists visited Denmark in 2003. There were 41,729 hotel rooms with 106,080 beds and an occupancy rate of 35% in that year.

In 2005, the US Department of State estimated the cost of staying in Copenhagen at $288 per day.

FAMOUS DANES

Denmark's greatest classic writer and the founder of Danish literature is Ludvig Holberg (1684–1754), historian, philologist, philosopher, critic, and playwright, whose brilliant satiric comedies are internationally famous. Another important dramatist and poet is Adam Gottlob Oehlenschlaeger (1779–1850). The two most celebrated 19th-century Danish writers are Hans Christian Andersen (1805–75), whose fairy tales are read and loved all over the world, and the influential philosopher and religious thinker Søren Kierkegaard (1813–55). Nikolaj Frederik Severin Grundtvig (1783–1872), noted theologian and poet, was renowned for his founding of folk high schools, which brought practical education to the countryside. The leading European literary critic of his time was Georg Morris Brandes (Cohen, 1842–1927), whose Main Currents in 19th-Century European Literature exerted an influence on two generations of readers. Leading novelists include Jens Peter Jacobsen (1847–85); Martin Anderson Nexø (1869–1954), author of Pelle the Conquerer (1906–10) and Ditte (1917–21); and Johannes Vilhelm Jensen (1873–1950), who was awarded the Nobel Prize for literature in 1944 for his series of novels. Karl Adolph Gjellerup (1857–1919) and Henrik Pontoppidan (1857–1943) shared the Nobel Prize for literature in 1917. Isak Dinesen (Karen Blixen, 1885–1962) achieved renown for her volumes of gothic tales and narratives of life in Africa. Jeppe Aaksjaer (1866–1930), poet and novelist, is called the Danish Robert Burns. A great film artist is Carl Dreyer (1889–1968), known for directing The Passion of Joan of Arc, Day of Wrath, and Ordet. Famous Danish musicians include the composers Niels Gade (1817–90) and Carl Nielsen (1865–1931), the tenors Lauritz Melchior (1890–1973) and Aksel Schiøtz (1906–75), and the soprano Povla Frijsh (d.1960). Notable dancers and choreographers include August Bournonville (1805–79), originator of the Danish ballet style; Erik Bruhn (1928–86), who was known for his classical technique and was director of ballet at the Royal Swedish Opera House and of the National Ballet of Canada; and Fleming Ole Flindt (b.1936), who has directed the Royal Danish Ballet since 1965. The sculptor Bertel Th orvaldsen (1770–1844) is the artist of widest influence. Jørn Utzon (b.1918) is an architect best known for his design of the Sydney Opera House.

Notable scientists include the astronomers Tycho Brahe (1546–1601) and Ole Rømer (1644–1710); the philologists Ramus Christian Rask (1787–1832) and Otto Jespersen (1860–1943); the physicist Hans Christian Ørsted (1777–1851), discoverer of electromagnetism; Nobel Prize winners for physics Niels Bohr (1885–1962) in 1922 and his son Aage Niels Bohr (b.1922) and Benjamin Mottelson (b.1926) in 1975; Niels Rybert Finsen (b.Faroe Islands, 1860–1904), August Krogh (1874–1949), Johannes A. G. Fibiger (1867–1928), and Henrik C. P. Dam (1895–1976), Nobel Prize-winning physicians and physiologists in 1903, 1920, 1926, and 1944, respectively. Jens Christian Skou (b.1918) shared the Nobel prize in chemistry in 1997. Frederik Bajer (1837–1922) was awarded the Nobel Prize for peace in 1908. Knud Johan Victor Rasmussen (1879–1933), explorer and anthropologist born in Greenland, was an authority on Eskimo ethnology.

Queen Margrethe II (b.1940) became sovereign in 1972.

DEPENDENCIES

Faroe Islands

The Faroe Islands (Faerøerne in Danish and Føroyar in the Faroese language), whose name stems from the Scandinavian word for sheep (får), are situated in the Atlantic Ocean, due n of Scotland, between 61°20′ and 62°24′n and 6°15′ and 7°41′w. The 18 islands, 17 of which are inhabited, cover an area of 1,399 sq km (540 sq mi). Among the larger islands are Streymoy (Strømø) with an area of 373 sq km (144 sq mi), Eysturoy (Østerø) with 286 sq km (110 sq mi), Vágar (Vaagø) with 178 sq km (69 sq mi), Suduroy (Syderø) with 166 sq km (64 sq mi), and Sandoy (Sandø) with 112 sq km (43 sq mi). The maximum length of the Faroe Islands is 112 km (70 mi) n–s and the maximum width is 79 km (49 mi) ne–sw. The total coastline measures 1,117 km (694 mi).

The estimated population in July 2002 was 46,011. Most Faroese are descended from the Vikings, who settled on the islands in the 9th century. The Faroes have been connected politically with Denmark since the 14th century. During World War II (1939–45), they were occupied by the British, and in this period important political differences emerged. The Faroese People's party advocated independence for the islands; the Unionists preferred to maintain the status quo; and the Faroese Social Democrats wanted home rule. After the war, it was agreed to establish home rule under Danish sovereignty, and since 23 March 1948, the central Danish government has been concerned only with matters of common interest, such as foreign policy and foreign-currency exchange. The Faroes have their own flag, levy their own taxes, and issue their own postage stamps and banknotes. The Faroese language, revived in the 19th century and akin to Icelandic, is used in schools, with Danish taught as a first foreign language.

The Faroese parliament, or Logting, dates back to Viking times and may be Europe's oldest legislative assembly. Members are elected by popular vote on a proportional basis from 7 constituencies to the 32-member Logting; representation has been fairly evenly divided among the four major parties. After the April 2002 election, the Union Party had 8 seats; Republican Party, 8; Social Democrats, 7; People's Party 7. The Independence Party and the Center Party had one seat each. The islands elect two representatives to the Folketing (Danish parliament).

In keeping with the islands' name, sheep raising was long the chief activity, but in recent years the fishing industry has grown rapidly. The total fish catch was nearly 360,000 metric tons in 1996; fisheries exports generated 94% of the territory's $471 million in exports in 1999. Principal varieties of fish caught are cod, herring, and haddock; almost the entire catch is exported. Exports go mainly to Denmark (32%), the United Kingdom (21%), France (9%), Germany (7%), Iceland (5%), and the United States (5%). Imports valued at $469 million in 1999, come mainly from Denmark (28%), Norway (26%), Germany (7%), Sweden (5%), and Iceland (4%). Agriculture is limited to the cultivation of root vegetables, potatoes, and barley, and contributed 27% to the gross domestic product (GDP) in 1999.

The economy is regulated by an agreement with Denmark whereby the central government facilitates the marketing of Faroese fisheries products and guarantees to some extent an adequate supply of foreign currency.

Greenland

Greenland (Grønland in Danish, Kalaallit Nunaat in Greenlandic) is the largest island in the world. Extending from 59°46′ to 83°39′ n and from 11°39′ to 73°8′w, Greenland has a total area of 2,166,086 sq km (836,330 sq mi). The greatest n–s distance is about 2,670 km (1,660 mi), and e–w about 1,290 km (800 mi). Greenland is bounded on the n by the Arctic Ocean, on the e by the Greenland Sea, on the se by the Denmark Strait (separating it from Iceland), on the s by the Atlantic Ocean, and on the w by Baffi n Bay and Davis Strait. The coastline measures 44,087 km (27,394 mi). The ice-free strip along the coast, rarely exceeding 80 km (50 mi) in width, is only 410,449 sq km (158,475 sq mi) in area. The rest of the area, covered with ice measuring at least 2,100 m (7,000 ft) thick in some places, amounts to 1,755,637 sq km (677,855 sq mi). Greenland has a typically arctic climate, but there is considerable variation between localities, and temperature changes in any one locality are apt to be sudden. Rainfall increases from north to south, ranging from about 25 to 114 cm (10–45 in). Land transport is very diffi cult, owing to the ice and rugged terrain, and most local travel must be done by water. SAS operates flights on the Scandinavia-US route via Greenland, and tourists are being attracted by Greenland's imposing scenery.

The population, grouped in a number of scattered settlements of varying sizes, was estimated at 56,376 in 2002, down from 58,203 in 1996. Greenlanders are predominantly Eskimos, with some admixture of Europeans. The Greenlandic language, an EskimoAleut dialect, is in official use. Most native Greenlanders were engaged in hunting and fishing, but a steadily increasing number are now engaged in administration and in private enterprises. The Europeans chiefly follow such pursuits as administration, skilled services, and mining.

The Vikings reached Greenland as early as the 10th century. By the time Europeans rediscovered the island, however, Norse culture had died out and Greenland belonged to the Eskimos. Danish colonization began in the 18th century, when the whale trade flourished off Greenland's western shore. In 1933, the Permanent Court of Arbitration at The Hague definitively established Danish jurisdiction over all Greenland. Up to 1953, the island was a colony; at that time it became an integral part of Denmark. Greenland held that status until 1979, when it became self-governing after a referendum in which 70% of the population favored home rule. The 31 members in the Landsting (parliament) are elected by popular vote on the basis of proportional representation. In the election held November 2001, the left-wing Siumut Party won 10 seats; Inuit Ataqatigiit, 8; the right-wing Atassut Party, 7; the Demokratiit, 5; and the Katusseqatigiit, 1. Greenland elects two representatives to the Folketing; following the December 2002 election, the representatives were from the Siumut and Inuit Ataqatigiit parties.

Fishing, hunting (mainly seal, and to a lesser extent fox), and mining are the principal occupations. Greenland's total fish catch in 1994 was 112,576 tons, and fisheries exports were valued at $267 million. Agriculture is not possible in most of Greenland, but some few vegetables are grown in the south, usually under glass.

At Ivigtut, on the southwest coast, a deposit of cryolite has long been worked by a Danish government-owned corporation, but reserves are believed to be nearing depletion. The government has a controlling interest in the lead-zinc mine at Mestersvig, on the east coast. Production began in 1956 and has continued sporadically. Low-grade coal mined at Disko Islands, midway on the west coast, is used for local fuel needs. Mining activities ceased in 1990 but exploration activity has revealed the potential for economic exploitation of antimony, barite, beryllium, chromite, coal, colombium, copper, cryolite, diamond, gold, graphite, ilmenite, iron, lead, molybdenum, nickel, platinum-group metals, rare earths, tantalum, thorium, tungsten, uranium, zinc, and zirconium. Fish and fish products make up the bulk of exports. Raw materials are administered jointly by a Denmark-Greenland commission. Underground resources remain in principle the property of Denmark, but the Landsting has veto power over matters having to do with mineral development.

A US Air Force base is situated at Thule, in the far north along the west coast, only 14°from the North Pole; Greenland also forms part of an early-warning radar network. An international meteorological service, administered by Denmark, serves transatlantic flights. In 1960, a 1,500-kW atomic reactor was set up in northern Greenland to supply electric power to a new US scientific base built on the icecap, 225 km (140 mi) inland from Thule.

BIBLIOGRAPHY

Annesley, Claire (ed.). A Political and Economic Dictionary of Western Europe. Philadelphia: Routledge/Taylor and Francis, 2005.

Decent Work in Denmark: Employment, Social Efficiency and Economic Security. Geneva, Switz.: International Labour office, 2003.

International Smoking Statistics: A Collection of Historical Data from 30 Economically Developed Countries. New York: Oxford University Press, 2002.

Kinze, Carl Christian. Marine Mammals of the North Atlantic. Princeton, N.J.: Princeton University Press, 2002.

Miller, Kenneth E. Friends and Rivals: Coalition Politics in Denmark, 1901–1995. Lanham, Md.: University Press of America, 1996.

Pasqualetti, Martin J., Paul Gipe, Robert W. Righter, (eds.). Wind Power in View: Energy Landscapes in a Crowded World. San Diego: Academic Press, 2002.

Wessels, Wolfgang, Andreas Maurer, and Jürgan Mittag (eds.). Fifteen into One?: the European Union and Its Member States. New York: Palgrave, 2003.

DENMARK

Kingdom of Denmark

Kongeriget Danmark

COUNTRY OVERVIEW

LOCATION AND SIZE.

Denmark is in Northern Europe, bordered primarily by the Baltic Sea and North Sea. It consists of the peninsula of Jutland, north of Germany, and close to 406 islands, about 80 of which are inhabited. The most populated and largest of the islands is Zealand, where the country's capital can be found; Funen; and Jutland. Denmark occupies 43,094 square kilometers (16,621 square miles), a little less than twice the size of Massachusetts. Germany shares 68 kilometers (42 miles) of border with Denmark, and the other 7,314 kilometers (4,545 miles) is coastline. In 1 July 2000, the Øresund Bridge was completed, connecting Denmark and southern Sweden. The Kingdom of Denmark also includes the island of Bornholm in the Baltic Sea, and the territories of Greenland and the Faroe Islands.

POPULATION.

Denmark's population in 2000 was 5,336,394, and was projected to fall to around 5,200,000 in 2025. From the late 1960s to the present, the fertility and mortality rates have been declining. Average life expectancy at birth has increased, but it is notable that life expectancy for men and for women in Denmark is still lower than all of its neighbors, especially for women (in 1999 life expectancy for women was 78.3, while in the United States it was 80.1). The overall population growth rate has been consistently low at 0.31 percent.

The Danish population is extremely homogenous. As of 2000, 97 percent are Danes (ethnic Scandinavians), and the rest are Inuit (Eskimo), Faroese, and Germans. The proportion of elderly people in the population has been increasing as well, with the result that in 2000 only 18 percent were under 14, and 15 percent were over 65.

The population is highly urbanized, with around 85 percent living in cities. However, population density is low compared to places such as the United States and European countries farther south. It is worth noting that to be classified as "urban" in Denmark, a settlement needs only 250 people (compared to Greece, where "urban" is defined as a settlement of 10,000 or more). Urbanization has slowed in the 1990s, with some Danes reversing the pattern and moving back to rural areas.

OVERVIEW OF ECONOMY

Denmark has a technologically advanced free-market economy, mainly involved in high value-added production such as processing and finishing products, rather than extracting and producing raw materials. Main exports are industrial products, followed by agricultural products— chiefly livestock-based products such as cheese, pork, and other meats. Denmark's reliance on export trade has meant that its economy has been sensitive to fluctuations in world demand, although its generous welfare state policies since the 1960s have cushioned the population from suffering much from this volatility. Because of its geographic location, Denmark is an important distribution point for Eastern Europe, Scandinavia, England, and the rest of Europe.

Denmark's high-tech agricultural sector is the latest development in a long history of Danish farming. Before the late 1800s, Denmark's chief agricultural products were grains, but at the end of the 1800s an influx of cheap grains from the Americas and Russia caused prices to plummet. Danish farmers, supported by the government and the Folk High School Movement (a cultural and educational movement that encouraged knowledge-sharing, adult education, and agricultural research and reform, especially in rural areas), switched to livestock production, feeding their animals on the cheap grain. Danes developed an industry making processing machinery for its agricultural products. By the 1960s, industry had overtaken agriculture as the largest sector of the economy.

From the 1960s to the 1980s, the Danish economy followed a fairly regular cycle: increases in wages and benefits raised costs for firms, which led to price hikes and thus less ability to compete in foreign markets. This upset Denmark's balance of trade , as the high wages raised demands for imports, so the government would attempt to control rising consumption, usually by tightening credit and imposing a new tax. The 1970s and 1980s saw labor, political, and economic troubles as the government attempted to impose austerity measures such as harsh savings programs. Strong public opposition (including labor strikes) to various plans led to the repeated dissolution of the ruling coalition governments. After 1973, rising oil prices and the international recession led to high unemployment and low domestic demand.

External debt stayed high during the 1980s, consisting mainly of bonds bought by outside investors that required interest payments by the government. However, the extent of debt was not enough to discourage foreign investors, thus Danish business did not have to worry about financing drying up. While Denmark's balance of trade was positive from 1990 to 1997, that surplus was used to pay off the debt, which gradually fell from over 40 percent of GDP in 1990 to 24 percent in 1997. The budget deficit was not eliminated until the mid-1990s, but since then government has generally run a small surplus.

Businesses in Denmark are mainly small- and medium-sized. Over 75 percent of Danish industrial companies employ fewer than 75 people. Most farms are family-owned, a tradition that was partly supported by a law prohibiting public companies from owning farms. This prohibition was lifted in 1989. The increasing accessibility to consumers in Europe has begun to encourage Danish businesses to look at ways to supply these consumers on a larger scale, including the possibility of merging small companies together into larger ones, as well as developing networks of coordination and communication between several companies.

Across most of the political spectrum, Danes are committed to ensuring a basic level of economic equality, which has been the impetus behind the creation and maintenance of a large and generous welfare, social security, national health care, and education system. The public sector in 1999 employed close to 800,000 people, over 25 percent of the labor force . Since the 1960s, the public sector has ensured that despite economic fluctuations, everyone in Denmark has completely free access to health care and education, as well as unemployment benefits, sick leave, parental leave, and housing and childcare subsidies . Although unemployment has been one of Denmark's most persistent problems, in the new century it has fallen remarkably, to a current low of just under 6 percent.

In 2000, Denmark opted out of the final stage of the European Monetary Union (EMU), choosing to keep their own currency rather than join the euro. However, as the krone is closely tied with the euro, the Danish economy is not autonomous. Arguments against the EMU in Denmark mainly accentuate the need to retain political autonomy. These opponents stress that integration into the EMU could result in a threat to Denmark's commitment to economic equality and the environment, especially if Danish businesses were required to compete with those based in countries which do not require them to comply with similar environmental or labor regulations.

POLITICS, GOVERNMENT, AND TAXATION

Queen Margarethe II is officially the head of state, but actual power resides in the prime minister and his or her cabinet (called "the government" in Denmark and virtually all other parliamentary systems, and similar to a U.S. "administration") and the Folketing (the parliament). The Queen formally appoints the prime minister and the cabinet, but this appointment is always the result of behind-the-scenes maneuvering and coalition-building after a general election. The prime minister is accountable to the Folketing for his or her actions. Most ministers have their own ministries, (such as the Ministry of Finance or the Ministry of the Environment), but some individual ministers may be selected without being assigned to a specific ministry. Legislation is created cooperatively by the Folketing and the government. Proposals for laws are considered twice in the Folketing, and if approved, must then be approved by the Queen and the government. The Queen is not independent from the government in approving legislation, but rather acts under its advice.

The Folketing has 179 seats; members are elected by proportional representation (voters elect parties rather than individuals, that receive a number of seats in the legislature proportional to the percentage of votes received). This system encourages the proliferation of political parties that may form coalitions not only to form governments, but to pass legislation in the Folketing. The prime minister can call an election at any time in the hopes of gaining more seats for the ruling coalition. And as in virtually all parliamentary systems, new elections may be called if there is a vote of no confidence in the Folketing, although this has not happened since 1909. The minimum level of popular support necessary for a party to be represented in the Folketing is 2 percent (corresponding to 3 or 4 seats), and 2 seats each are reserved for representatives from the Faroe Islands and Greenland.

Like much of Scandinavia, Denmark has a good record on women's representation in government and politics at both the local and national levels. In the government in the year 2000, 35 percent of cabinet ministers were women, as were 37 percent of the Folketing (compared with the United States in 2000, where women were 41.4 percent of the cabinet but only 12 percent of Congress).

Since 1973, there have been 10 major political parties. Underlying all but the most extreme right wing of the parties is the Nordic emphasis on the importance of economic equality, ensured by strong social welfare programs. The issue of whether or how to join the European Community has been important to all the parties over the past 20 years, but does not divide them according to traditional "right-left" alignments.

The parties in the government in 2001 were elected in March 1998. The ruling coalition is comprised of the Social Democratic Party (65 seats), the Socialist People's Party (13 seats), the Radical Liberal Party (7 seats), and the Unity Party (5 seats); in the opposition are the Liberal Party (43 seats), the Conservative Party (17 seats), the Danish People's Party (13 seats), the Center Democratic Party (8 seats), the Christian People's Party (4 seats), and the Progress Party (4 seats).

The Social Democrats and Socialist People's Party do not wish Denmark to rely solely on market forces to organize the economy, and place a priority on equalizing income distribution and living standards. Trade unions are especially associated with the Social Democrats. The Radical Liberals (Det Radikale Venstre) are to the right of Social Democrats, and want to curb public spending, lower income tax rates for high earners, and reduce benefits for the unemployed. The Unity Party or Unity List is an alliance of far-leftist and environmental groups, to the left of the Social Democrats.

The Conservative Party (CP) has been generally gaining in popularity since the mid-1970s, although its peak was in the 1980s. Representing especially the interests of business and property owners, the Conservatives emphasize the rights of ownership while trying to reduce power of trade unions. While still supporting a welfare state, the CP wants to limit public spending on social programs, but increase spending on defense. The CP is fairly pro-European integration. The Liberal Party (Venstre) is close to but more extreme than the conservatives in wishing to reduce government spending and power, and are strongly pro-European integration. The Danish People's Party (DPP) is a nationalist party for ethnic Danes, against immigration and suspicious of refugees. They are strongly anti-European integration, although they support free trade and market-based agricultural policy. The DPP are for social welfare programs, but only for Danish citizens, and also support abolishing or greatly reducing property, inheritance, and other taxes. The Center Democratic Party wants fewer taxes, especially for individuals. They do support social welfare programs and are also pro-Europe. The Christian People's Party (CPP) was formed in response to the late-1960s legalization of abortion laws and lessening of restrictions on pornography, both of which they oppose. They want to decentralize political decisions, avoid special interests, and emphasize protecting the environment and quality of life. They have historically had a small share of popular vote, usually just above the 2 percent threshold required for representation in the Folketing. The Progress Party (PP) was founded in 1990, an extreme right-wing party with a reputation for unruliness. Their main platform is to abolish income taxes and greatly reduce government spending, and to restrict immigration. Against joining the European Union, their arguments often alienate more tolerant Danes, while some of their leaders and members have espoused more explicitly racist attitudes. Many of the other parties are reluctant to form a coalition with them.

In 1997, the public sector employed around a quarter of the workforce, and provided health care, welfare, social security, education, and administration of the government. Government-owned businesses are also still important to the economy, although there has been increasing privatization in recent years. Recently privatized businesses include a life insurance company (now totally private), the national telecommunications company TeleDanmark (totally private), Copenhagen Airport (now 49 percent private), and the computer services company Datacentralen, 75 percent of which was sold to the U.S.-based Computer Sciences Corp. The large Postal Service and Danish State Railroads companies have also been turned into private companies, although the government actually owns these firms. Some other public services such as sanitation, cleaning, and catering to public institutions are also being privatized.

The value-added tax (VAT) is the main source of government revenue, accounting for over one-quarter of total revenue in 1998. At 25 percent, it is one of the highest VAT rates in the world. Income tax is also high. In 1999, the marginal income tax rate was 40 percent for taxable incomes up to $21,500, while the highest bracket was about 60 percent for taxable incomes of more than $37,000. In 2001, 40 percent of all Danes in full-time employment were in the highest tax bracket. The Danish government, fearing an economic slowdown, is beginning to shift its tax burden somewhat away from individual incomes. "Green taxes" on pollution and to enforce environmental regulations are expected to make up some of the difference, and are already generating significant revenues; in 1995 over 8 percent of tax revenue came from environmentally-related taxes (over 2 percent of GDP). In the same year in the United States, only 4 percent of tax revenues came from environmentally-related taxes (less than 1 percent of GDP).

Even though most Danes must give almost half of their salaries to the government as income tax, they get most of it back in the form of free, high-quality health care, education, and transfer payments . For example, in 1996, 47 percent of the DKr386 billion collected by the national government was returned to the public in the form of transfer payments such as unemployment and sickness benefits, old-age pensions and housing subsidies. Some 60 percent of all government revenues from taxes in 1996 were spent on the health service, while transfer payments accounted for 40 percent of total public revenues (22 percent of GDP).

At 32 percent, corporate taxes are high. Denmark plans to reduce them to 26 percent by 2002. However, contrary to many economists' predictions, Denmark's high corporate tax rate has not discouraged foreign investment. In a surprising situation that suggests that there must be multiple reasons why foreign companies choose to invest, Denmark in 1997 showed an increase in foreign investment that was an amazing 308 percent—al-most 10 times that of the European Union as a whole.

The Danish currency is pegged in a fixed exchange rate with the euro, so interest rates nearly always follow the European Central Bank. This relationship changed slightly after the referendum in 2000 when the Danes narrowly voted to reject the last stage of the EMU and keep their own separate currency. After the referendum, the Danish national bank raised its interest rates, which encouraged people to borrow less (since interest on loans was higher), and thus reduced the amount of money in circulation. As money became scarcer, its value increased, and the bank prevented the krone from devaluation . However, the krone has never been allowed to fluctuate beyond the level allowed by the exchange rate mechanism (ERM).

Denmark was the first country to establish a Ministry for the Environment, in 1972. Danes spend more per capita on environmental protection than most nations in the world. This has also inspired the development of a local industry of pollution control equipment, which is now a significant international force. This environmental focus has also affected the Danes' relation to European integration. Many have feared that joining the European Union (EU) would require them to lower their standards of environmental protection in order to remain in line with the other EU nations. Other than environmental protection laws, there are few regulatory controls on the economy.

INFRASTRUCTURE, POWER, AND COMMUNICATIONS

Denmark has a thoroughly modern and extensive infrastructure . Its numerous islands have encouraged the development of a network of ferry services in domestic waters with 415 kilometers (258 miles) of waterways. A well-maintained road and rail network includes 71,437 kilometers (44,388 miles) of highways (including 843 kilometers, or 524 miles, of expressways), and 2,859 kilometers (1,773 miles) of railways which serve almost every town. Some 508 kilometers (316 miles) of the railways are privately owned, while the rest are owned by the state.

In cities, environmental concerns have encouraged bicycle riding for all. Urban traffic is minimized by legislation requiring nearly all new shops be built within the existing commercial centers of cities, towns, and villages. Additionally, most new workplaces are required to be a short walking distance from a transit stop. Shops, offices, and factories must make accommodations for bicyclists and pedestrians. As a result, in 1998 less than one-third of travel within cities was via cars and trucks, and motorized traffic in the city centers had increased very little over the past 25 years.

As of 1999, Denmark had one of the world's highest density air networks, with 28 paved-runway and 90 unpaved-runway airports. Air service for Denmark, Norway, and Sweden is provided by Scandinavian Airlines Systems (SAS). Copenhagen Airport was voted "World's Best Airport of 2000" by the International Air Transport Organization, the same year that also saw the completion of the 7.8-kilometer Øresund bridge linking Denmark with Sweden.

Danes consumed 33.03 billion kilowatt-hours (kWh) of electricity in 1998, importing 2.68 billion kWh, and exporting 7.1 billion kWh. Most of the imported fuel is coal, which in 1998 amounted to 6.3 million tons. Denmark is shifting further away from coal use, as the 1998

figure is 60 percent lower than it was just 2 years earlier. Since the discovery of oil and natural gas reserves in the 1960s, Denmark was self-sufficient in oil production by the 1980s. In 1998 oil production was 238.35 million barrels per day (bpd) with exports of 8.98 million bpd, while natural gas production was 267.68 billion cubic feet (bcf), and exports were 95.35 bcf. The state owns significant shares in both oil and natural gas extraction, although the giant Maersk/A.P. Møller Corporation is also a dominant figure. Overall, in 1998 Denmark generated 4.27 billion kWh of electricity. Fossil fuel from its own reserves accounted for 90.8 percent of this electricity, hydroelectric power for 0.07 percent, and the remaining 9.13 percent was generated by other means, including wind power. Denmark has, since 1980, banned nuclear power, and focuses much research and development on conservation and alternative energy sources.

Denmark has an excellent telecommunications system based on 3.20 million telephone lines (1995). Cellular phone ownership increased by 304 percent from 1993 to 1997, and in 1999, such telephones were owned by 49 percent of the population, including nearly every person between ages 17-25. Cell phone ownership per capita in 1997 was 190 per 1,000, as compared to the U.S. figure of 128 per 1,000. Denmark's burgeoning IT services industry is supported by high Internet connectivity; 90 percent of all businesses use some aspect of the Internet. The Danish government has strongly supported the development of personal as well as business Internet use. In January of 2001, the prime minister announced that the government intends to provide all households in Denmark with access to the Internet, while at that time nearly 50 percent of all households with a computer were already connected.

ECONOMIC SECTORS

In modern Denmark, the economic sectors of agriculture and industry are so closely linked that it is difficult to separate their influences. Both food and wood-based industries such as paper depend heavily on agriculture for raw materials while using sophisticated technology to process them. In addition, agricultural production itself is quite technologically advanced. The agricultural sector's highly technical nature means that its great productivity is generated by a small fraction of the total workforce—4 percent in 2000. In contrast, well over two-thirds of the workforce was employed in the service sector in the same year.

Agriculture in Denmark also includes forestry and fishing. The agricultural industry was Denmark's first engine of growth, especially its livestock production and forestry industry. Agriculture's economic influence relative to other sectors has basically been declining; by the 1960s, industry had surpassed it in terms of employment and percentage of GDP, and by 2000 agriculture made up 3 percent of GDP. Despite the small size of Denmark's agricultural sector today, it is comparatively highly productive, accounting for around 15 percent of exports in 1999. In 1998, Denmark was the world's seventh-largest producer of pork, while the Danish fishing industry was the second-largest in Europe.

The lack of raw materials other than agriculture (until the discovery of oil and natural gas in the 1960s), meant Denmark's industries developed as secondary production and processing concerns, usually specializing in narrowly-defined fields. This has led to the predominance of small-or medium-sized firms making niche products, often with a high-tech or design focus. For example, in a small design-oriented field such as furniture making, Denmark excels—in 1998 accounting for 20 percent of furniture exports by EU countries. The complexity and versatility of this organization of the industry has somewhat sheltered the Danish manufacturing industry from fluctuations in the world market. Alongside food processing and agro-industry, chemicals and engineering are important industries, and electronics are increasing in significance. Denmark's position in the North Sea has led to the development of a strong shipbuilding sector—it is currently the world's third-largest shipbuilder after Japan. The general trend in the manufacturing industry is that work-and material-intensive industries such as food processing, textiles, and metals decline or stagnate, while knowledge-and technology-based industries such as chemicals, electronics, and engineering have been expanding. Industry contributed about one-quarter of GDP in 2000. The sophisticated technology of much of Denmark's industrial sector has meant that high or increasing productivity does not always correspond with high or increasing employment. Over the past decade, the percentage of the workforce employed in manufacturing has remained fairly constant at around 25 percent.

In 2000, Denmark's services sector contributed more than two-thirds of GDP. Private services accounted for around two-thirds of productivity, and public services the remaining one-third. However, many private services are in fact subcontracted to public institutions. The majority of public services are in health, welfare, and administration. In the service sector as a whole, business services and wholesale/ retail trade accounted for the most productivity growth. Wholesale and retail trade is the largest employer in private services, in 1997 accounting for a little over half of service sector employment. Between 1992 and 1998, the service sector saw a 12 percent increase in employment. Public services have consistently accounted for nearly one-third of employment in services (mostly in health and education) over the past decade, while telecommunications and business services have slowly increased their share of employment.

AGRICULTURE

Denmark is the only country in the Baltic region with a net export of agricultural products, producing 3 times the amount of food it needs for itself. A good percentage of arable land and moderate climate has been conducive to agriculture, but the sector's extremely advanced technology and infrastructure are what have made it so productive in recent years. Although agriculture's role in the Danish economy has steadily decreased as industrialization and economic development has progressed, it is still essential as a source of foreign currency, a direct and indirect source of jobs, and as a supply of everyday foodstuffs.

The increasing mechanization of agriculture, combined with changes in farm management and organization, plus the draw of industrial employment in the cities, has meant fewer people are required to farm ever-increasing quantities of land. Farm sizes have increased, and the number of individual farms has dropped dramatically since the 1950s. From the 1970s into the 1990s, 2,600 individual holdings disappeared every year, absorbed into larger farms. In the first half of the 20th century Denmark had around 200,000 individual farms, averaging 16 hectares in size; by 1997, there were about 60,900 farms averaging 43.6 hectares. Family-run farms are still dominant in Denmark, where even in 1997, some 91 percent of farms were family-owned and run, 7 percent company-owned, and the rest owned by the state, local authorities, and foundations. Along with increasing farm size, the typical farmer has to an increasing extent concentrated on one sole branch of farming, and specialization in animal production has led to fewer types, but larger numbers, of livestock.

In 1996, primary forestry occupied approximately 3,000 employees, while forestry formed the basis for most of the work for around 34,000 employees in the wood manufacturing industry. Denmark is Europe's primary supplier of Christmas trees. Profits from forestry have historically been invested both in modernization of the industry and in investment in other industries. The state is the largest owner of forests, with one-third of forested land under its control. The rest is owned by a multitude of private companies, individuals, and institutions.

In the early 1990s, Denmark was among the top 10 to 15 fishing nations in the world, catching 1.6 million tons in 1993. Industrial fishing (catching fish for industrial use, i.e. producing fish meal and fish oil) has been the most important branch of fishing with a total catch in 1993 of 1.2 million tons. In 1993, the export value of the fishing industry was around DKr10 billion, corresponding to some 4 to 5 percent of Denmark's total exports.

Environmental legislation has been on the increase in the past decade, some of which has directly affected productivity. For example, the greater emphasis on forests and parks has meant that some land had to be turned away from farming use. New restrictions on waste disposal and contamination have also forced some farmers to limit or end production.

INDUSTRY

MANUFACTURING.

In 1996, 45 percent of the manufacturing industry's total production went to export, corresponding to 75 percent of total exports. Mechanical engineering production, especially of electronic goods, was an increasing proportion of the sector's value, and also created some 12,400 new jobs between 1980 and 1996. Nearly all Danish electronics production is exported, including products such as measuring instruments, microphones, equipment for tele-and radio communication, computer networks, power units, engine controls, and hearing aids. Food, drink, and tobacco production/processing, by contrast, has declined between 1993 and 1997 from around 30 percent to around 25 percent of production in manufacturing. The Carlsberg beer company is the most significant producer of beverages, in 1998 having a turnover of DKr29.3 billion and employing 20,500 workers. The largest employers in manufacturing are the makers of metal products, machinery, and equipment; the food-processing industry (bacon factories, dairies, corn mills, and breweries); the paper and graphic industries; and manufacturers of transport equipment, especially shipbuilding. A significant percentage of workers are also employed making wood and wood products.

CHEMICALS.

The chemical industry has also grown through the last decade, and in 1999 accounted for 24 percent of all chemical production in the EU. Denmark, in 1996, was the world's second-largest per capita exporter of pharmaceuticals, with exports valued at almost DKr15 billion. Novo Nordisk, despite its status as one of the largest chemical companies, is still in many ways typical of Danish industrial style: a high-tech, highly-specialized firm, investing heavily in research (in this case on insulin, hormones, and enzymes), exporting 98 percent of its products.

ELECTRICITY, COAL, GAS, AND OIL.

Denmark is the third-largest oil producer in Western Europe, in 1998 producing 233.35 million barrels per day (bpd) of petroleum, while in the same year natural gas reserves produced 267.69 billion cubic feet (bcf) per year. Natural gas exports at that time were over 95 bcf per year, primarily to Sweden and Germany. Danish oil and gas production in 1998 was worth just over DKr30 million. In 1999, the energy and water industries together employed 17,000 people. Maersk/A.P. Møller, the largest company (of any kind) in Denmark, is heavily involved in oil production, although it began as a shipping concern. Statoil (owned by the state of Norway), and the American-based multinational Amerada Hess are the other significant operators in this industry. At the end of the century, Denmark was still opening up new areas of the North Sea for exploration, and it is possible that new reserves will be discovered. The government retains its shares in some oil industries, and licenses the right to explore and extract.

CONSTRUCTION.

The construction industry illustrates the trend of a decline in work-intensive manufacturing. Devastated in the 1970s and 1980s by a severe fall in house building, production, and employment in this construction fell considerably and stayed low through the late 1990s. The value of construction products fell from 12 percent of GDP in 1972 to 6 percent in 1996. Over that time, employment fell by 43,000. The building and construction industry is mainly made up of small companies in which independent (paid) and assisting (unpaid) spouses constitute a relatively large proportion of those employed. The rapid decline in this sector in Denmark has in the first half of the 1990s led to the industry being more export-oriented, partly through Danish firms increasing activity in Germany. Construction has shifted somewhat from mainly making new buildings (which had accounted for 47 percent of its work in 1970) to a greater focus on repairs and maintenance, which grew from 23 percent in 1970 to 38 percent of construction work in 1999. New building construction in that time frame fell to 32 percent.

SERVICES

TOURISM.

In 1997, 2.2 million tourist arrivals in Denmark were recorded (a 4 percent increase from 1993). In 1999, tourism generated around DKr44 billion in revenues, an increase of 1 million from the year before. This made it the third-largest sector after industry and agriculture. The attractions most visited by tourists are Tivoli Gardens (Copenhagen), Lego Land (Billund), Hans Christian Andersen's House and Museum (Odense), and the Viking Ship Museum (Roskilde). Old manor houses and castles are also popular destinations, while Copenhagen harbor was in 2000 one of the most popular stops on European cruises.

Tourism employed over 70,000 (1999) people full-time in the facilities described above, as well as 650 hotels, 30 inns, 525 registered campsites, and over 100 youth hostels. In 1998, the Danish Ministry of Business and Industry, SAS, the Danish Tourist Council, and other tourism interest groups joined forces with local authorities to promote Denmark as a tourist destination for businesspeople and wealthy weekend tourists from the United States, Germany, Southern Europe, Sweden, and Russia. The 3-year international marketing project was estimated to cost a total of US$7.7 million, of which SAS was to pay US$4 million, the Ministry of Business and Industry US$1.3 million, and the rest will come from various municipalities.

WHOLESALE AND RETAIL TRADE.

Employment in the service sector is dominated by the wholesale and retail trades, with 441,000 people in 1998. However, employment has declined since the 1970s, as the sector has seen considerable vertical integration (an overall integration of retail, wholesale, and in certain cases production sectors). Moreover, 1980s-era mergers within the sector (horizontal integration) have marked both areas, leaving wholesale and retail highly concentrated (with a few firms dominating the market). In 1995, 4 percent of firms accounted for about 75 percent of the total turnover. In 1998, there were 8 wholesalers operating domestically, the largest 2 of which were Maersk and the cooperative FDB, which together accounted for 61 percent of the market in 1998. Total transactions in 1998 amounted to US$10.7 billion. In retail, even though a few large players dominate the industry as a whole, there are still a large number of small shops; 3 out of 4 retail shops are one-person businesses, while the remainder are mainly small companies or cooperatives.

TELECOMMUNICATIONS.

Growth in postal and telecommunications services was larger than any other business sector; from 1992 to 1998 productivity grew by 44 percent. Deregulation of the industry, beginning in 1986, paired with strong research and development supported by the government allowed firms to take advantage of new technologies. However, technological advances have meant that growth was not accompanied by much of a rise in employment, which in 1996 was 45,000 people, the same as in 1986. The major telecommunications companies are at least partly-owned by foreign companies. TeleDanmark, in which Ameritech (U.S.) owns a controlling interest, and Sonofon cellphones, almost half of which is owned by Bellsouth (U.S.), together account for over 75 percent of the market.

FINANCIAL SERVICES.

Between 1989 and 1996 there was a one-third decline in the number of domestic bank and financial institution branches. This was mainly due to Denmark's banks being burdened by a number of bad debts in the early 1990s. Since 1994, the improvement in both Denmark's economy and the banks' lending policies has contributed to more stability in the industry, along with a number of consolidations among the country's banks. The reduction of branches of institutions coincided with a 14 percent decline in the number of employees over the same 7 years. In 1998, Denmark had 95 banks with assets of US$216 billion, while total assets of the 5 largest banks totaled US$179 billion, over 80 percent of total banking sector assets. The 2 largest banks, Den Danske Bank and Unidanmark-Gruppen, also operate as financial "supermarkets" offering a wide range of financial services, and account for 50 percent of the financial service market. Danish banks are technologically sophisticated, and have invested heavily in computers and the development of electronic transfer systems, in 1998 adopting one of the first nationwide electronic payment card systems (Dankort). Employment in business services has been increasing throughout the last decade; by 1999, 326,000 people worked in the financial services sector, with Den Danske bank employing 11,409 people, and Unidanmark-gruppen employing 9,960.

TRANSPORTATION.

Road transport, both trucking/hauling and personal transport such as taxi services, dominates the domestic transportation sector. Road transport in 1996 generated just under half of the total revenues from the transport sector, while the remaining value was divided among other types of the transport: shipping (16 percent), railways (11 percent), and aviation (7 percent). The transport sector created around 9 percent of Denmark's GDP and 7 percent of total employment in 1996. Activity in the sector as a whole has risen steadily and at a faster rate than overall productivity since the 1980s. Production value in the sector rose by 74 percent between 1986-1996. In 2000, over half of Danish international trade was by road, and most of the remainder by sea. Denmark's increasing expertise in making high-tech liner and tanker ships has helped the shipping sector in recent years. Shipping accounts for most of Denmark's international freight traffic, and the country's almost 600-vessel merchant fleet is the fourth-largest in the European Union. Denmark's Maersk shipping line bought the U.S.-based Sea-Land Services in 1999 to become the largest container shipping line in the world.

INTERNATIONAL TRADE

Denmark is one of the most trade-oriented economies in the world. As a base for exporting, Denmark has many advantages. Its key location as the only Scandinavian country connected to mainland Europe, plus its position on the Baltic sea, gives it access to lucrative markets for both EU and non-EU countries. Its extensive infrastructure and well-educated, high-skilled workforce also help promote trade and foreign investment.

Germany is currently Denmark's most important export destination, followed by Sweden and the United Kingdom. Exports to these 3 countries totaled 41.7 percent of Danish exports in 1997. The United States is the largest trading partner outside the EU, and accounted for almost 5 percent of Denmark's total trade value in 1997. Over one-third of Danish industrial exports are machines and instruments, while pharmaceuticals, energy (especially oil), meat, and meat products make up the rest.

Denmark's main imports are raw materials and unfinished products that are used in its own industrial sector. In 1997, imports for the industrial sector were about 70 percent of total imports, while the rest were consumer products, including cars. Of the services imported, computer software and management consulting are very important. Imports from Germany, Sweden, and the UK account for 42 percent of total imports.

The early 1990s were a difficult time for Danish international trade as its 3 most important markets—Ger-many, the UK, and Scandinavia—were all performing sluggishly. More recently trade has increased, especially due to a depreciation of the Danish krone. The krone is expected to remain stable through the next few years, which may reduce the growth in exports. However, Denmark is currently exporting more than it imports in all 3 sectors: industry, agriculture, and services.

MONEY

Since the 1980s, Denmark has pursued a fixed exchange rate linked to the German mark. On 1 January 1999, monetary policy was linked to the new European Central Bank. In September 2000, Denmark opted out of the European Monetary Union's (EMU) third phase (establishment of a joint EU currency and relinquishment of jurisdiction over monetary policy), although the country's economic performance exceeds the established criteria for membership. This was due to resistance on the right, especially from nationalist groups who wish to retain the Danish currency and not tie its economy so closely to that of Europe, and equal resistance on the left, where many fear that equalizing human rights and environmental regulations with the EU will chip away at the Danish welfare state and its environmentally-conscious business practices.

The National Bank of Denmark (Danmarks Nation-albanken) is the only bank of issue in the country and enjoys a special status as a self-governing institution under government supervision. Profits in the National Bank

revert to the state treasury. Although Denmark has retained its own currency, separate from the EU, its currency is so closely tied to the euro that monetary policy often closely follows the European Central Bank. The National Bank lends to smaller banks and to the central government, and is responsible for administration of the foreign exchange policy.

The Copenhagen Stock Exchange (CSE) was established in the capital in 1861, and in 1999 had 233 listed companies. At the end of 1999 its market capitalization was US$105.29 billion. The CSE was a pioneer in computerized trading, being the first in the world to introduce electronic bonds and shares.

POVERTY AND WEALTH

The Gini Index measures the level of income inequality in a country, with 100 equal to total inequality (basically one person receiving all the income), and 1 indicating total equality (everyone having exactly the same income).

Raija Julkunen, a lecturer on social policy at the University of Jyväskylä, describes the differing U.S. and Nordic attitudes towards the role of the state: "American culture conceives citizenship and welfare as diametrically opposed, as if state-ensured welfare did not go along with a free society. In the Nordic countries, on the other hand, the notion of a welfare state has a positive ring to it. Only social rights—guaranteed minimum income, employment, education, health care—make citizens free and equal." The Nordic approach has succeeded in that there is virtually no poverty in Denmark.

Denmark's extensive social welfare system has existed in its current form since the 1960s, but has roots in Danish culture back to the 1930s. Because of Danes' long-standing preoccupation with economic equality, there is less of a difference between Denmark's high-in-come and lowest-income citizens than in the United States or many other countries. People who work in restaurants or cleaning buildings have free access to the same quality of healthcare as those who are lawyers, professors, or accountants. They have paid holidays, maternity

and paternity leave, sick leave, and unemployment benefits.

All families with children under 18 receive, irrespective of income, family allowances consisting of a regular, tax-free amount per child, with a higher rate for children under 7 years of age. Bread-winners who are single parents or pensioners can receive additional allowances per child. Families with children are entitled to free home help if the person who has the responsibility for the home and the children cannot manage it on account of, for instance, illness or confinement. Among other things, families living in rented accommodation can, depending on family income and the size of the rent, receive a housing benefit (in December 1998, there were 169,000 recipients).

According to sociologists Jens Hoff and Jorgen Goul Andersen in their article "The Danish Class Structure" in Acta Sociologica (1989), the concept of class is difficult to compare between countries with this kind of social system and countries such as the UK, the United States, or in less-developed countries. Class in Denmark is tied less to things like income and healthcare, and more to location, profession, and the kind of work engaged in, i.e. the amount of control over one's own responsibilities. Much of the Danish labor force works without much individual control over workplace decisions, without supervising others, and without much autonomy. This might make them working class by some definitions. However, these workers' quality of life is still very high by most standards, underscoring the impression that in Denmark, there is a lack of status distinctions between those who have high-skill or low-skill jobs.

One facet of the Danish welfare model has been the belief that benefits should not be tied to the kind of job one has, or whether someone is working or not. This approach has proven problematic as the country continually struggles with its unemployment rate—especially among the young. Critics argue that there is not enough incentive for people to choose to be employed rather than collect unemployment money. However, proposals of dramatic reductions in benefits are political suicide, as Danes are wary of what they might see as the sacrifice of a commitment to equality.

WORKING CONDITIONS

In 1999, the Danish workforce numbered 2.89 million, while the unemployment rate was 5.7 percent. The labor force is shrinking in Denmark. This is partly due to the aging of the population, as more workers retire than enter the workforce each year. High income taxes combined with generous unemployment assistance also may dissuade many, especially young workers, from entering the work-force. The government is currently attempting to restructure its taxation system to change this picture, shifting the burden of taxation away from individual income.

The standard working week is 37 hours, with a minimum of 5 weeks mandatory vacation. Three-quarters of those in employment have a 5-day work week, while those out sick may be paid up to 90 percent of their wage (with a maximum of DKr2,556 per week).

Danish laws guarantee the right of workers to organize and all (except civil servants and essential service

workers) have the right to strike, as well as the right to bargain collectively. The government stands behind these rights, does not interfere with unions, and prohibits anti-union discrimination by employers. More than 75 percent of all wage earners are organized in trade unions, as are about the same percentage of salaried employees, and collective bargaining is very common. Strikes are also rather common; in 1997, 101,700 workdays were lost due to labor conflict.

Mothers get extensive maternity leave—4 weeks prior to the birth of a child, and up to 24 weeks after— while fathers get paternity leave of 2 weeks after the birth. From the fifteenth week after the birth the mother can transfer all or a portion of her remaining maternity leave to the father. A tax-free benefit (known as the "children's check") is paid to the parents of all children 7 to 18 years old regardless of the household income. Denmark's child-care system enables either or both parents to work outside the home. In 1994, 80.3 percent of 3 to 6 year-olds were in childcare, (compared to 57.4 percent 10 years earlier). Women who used to be expected to care for their own children no longer face the same demand; in Denmark women's rate of participation in the workforce is very high—in 1995 89 percent that of men. In the same year women's salaries were 88.1 percent of men's.

COUNTRY HISTORY AND ECONOMIC DEVELOPMENT

1871. Denmark's socialist movement is officially founded, the start of a strong and diverse socialist tradition influencing Danish politics in the years to come.

1901. Change of political system to a constitutional monarchy, creating the Government (body of ministers selected by the queen) and the Folketing (representatives elected by the people).

1914-18. Denmark remains neutral during World War I.

1915. Constitutional reform; women and servants are enfranchised.

1933. Social reform movement begins, expanding the welfare and education system.

1940. Denmark occupied by Germany during World War II.

1941. United States establishes military bases in Greenland (with Danish ambassador's approval).

1945. Denmark liberated from Germany at the end of World War II.

1948. Faroe Islands, until this time part of Denmark, are granted home rule, which allows them control over domestic policy.

1949. Denmark joins North Atlantic Treaty Organization (NATO), a strategic military alliance of Western European and North American non- communist nations.

1960. Denmark joins European Free Trade Agreement (EFTA), which reduces or eliminates barriers to trade (such as tariffs ) between participants.

1967. Pornographic text and photography (excluding photos of children) is legalized, a sign of Denmark's progressive/permissive social attitudes; however, response to this and the stance on abortion leads to the founding of the Danish Christian People's Party.

1973. Compulsory National Health Insurance set up (replacing sickness benefits fund).

1973. Denmark joins the European Economic Community (EEC—an organization of states that lowered barriers to trade between them).

1976. Social Assistance Act introduces a unified structure of public assistance and benefits, partly needs-based.

1979. Greenland, formerly part of Denmark, is granted home rule.

1985. Greenland leaves EEC over fears of EEC regulations' effects on its fishing industry.

1985. Denmark joins the European Union.

2000. Danes reject final stage of European Monetary Union (EMU) in a referendum.

FUTURE TRENDS

Danish manufacturing remains a strong base for growth, especially as research and development help support its further extension into high-tech industry. The Danish government's support for the growing use of Internet services for both businesses and individuals bodes well for Danish flexibility and responsiveness to global market trends. Public investment in education, particularly in relation to computers and computing, also supports prospects for growing computer-related services.

Unemployment has been reduced for the present, but the main mechanism was to shrink the size of the work-force through early-retirement plans and state-funded sabbaticals. A smaller workforce drives wages up, raising production costs for many Danish businesses, which makes them less competitive internationally. This has affected Denmark's balance of payments , which has even dipped into negative territory in recent years. It is not clear what effect this will have on the economy, but if the government can manage to strike a balance, keeping inflation and interest rates low without hurting industrial competitiveness, then a small deficit may be an acceptable price to pay.

Denmark's greatest challenge for the future is due to its aging population. Its welfare and social security system will be severely strained by the demands of the growing population of elderly people and the shrinking work-force and sources of tax revenues. If nothing is changed, Denmark will not be able to maintain the standard of benefits it currently grants to its citizens. As most Danes are fiercely supportive of state guarantees of a standard of living, any government attempting to reduce those guarantees faces hostility and resistance. The current government has made some changes in the labor market (reducing and altering some benefits and pensions), but it is unclear how much the public in the highly-unionized workforce will stand for reductions in benefits or wages. The governing coalition must tread carefully if it is to make changes without seeming to compromise its commitment to material equality.

In October of 2000, Danes voted not to join the last stage of the European Monetary Union, and to keep its own currency. Despite the urging of Prime Minister Poul Rasmussen, the Danish public did not support the euro. However, the krone is still closely tied to the euro, and Denmark's economic decisions, particularly monetary ones, will be heavily influenced by the EU. Resistance to the EMU has been made more on political grounds than economic ones. There is some fear that opting out of the EMU will hurt prospects for foreign investment, which in the previous 5 years had increased dramatically in Denmark. The current government has demonstrated its friendliness to business by lowering corporate taxes and other business taxes, which may help to counteract any possible flight of investment. It is too soon to tell if either effect has come to pass.

DEPENDENCIES

GREENLAND.

Greenland (local name Kalaallit Nunaat) is the world's largest island, with an area of 2,175,590 square kilometers (840,000 square miles), slightly more than 3 times the size of Texas. Only 15 percent of the island is not covered in ice. There are no crops or trees, but there are many plants and flowers, as well as seals, fish, and reindeer. The population in 1998 was 54,100 with high birth and death rates. Greenlanders (Inuit and what the CIA World Factbook calls "Greenland-born whites") form the majority with 87 percent of the population, and the rest are Danish and others. Languages spoken are Greenlandic (East Inuit), Danish, and English. The 56 towns and villages on the island are mostly small; 40 have fewer than 500 people, and only 3 have more than 4,000. The administrative capital is Godthåb, called Nuuk in Greenlandic, with around 12,100 people.

Greenland was first a Danish colony in the 1300s, when Norway and Denmark were united kingdoms. In World War II, when Germany occupied Denmark, the U.S. and Danish ambassador in Washington D.C. agreed that U.S. troops could be stationed in Greenland. Some U.S. air bases remain there even now. A referendum (a nation-wide vote on a particular issue) in 1979 gave Greenland "home rule." Denmark has jurisdiction over foreign policy, defense, and justice, and there is joint authority over its oil and mineral resources. Greenland has its own legislature.

The population depends on fishing, and some also hunt seals. There is a small amount of mining, but the harsh climate and lack of transportation infrastructure have prevented much development. Greenland's economy has not been strong in the past 10 years. Since 1990, imports have outpaced exports. Following the closure of Greenland's last lead and zinc mine in 1989, the fishing industry and grants from the Danish government became the mainstay of the economy. In 1999, grants from mainland Denmark and EU payments for the right to fish in Greenland's waters made up about 50 percent of the home-rule government's revenues. As the cod is threatened with extinction, shrimp fisheries have taken over as the most important income earner.

Greenland is also looking to tourism as a sector for growth; however, the season is quite short due to the long and harsh winters. The public sector—both publicly owned businesses and municipalities—plays a dominant role in Greenland's economy. Greenland joined the European Community together with Denmark but withdrew in February of 1985 (after a referendum in 1982) due to disagreement with the EC over fishing policy.

FAROE ISLANDS.

The Faroe Islands (local name Foroyar) are north of the Shetlands and northwest of Scotland, between the Norwegian Sea and the North Atlantic Ocean. There are about 30 islands, 18 of which are inhabited, with a total 2000 population of 45,296. The total land area is 1,399 square kilometers (540 square miles). The population is mostly descended from Viking settlers who landed there in the 8th century. The local language is Faroese, descended from Old Norse, although Danish is also required in schools, and adults on the island can speak it. The capital of the Faroes is Torshavn.

The Faroes have been part of the Danish Kingdom since the 14th century, but were granted home rule in 1948, although the Danish government is still responsible for defense and other aspects of administration. Denmark's Folketing (Parliament) reserves 2 seats for representatives from the Faroes.

Despite their small and remote location, the Faroes have a good domestic and international communications infrastructure, with 22,000 main telephone lines—about one for every 2 people on the island. There is also a satellite earth station and a fiber-optic submarine cable that links the Islands to Iceland and Denmark. There are 14 radio stations and 7 television stations.

The mild winters, cool summers, and rocky terrain of the Faroes are unsuitable for agriculture, and in the past, sheep farming was very important to the economy. Nowadays fish and fish products are the center of the economy, with fish products comprising 90 percent of exports. Most other food is imported. This near-total dependence on fishing means the economy is very vulnerable, both to the changes in world demand and to environmental change. Even with the fishing industry, the Faroe Islands depend significantly on grants from Denmark. Without Danish government bailouts in 1992 and 1993, the Faroese economy would have gone bankrupt. The Faroes did not join the European Community (EC) when Denmark did, because of disagreement with EC fishing policies, which, the Faroese felt, put them at a disadvantage.

BIBLIOGRAPHY

"Actions Speak Louder." FT.com: Financial Times Survey. <http://specials.ft.com/ln/ftsurveys/country/sc8186.htm>. Accessed February 2001.

Christensen, Donna. Information Technology in Denmark. <http://www.american.edu/initeb/dc4053a/denmark.htm>. Accessed July 2001.

"Denmark." Tradeport. <http://www.tradeport.org/ts/countries/denmark>. Accessed February 2001. "Denmark: The Smug Debtor." Economist. September 3, 1988.

"Economic Indicators: Spending on the Environment." OECD Observer. October 1999.

Economist Information Unit. Country Report: Denmark. London: EIU, November 2000.

Europa World Year Book 2000. 41st edition. London: Europa Publications, 2000.

Hoff, Jens, and Jorgen Goul Andersen. "The Danish ClassStructure." Acta Sociologica. Vol. 32, No. 1, March 1989.

International Labor Organization. <http://www.ilo.org>. AccessedFebruary 2001.

Miller, Kenneth E. Denmark: A Troubled Welfare State. Boulder, Colorado: Westview Press, 1991.

Royal Danish Embassy. <http://www.denmarkemb.org>. AccessedFebruary 2001.

Royal Danish Ministry of Foreign Affairs. Denmark. <http://www.um.dk/english/danmark/danmarksbog/>. Accessed February 2001.

Statistics Denmark. <http://www.dst.dk/dst/dstframesetuk.asp>.Accessed February 2001.

United Nations Development Programme. Human Development Report 2000. New York: Oxford University Press, 2000.

U.S. Central Intelligence Agency. World Factbook 2000. <http://www.odci.gov/cia/publications/factbook/indexgeo.html>. Accessed February 2001.

Walljasper, Jay. "What Works? Denmark!" The Nation. Vol.266, No. 3, January 26, 1998.

—Larisa Mann

CAPITAL:

Copenhagen.

MONETARY UNIT:

Danish krone (DKr). 1 Danish krone is made up of 100 øre. There are coins for 20, 10, 5, 2, and 1 krone and 50 and 25 øre. Paper currency comes in denominations of DKr1,000, 500, 200, 100, and 50.

CHIEF EXPORTS:

Machinery and instruments, meat and meat products, fuels, dairy products, ships, fish, and chemicals.

CHIEF IMPORTS:

Machinery and equipment, petroleum, chemicals, grain and foodstuffs, textiles, and paper.

GROSS DOMESTIC PRODUCT:

US$136.2 billion (purchasing power parity, 2000 est.).

BALANCE OF TRADE:

Exports: US$50.8 billion (f.o.b., 2000). Imports: US$43.6 billion (f.o.b., 2000).

Denmark

History & Background

Education is and has been regarded as one of the essential pillars of the Danish welfare state and has contributed to a relatively homogenous population and work force in Denmark. By international comparison, the Danish educational system today appears relatively coherent, comprehensive, and egalitarian. It is mainly controlled and financed by the State. School leaving, as well as the recognition of competences in further and higher education, is almost entirely regulated by the State through the Ministry of Education. However, the educational system includes a range of private institutions under public regulation and funding, and the participation of social interest groups and organizations in governing education is important for the function of the system. The core of education is a comprehensive primary school, which is, though locally governed, quite homogenous, and comprises a system of pathways into further and higher education. Furthermore, a wide range of education and training is available, particularly in adult and continuing education. The aim is for the system to be open and flexible; however, removing dead ends and detours caused by traditional admission criteria and lack of institutional coordination is still being attempted.

Until the sixteenth century, the Roman Catholic Church was responsible for education. After the Protestant Reformation, Denmark was one of the first European countries to establish a national Lutheran Church, and the Church had a huge historical influence on Danish education. The foundations of the system, stemming from Reformation statutes of the 1530s, survived until the end of the nineteenth century. In 1536, the State took over the grammar schools from the Catholic Church, and the history of the Danish national education system may be said to have begun from this date. State supremacy was accepted and even promoted by the Lutherans, with the result that the Church and the State were never in conflict.

The later development has been motivated by the national State and has been strongly influenced by the fact that Denmark was an agricultural society until World War II. Since then, a rapid development of the industrial and service sectors has taken place, and the development of the educational system may be regarded as a specific consequence of modernization.

The impact of modernization and novel philosophies of education was felt in three different directions, all related to social class. The most famous direction was the growing class of independent farmers, liberated from landlords and influenced by the revolutionary democratic trends in the rest of Europe. The result was a Free School Movement, which owes its origin to the ideas of N. F. S. Grundtvig—poet, clergyman and philosopher. Grundtvig criticized the grammar schools for being too academic and elitist, and was opposed to the rigid style of the Church. He defended a more joyous and lively religious practice. He believed in the "necessity of the living word for the awakening of life and the transmission of the spirit," as well as in the development of basic skills.

This rather romantic idea of a Nordic popular culture was to be promoted by folk high schools outside the control of the State. In 1852, Kristen Kold founded the first of many Scandinavian folk high schools. These schools had no entrance or leaving examinations, and instruction was confined to lectures. Students were generally adults from 18 to 30 years of age. The teaching included—with local variations—history, religion, Danish language and literature, mathematics, science, gymnastics, and practical farm work. The terms were five residential winter months and three residential summer months. This tradition of schooling based on an agricultural rural class endured until after World War II and has remained a part of nonformal Danish education, influencing the state school system and offering alternative schools of liberal as well as practical education.

During the nineteenth century, the rise of urban merchant classes needing a more practical type of schooling led to a secularization of the State school system, with the inclusion of modern languages and science in the curriculum. At the beginning of the twentieth century, a modern system of general education had thus already taken shape in the cities and towns, comprising the folkeskole ("school of the people") at the elementary level and the mellemskole ("middle school") at the middle level. The former Latin grammar schools were replaced by real-skoler (lower secondary schools). A three-year upper secondary school, or gymnasium, prepared students for university education of the German Humboldt'ian type. For another half century, however, the modernization mainly affected secondary education in urban communities. It was a very selective education system with a strong class bias, the streaming (or channeling) taking place at the mellemskole level.

The influence of the growing working class led to a demand for a more egalitarian school system. The labor movement secured public funding of primary schools and evening classes. The selectivity in admission to secondary education, however, remained unchallenged. Urban and rural communities had different types of school systems until the 1950s.

Constitutional & Legal Foundations

The Danish Constitution from 1849 (section 76) states that education shall be compulsory (whether provided by the family or school) and free in public institutions. It defines the goal of education to be the development of the pupil's personality, aptitudes, and needs, and the promotion of academic achievement and practical skills on the one hand and spiritual values and community consciousness on the other. Danish education has further been shaped by a small number of historic statutes and regulations such as the Grammar Schools Act of 1809, the Act of 1857 abolishing the control of crafts training by the guilds, the Apprenticeship Act of 1889, and the Act of 1814 introducing seven years of compulsory education, as well as a number of pieces of legislation in the second half of the 1900s.

Educational System—Overview

Denmark is generally considered a progressive country. Several factors, however—the late modernization, the parallel existence of very different lifestyles, the decisive political influence of a self-conscious class of independent farmers with its own educational ideas—help to explain the contradictory trends in educational development and the comparative absence of planning. Legislation has most often taken the form of national ratifications of existing developments and compromises.

After World War II, a whole range of educational reforms was passed for political, economic, and social reasons. The Act of 1958 unified urban and rural school systems and established the 10-year folkeskole with its two components: the elementary hovedskole (main school) and the optional lower secondary school, the realafdeling. The gymnasium (upper secondary school) was reformed by the Act of 1961. The first legislation on vocational education and training were the Act on Technical Schools and the Act on Labor Market Training in 1960.

In 1976, a new Education Act reshaped the school system as it exists today. It introduced nine years of comprehensive primary and lower secondary education for all, and an optional 10th year and an optional preschool year. The act permits local authorities to abolish the previous division between language and science in the eighth and ninth grades, and encourages individualized teaching in foreign languages, mathematics, physics, and chemistry. This is regarded as the last step towards abolishing streaming of children during their schooling. However, in upper secondary schools, children are still channeled into either an academic branch giving access to higher education or a less academic and more practical vocational branch.

The free school tradition remains alive and visible: Besides alternative primary schools, there are still about a hundred residential folk high schools that embody the ideas of Bishop Grundtvig. Rather than primarily rural, today's students come from a broad range of young people, as well as senior citizens. Group work and seminars dominate the instructional calendar. Furthermore, there are choices of free schools for 14- to 18-year-olds: Efterskoler (continuation schools) offer an alternative to tenth grade of the folkeskole, and ungdomsskoler (youth schools) are designed for school-leavers who lack particular skills.

Primary & Preprimary Education

In Denmark, education is compulsory for nine years and usually commences in August in the calendar year of the child's seventh birthday. While preschool is optional, the majority of children attend one or more of the three types: the vuggestuer, which are day nurseries for children younger than three; the bo ⁄rnehave, which are kindergartens for children between three and seven; and the bo ⁄rnehaveklasser or preschool classes for children between five and seven.

The municipal folkeskole and private schools offer optional preschool classes (i.e., bo ⁄rnehaveklasser ) for the year preceding compulsory education; 97 percent of families accept this offer for their children. Since 1986, preschool classes have been an integrated part of primary education as it has been made possible for schools to combine some of the teaching in preschool classes with that of the first and second forms of primary school.

Primary & Lower Secondary Education: In Denmark, education—and not schooling—is compulsory for nine years, which means that education can take place in the public folkeskole, in private schools, or at home, providing that national standards are met and that an adequate range of subjects is offered to the pupil. Primary and lower secondary schooling is not separated in Denmark, and pupils thus attend the same school from the first form through to the ninth. Approximately 89 percent of children go to public schools (folkeskolen ) free of charge, while approximately 11 percent attend private schools.

Folkeskolen : The Danish folkeskole provides nine years of compulsory education free of charge. It also offers optional preschool classes and an optional 10th form. The aim is to contribute to the all-round academic, social, and personal development of the individual child by providing subject-specific qualifications and preparing pupils for living in a democratic society. The latter requires that the school and its daily life be based on intellectual freedom, equality, and democracy. As the schools are required to emphasize the personal and social development of each pupil, an intimate collaboration between the school and the pupil's home is considered vital. Pupils and parents or guardians must accordingly receive information about the child's academic and social performance at school at least twice a year.

The school year starts in August and ends in June, and comprises two hundred school days. The folkeskole has virtually abandoned streaming of children, and all pupils therefore automatically proceed to the next level. Pupils remain together in the same class for all nine years. While class sizes must not exceed 28, the average is 19 children; the pupil-teacher ratio is 10:4.

The Danish folkeskole employs a unique "classteacher" system, whereby one teacher is responsible for a class for nine years. The class-teacher supervises the academic, social, and personal development of all pupils in the class and is the principal link between the children's homes and the school. The class-teacher is allocated one weekly hour called "Klassens time" ("the lesson of the class") for discussion of issues concerning the well being of the class. Moreover, the class-teacher may spend some teaching time on camps, outings, or work experience.

Curriculum: The Minister of Education is responsible for setting the targets of achievement for each subject taught in the folkeskole ; however, local authorities and schools are free to decide on how to reach these. The Ministry of Education provides curriculum guidelines for each subject; the guidelines are merely recommendations, and the schools are allowed to formulate their own curricula as long as they are in accordance with the overall target levels. Most schools appear to employ the guidelines articulated by the Ministry.

Danish, mathematics, physical education/sport, and Christian studies are compulsory all nine years. Art must be taught from the first to the fifth forms, science and music from the first to the sixth forms, and history from the third to the eighth forms. Textile design, woodwork and metal work, and home economics should be taught at one or more levels within the fourth to the seventh forms. English is compulsory from the fourth to the ninth forms, geography and biology at the seventh and eighth forms. Physics and chemistry must be taught from the seventh to the ninth forms, and social studies should be offered in the ninth form. Pupils are offered instruction in German from the seventh to the ninth forms, but may be offered French instead.

There are certain compulsory topics to be included in the educational program. These consist of traffic safety, health and sex education, and educational, vocational, and labor-market orientation. Furthermore, a wide range of optional subjects may be offered from the eighth to the 10th form, including, for instance, word processing, technology, drama, Spanish, and common immigrant languages.

Pupils in the ninth and tenth forms are required to complete and present an interdisciplinary project. The project is assessed in a written statement, and if the pupil so wishes, a mark may be given and indicated on the school-leaving certificate.

School Leaving Examinations: There are two levels of school-leaving examinations in the Danish folkeskole : The Folkeskolens Afgangspro ⁄ve (the Leaving Examination) and the Folkeskolens Udvidede Afgangspro ⁄ve (the Advanced Leaving Examination). Both comprise a mixture of written and oral exams. The former may be taken in 11 subjects after the ninth and tenth forms, while the latter may be taken in five subjects after the tenth form only. Marks are awarded on a scale from zero to 13. The Ministry of Education provides standard rules for the examinations; the questions in written exams are set and marked centrally.

Neither of the leaving examinations is compulsory, and the pupil, along with parents or guardians—and following consultations with the school—are free to decide whether to take them. School-leavers receive a leaving certificate with marks for the performance in classes during the final year and their examination results. Furthermore, the pupil may wish to include the mark for the ninth or 10th form interdisciplinary project.

Alternatives to the Public Folkeskole : There are 421 private schools distributed throughout Denmark. Rather than having been founded for academic reasons, these schools are generally based on denominational preferences, pedagogic theories, or political and social ideologies. Eleven percent of children attend private schools for the compulsory nine years of education.

The State subsidizes approximately 80 percent of private schools costs, while parents pay the remaining 20 percent, which in average amounts to 700 DKK per month, with substantial variation. The combination of non-academic reasons for founding private schools and the relatively low tuition fees means that, in contrast to other countries, Danish private schools are not generally considered "elitist," and they do not necessarily provide pupils with higher social status or advantages in terms of entry to higher education. Private schools are free to articulate the content of their curricula, but they are required to meet national standards in their providing school-leaving examinations.

Education of Teachers for the Folkeskolen : Denmark has a unified training system, training a group of teachers who cover the whole period of compulsory schooling with a minimal specialization of subjects, clearly distinguishing primary and lower secondary school teachers from other categories of teachers. The training takes approximately four years and consists of a mixture of theoretical studies and practical training in the form of practice teaching. The curriculum includes common core subjects such as Danish, psychology, pedagogy, social studies, arithmetic, and religion, as well as the in-depth study of two optional subjects. The course contains 16 weeks of practice teaching, divided into four periods of four weeks each, in four different schools. There are currently 18 colleges offering teacher-training courses.

Secondary Education

Efterskoler & Ungdomsskoler : Efterskoler (continuation schools) are boarding schools for the eighth to the tenth forms, and are completed with either the Leaving Examination or the Advanced Leaving Examination. Previously, these schools catered to pupils who had encountered academic, social, or personal problems in the formal school system; however, this image has changed dramatically, and the continuation schools are now attended by an increasing number of young people who desire a year or more away from home.

Ungdomsskoler (youth schools) are designed for school-leavers who lack particular skills; they may be residential as well as non-residential.

Nearly all school-leavers continue in some type of secondary education; 53 percent continue in upper secondary schools, which are academically oriented, whereas 41 percent attend colleges emphasizing a vocational content (either technically or commercially oriented).

Gymnasium & Ho ⁄jere Forberedelseseksamen (HF) : The Danish gymnasium and HF (Higher Preparatory Examination) are two forms of academically oriented upper secondary education and are attended by as many as 53 percent of all school-leavers. These programs contain a general education in its own right that also prepares students for higher education. Denmark has approximately 295 gymnasiums and HFs, of which 85 percent are publicly owned; the State covers the cost of these. The remaining 15 percent are private institutions; the State subsidizes 80 to 85 percent of the costs of these.

The gymnasium is the most traditional type of upper secondary school; it consists of a three-year course directed to students who have recently completed nine years of compulsory education. The HF was introduced in 1967 and is parallel to the gymnasium, but directed at those who have left the education system and wish to return to study. HF can be taken as a two-year full-time course or a single subject at a time.

Full-time students at the gymnasium or HF receive instruction in approximately 13 subjects. The courses contain a core of compulsory subjects such as Danish, English, mathematics, basic science, and history; students are further required to choose a number of electives from a wide range of subjects such as music, art, philosophy, and social studies. Students must also complete a major written assignment in their final year of study.

The gymnasium is completed with the studentereksamen (upper secondary school leaving examination) comprising 10 parts, three written and seven oral. Students are also assessed continuously in terms of their oral and written performance in classes. The HF is completed with the HF eksamen (higher preparatory examination). In contrast to the gymnasium, no marks are given for oral and written performance during the year; instead, students are required to take examinations in every subject studied. Marks are given on a scale from zero to 13, and students must have an average of six to pass their upper secondary education. The national examination system is administered by the Ministry of Education.

Ho ⁄jere Handels Eksamen (HHX) & Ho ⁄jere Tekniske Eksamen (HTX) : The HHX (higher commercial examination) and HTX (higher technical examination) comprise a vocationally oriented upper secondary education, which qualifies students for admission to higher education as well as for employment in trade and industry, usually in training positions. The two programs take three years each and are offered at most business and technical colleges. Admission requires completion of nine years of compulsory education.

The HHX and HTX consist of a core of compulsory subjects such as Danish, English and a second foreign language, as well as subjects specifically related to either commerce (e.g., business studies, economics, and sales) or technology (e.g., technology studies, vocational studies, and natural sciences). Students are further required to choose five or six electives from subjects relevant to their course. In their final year, all students must complete a major written assignment.

Some commercial colleges also offer the ho ⁄jere handelseksamen, or HH (higher commercial examination), which comprises a one-year course available to students who have completed an upper secondary school leaving examination. The HH consists of compulsory subjects and electives.

Examinations: Students at the HHX, HTX, and HH are required to take examinations in all subjects studied; students are also assessed continuously in terms of oral and written performance in classes. Marks are awarded on a scale of zero to 13, and students must obtain an average of six to pass their upper secondary education. The Ministry of Education is responsible for administering the examinations.

Teacher Qualifications & Teaching Structure: Teachers must have completed a master of arts or master of science degree, as well as an additional course in educational theory and practice to teach at the gymnasium, HF, HHX, or HTX. Unlike teaching in the folkeskole, upper secondary teaching is specialized—that is, each teacher teaches only one or two subjects.

Vocational Education & Training: An alternative direction of upper secondary education consists of vocational educations. Through the 1950s, vocational education took the form of apprenticeship in a specific craft. Through several reforms it has now become organized in the form of a number of vocational education programs, each oriented to a set of related technical, commercial, or service functions and consisting of schooling as well as practical training or apprenticeship. Since the nineteenth century, employers' branch associations and skilled workers' unions—rather than classical guilds—controlled the craft education. The intervention of the State resulted in a trilateral governing system, which remains today. The State, employers, and the trade unions share control of the quality of practical training and examinations, as well as the curriculum.

Today, vocational education offers dual programs with intermittent schooling and practical training (vekseluddannelse ). Technical schools (tekniske skoler ) provide a range of vocational programs based on traditional crafts, leading to recognized skilled professions. But the schools also offer training in advanced technical domains. Commercial schools, or handelsskoler, offer two-year day or evening classesleading to an examination (handelseksamen ) in general subjects, languages, accounting, or retail trade. There have been no apprenticeships in agriculture, but the residential agricultural schools (landbrugsskoler ) accepted students in this field without examinations for a professional education; recently this education has been included in the umbrella legislation of the traditional crafts' education. Banks and some public services have their own basic training programs. There is a tendency towards merging these particular programs with those provided and regulated by the State.

It appears that an increasing number of companies employ young people with no specific vocational skills or experience and train them. Meanwhile, the general level of vocational education is increasing. The commercial and technical schools also provide a general upper secondary education intended to be equivalent to the gymnasium as a path to higher education, but it puts less emphasis on classical education, arts, and sports, and more on vocationally relevant skills. Obviously these provisions of erhvervsgymnasiale programs (vocational education and training) attract different groups of young people with somewhat different class backgrounds and motivations, and they probably counteract a general trend of students moving into the gymnasium and academic higher education.

Higher Education

Denmark has five universities and a number of professional colleges that have gradually achieved university status (e.g., engineering and commerce). Mass university education has developed without overhauling the fundamental structure of institutions and programs. However, two of the universities are relatively new ones: Roskilde and Aalborg. These differ from the others in that the courses are organized around project work, and research and teaching are regarded as interdisciplinary. They were established as reforms in the 1970s and have had some impact on teaching in other universities, but not generally on structure. During the 1970s, a democratic governing system replaced the faculty collegial government. An unusual democratic culture has developed and still prevails, although it is on the decline. Universities in general have not been able to meet the demands for general reforms and for more openness and sensitivity to problems of society. Universities have resisted political pressure to adapt directly to the needs of industry and the labor market, and thus fueled a political process of applying criteria of the labor market and reorganizing the governing system of universities by centralizing and delegating substantial executive powers to rectors, deans and department heads. The views on the possible impact on the quality of education and research and on academic independence vary substantially, as do views on the need to reform universities.

Besides institutions at university level, there is a range of professional colleges that train primary school teachers, kindergarten and preschool pedagogues, nurses, and social workers, among other professionals. These have grown separately from other educational institutions, but have gradually become essential parts of the education system. In 2000, these colleges began to establish direct links to university institutions and research to strengthen professional education and direct research to issues related to these fields. They are part of a more open system for continuing education (see below), which may create new and flexible educational pathways. A "professional bachelor degree" is being introduced, giving access to master's degree programs at universities, which could trigger major changes in the traditional universities as well.

Administration, Finance & Educational Research

Almost all types of education are legally regulated, in most cases placing the responsibility for the direction and quality on the Ministry of Education. The Ministry of Labor has developed training and general education for the least educated and skilled members of the labor force, sometimes in competition with the Ministry of Education. In the new millennium, the trend is to bring all education and training into one comprehensive system. Most education is provided in public institutions; in most private institutions, there is public recognition and a legal framework as well as substantial public funding. Within this standardized framework, there is, guided by relative political consensus, a strong tradition for delegating responsibility to local authorities for primary school administration. While the State had a more direct influence on universities and vocational education from the 1950s to the 1970s, since then there has been a political struggle between a market-oriented management style and a local democracy based on self-administration.

The executive governing is, however, quite different in the various educational domains. Primary schools and the academic secondary schools (gymnasiums ) are state-regulated but run by local authorities—municipalities for primary schools, counties for upper secondary. Likewise, municipalities and counties are responsible for general adult education in community colleges and evening classes within the legal regulation of their minimum provision. Fundamentally, these schools have been controlled and developed by teachers. Today, we see new relations: The school management is strengthened in relation to teachers while held responsible to school boards in which parents have direct executive influence. Furthermore, the pupils' council is, in general, entitled to influence all matters deemed to concern them.

Though formally State-owned, vocational schools and labor-market training centers are governed by boards with a strong representation from local and national employers' associations and trade unions. On a national level, advisory councils also play a role in the development as well as in setting priorities. The State control has been strengthened, but is now being delegated while school management is strengthened.

Universities and folk high schools are both characteristic—although very different—sectors of selfmanaging institutions funded by the state. They both feel the indirect but persistent pressure to adapt to societal trends and government concerns.

Nonformal Education

Adult & Continuing Education: Adult education comprises at least three major sectors. One is the liberal adult education in folk high schools, in evening classes, and at university extensions. Today, the variety of forms in this sector consist of compromises and has been influenced by the traditions of the rural free school movement in the nineteenth century and the working class in the first half of the twentieth century. During the second half of the twentieth century, a generous and liberal State support enabled this sector to become an educational leisure culture of substantial size. The formats vary from evening classes once a week through the winter season, to block courses, to residential courses of a few days, to the 14-week residential course of folk high schools. Approximately three-fourths participants are women), and all age groups are represented. During the 1980s, an interesting innovation took place in the form of day folk high schools; inspired by the classical folk high schools, these schools provide day courses mainly for unemployed adults—predominantly unskilled women. The courses are usually full-time for at least eight weeks and comprise general subjects, arts, language, personal development, and citizenship training.

A second sector, begun in the 1950s, provides general schooling for adults in community colleges (voksenuddannelsescentre, or VUC —literally, "adult education centers"). The VUC attract people with very different backgrounds and goals; women make up approximately two-thirds of attendees. Students may attend full time or take only a single subject with a few lessons per week, which can be accumulated for a full examination diploma. The community colleges are still largely concerned with general adult education; however, there is a clear trend towards including these in a wider market of continuing education that embraces and partly merges with vocational and general education.

A third sector consists of training and education related to the labor market. In 1960, the State introduced a program to retrain workers for industry and construction to facilitate labor market mobility (arbejdsmarkedsuddannelserne, or AMU —literally, "labor market educations"). This has developed into programs that provide both complete professional education and supplementary upgrading programs converting unskilled workers into skilled workers. This education and training covers a wide range of branches of industry and services, including business services such as cleaning and catering, and new branches such as waste handling and personal services. In most branches, there is a strong male dominance; a few domains, however, are dominated by females, which reflects the gender division of the labor market at large. The courses consist of basic and specific skills, whereas the comprehensive programs comprise technical skills as well as basic technology and social and general knowledge. The AMU centers have provided additional training services for young unemployed people and disadvantaged groups with the specific purpose of enabling access to the labor market, at times including general and vocational education.

Since 1990, an enormous expansion has taken place in continuing education, not only among workers, but to a larger extent among professionals, managers, middle managers, and specialists. Well-researched information about the extent of this activity is sparse, but it can be assumed to engage 2 percent or more of the work force in terms of work time spent. Much of it is provided ad hoc in the form of private courses for a specific group, or for employees of a specific company. Recently, State and communal employees have taken up continuing education and training as part of their employment, from part-time evening classes to concentrated courses, often two to three days in residence. The cost is usually higher than similar courses provided by the State, and such market-based activity carries no formal recognition to the participants outside their workplace.

Reform of Continuing Education: In 2000, the Danish government launched a major reform of adult and continuing education, which contained three pivotal aims:

• To re-orient the entire education system and its institutions to a more direct collaboration with industry and business enterprises, and to provide continuing education more extensively.
• To create a coherent system of continuing education—parallel to the present basic system—that enables people to accumulate competencies throughout their lives through a sequence of programs, admission to each of which requires practical professional experience after successfully completing the previous program.
• To reconstruct the funding of continuing education so that users (participants as well as their employers) pay more of the costs, and so that training and funding are offered in response to market needs.

For this purpose, a new "parallel system of competencies" has been established, comprising a sequence of programs at four levels: general adult education, advanced adult education, diploma, and master's degree. Part of the philosophy of this system is to allow for different ways of attaining these levels, including recognizing nonformal competencies. However, programs of study at each step are assumed to correspond to the level of teaching in the "ordinary" education system. They should largely cover the same content. In most cases, however, one step amounts to only one year of full-time ("ordinary") study; it is assumed that professional experience contributes to learning. Access to each level is defined by the completion of the previous level, plus at least two years of active relevant work based on the previous level of competence. The system is thus intended to enable a full "ladder climbing"—in principle even enabling someone to study at the Ph.D. level after the completing the master's level. This latter step is still controversial, however; bridging between the two ladders is possible, but not an ordinary path.

The system gives credit to relevant vocational and professional experience; it is also assumed, however—for better or worse—that the quality of the new levels is likely to be different from that of ordinary education.

The details of the system are still in the making, and it is, therefore, difficult to assess its future impact. Much will depend on funding mechanisms. The intention is to leave the burden to individual users and employers, depending on the type of education and training. In some domains, this may imply a substantial shift away from a system of public funding, and this is therefore subject to political discussion and organizational bargaining. However, there seems to be no doubt that the model represents a trend in the overall educational system in three ways: recognition of real competencies; modular programs and lifelong access routes; and more flexible and multiple uses of educational institutions and programs. There is thus no doubt that this trend will persist, with potentially great impact.

Bibliography

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The Danish Gymnasium: General Rules. Copenhagen: The Danish Ministry of Education, 1991.

The Danish Higher Preparatory Examination: General Rules. Copenhagen: The Danish Ministry of Education, 1991.

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The Education System. Copenhagen: The Danish Ministry of Education, 1998.

Jensen, Jens Ho⁄jgaard, and Henning Salling Olesen (eds.). Project Studies—A Late Modern University Reform. Copenhagen: Roskilde University Press, 1996.

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Salling Olesen, H. Adult Education and Everyday Life. Copenhagen: Roskilde University Press, 1989.

Salling Olesen, H., and P. Rasmussen. Theoretical Issues in Adult Education: Danish Research and Experiences. Copenhagen: Roskilde University Press, 1996.

The Transition from Initial Education to Working Life in Denmark. Copenhagen: The Danish Ministry of Education, 1998.

Thodberg, C., and A. Pontoppidan. N. F. S. Grundtvig—Tradition and Renewal: Grundtvig's Vision of Man and People, Education and the Church, in Relation to World Issues Today, Copenhagen: The Danish Institute, 1983.

Webb, T. W., and L. Lerche Nielsen. Higher Education in Denmark. Roskilde: Institute VII and the Information Section, 1991.

—Henning Salling Olesen and Thomas W. Webb

Denmark

Compiled from the October 2007 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:

Kingdom of Denmark

PROFILE

Geography

Excluding Greenland and the Faroe Islands

Area: 43,094 sq. km. (16,639 sq. mi.); slightly smaller than Vermont and New Hampshire combined.

Cities: Capital—Copenhagen (pop. 0.5 million in Copenhagen and 1.1 million in the Copenhagen Region). Other cities—Arhus (293,510), Odense (185,206), Aalborg (163,231).

Terrain: Low and flat or slightly rolling; highest elevation is 173 m. (568 ft.).

Climate: Temperate. The terrain, location, and prevailing westerly winds make the weather changeable.

People

Nationality: Noun—Dane(s). Adjective—Danish.

Population: (July 2006) 5,434,567.

Annual growth rate: 0.33%.

Ethnic groups: Scandinavian, Inuit, Faroese, German, Turkish, Iranian, Somali.

Religions: Evangelical Lutheran 95%; other Protestant denominations and Roman Catholics 3%; Muslim 2%.

Languages: Danish, Faroese, Greenlandic (Inuit dialect), some German. English is the predominant second language.

Education: Years compulsory—9. Attendance—100%. Literacy—100%.

Health: Infant mortality rate (2006)—4.51/1,000. Life expectancy—men 75 years, women 80 years.

Work force: (2006) 2.8 million. Employment: Industry, construction, mining and utilities—23%; government—35%; private services—38%; agriculture and fisheries—4%.

Government

Type: Constitutional monarchy.

Constitution: June 5, 1953.

Government branches: Executive—queen (chief of state), prime minister (head of government), cabinet. Legislative—unicameral parliament (Folketing). Judicial—appointed Supreme Court.

Political parties: (represented in parliament) Venstre (Liberal), Social Democratic, Konservative, Socialist People's, Social Liberal, Unity List, Danish People's.

Suffrage: Universal adult (18 years of age).

Political subdivisions: 13 counties and 271 municipalities.

Economy

GDP: (2006) $275.24 billion.

Annual growth rate: (real terms, 2006 est.) 3.2%.

Per capita GDP: $50,625.

Agriculture and fisheries: (2.4% of GDP at gross value added) Products—meat, milk, grains, seeds, hides, fur skin, fish and shellfish.

Industry: (21.0% of GDP at gross value added) Types—industrial and construction equipment, food processing, electronics, chemicals, pharmaceuticals, furniture, textiles, windmills, and ships.

Natural resources: North Sea—oil and gas, fish. Greenland—fish and shrimp, potential for hydrocarbons and minerals, including zinc, lead, molybdenum, uranium, gold, platinum. The Faroe Islands—fish, potential for hydrocarbons.

Trade: (2006.) Exports—$90.97 billion: manufactured goods 81% (of which machinery and instruments 35%); agricultural products 10% (of which pork and pork products cover 48%), fuels 2%, fish and fish products 3%, other 4%. Imports—$84.23 billion: raw materials and semi-manufactures 43%, consumer goods 29%, capital equipment 14%, transport equipment 7%, fuels 5%, other 2%. Partners (percent of total trade in goods)—Germany 21%, Sweden 13%, U.K. 8%, U.S. 5%, Norway 5%, Japan 2%, east European countries 5%.

Exchange rate: 5.70 kroner=U.S. $1 as of late February 2007.

PEOPLE AND HISTORY

The Danes, a homogenous Gothic-Germanic people, have inhabited Denmark since prehistoric times. Danish is the principal language. English is a required school subject, and fluency is high. A small German-speaking minority lives in southern Jutland; a mostly Inuit population inhabits Greenland; and the Faroe Islands have a Nordic population with its own language. Education is compulsory from ages seven to 16 and is free through the university level.

Although religious freedom is guaranteed, the state-supported Evangelical Lutheran Church accounts for about 95% of those persons claiming religious affiliation. Several other Christian denominations, as well as other major religions, find adherents in Denmark. Islam is now the second-largest religion in Denmark.

During the Viking period (9th-11th centuries), Denmark was a great power based on the Jutland Peninsula, the Island of Zealand, and the southern part of what is now Sweden. In the early 11th century, King Canute united Denmark and England for almost 30 years.

Viking raids brought Denmark into contact with Christianity, and in the 12th century, crown and church influence increased. By the late 13th century, royal power had waned, and the nobility forced the king to grant a charter, considered Denmark's first constitution. Although the struggle between crown and nobility continued into the 14th century, Queen Margrethe I succeeded in uniting Denmark, Norway, Sweden, Finland, the Faroe Islands, Iceland, and Greenland under the Danish crown. Sweden and Finland left the union in 1520; however, Norway remained until 1814. Iceland, in a “personal union” under the king of Denmark after 1918, became independent in 1944.

The Reformation was introduced in Denmark in 1536. Denmark's provinces in today's southwestern Sweden were lost in 1658, and Norway was transferred from the Danish to the Swedish crown in 1814, following the defeat of Napoleon, with whom Denmark was allied.

The Danish liberal movement gained momentum in the 1830s, and in 1849 Denmark became a constitutional monarchy. After the war with Prussia and Austria in 1864, Denmark was forced to cede Schleswig-Holstein to Prussia and adopt a policy of neutrality. Toward the end of the 19th century, Denmark inaugurated important social and labor market reforms, laying the basis for the present welfare state.

Denmark remained neutral during World War I. Despite its declaration of neutrality at the beginning of World War II, it was invaded by the Germans in 1940 and occupied until liberated by the Allied forces in May 1945. Resistance against the Germans was sporadic until late 1943. By then better organized, the resistance movement and other volunteers undertook a successful rescue mission in which nearly the entire Jewish population of Denmark was shipped to Sweden (whose neutrality was honored by Germany). However, extensive studies are still being undertaken for the purpose of establishing a clearer picture of the degree of Danish cooperation—official and corporate—with the occupying power. Denmark became a charter member of the United Nations and was one of the original signers of the North Atlantic Treaty.

Cultural Achievements

Denmark's rich intellectual heritage has made multifaceted contributions to modern culture the world over. The discoveries of astronomer Tycho Brahe (1546–1601), geologist and anatomist Niels Steensen (1639–86), and the brilliant contributions of Nobel laureates Niels Bohr (1885–1962) to atomic physics and Niels Finsen (1860–1904) to medical research indicate the range of Danish scientific achievement. The fairy tales of Hans Christian Andersen (1805–75), the philosophical essays of Soeren Kierkegaard (1813–55), and the short stories of Karen Blixen (pseudonym Isak Dinesen; 1885–1962) have earned international recognition, as have the symphonies of Carl Nielsen (1865–1931). Danish applied art and industrial design have won so many awards for excellence that the term “Danish Design” has become synonymous with high quality, craftsmanship, and functionalism. Among the leading lights of architecture and design was Arne Jacobsen (1902–1971), the “father of modern Danish design.” The name of Georg Jensen (1866–1935) is known worldwide for outstanding modern design in silver, and “Royal Copenhagen” is among the finest porcelains. No ‘short list' of famous Danes would be complete without the entertainer and pianist Victor Borge (1909–2000), who emigrated to the United States under Nazi threat in 1940, and had a worldwide following when he died a naturalized U.S. citizen in Greenwich, Connecticut, at the age of 91.

Visitors to Denmark will discover a wealth of cultural activity. The Royal Danish Ballet specializes in the work of the great Danish choreographer August Bournonville (1805–79). Danish dancers also feature regularly on the U.S. ballet scene, notably Peter Martins as head of New York City Ballet.

The Danish Film Institute, one of the oldest in Scandinavia, offers daily public screenings of Danish and international movies in their original language and plays an active role in the maintenance and restoration of important archival prints. Over the decades, movie directors like Gabriel Axel (Babette's Feast, 1987 Oscar for Best Foreign Film), Bille August (Buster's World, 1984; Pelle the Conqueror, 1988 Oscar for Best Foreign Film; The House of the Spirits, 1993) and Lars von Trier (Breaking the Waves, 1996; Dancer in the Dark, 2000 Cannes Golden Palm) have all won international acclaim. In addition, Denmark has been involved virtually from the start in development of the “Dogma film” genre, where small, hand-held digital cameras have permitted greater rapport

between director and actor and given a documentary film feel to their increasingly realistic works. Besides von Trier's Dogville (2003) starring Nicole Kidman, and The Idiots (1998), The Celebration (1998 Cannes Special Jury prize) by Thomas Vinterberg, Mifune's Last Song (1999 Berlin Silver Bear award) by Soeren Kragh-Jacobsen, and Italian for Beginners (2000 Berlin Silver Bear award) by Lone Scherfig all are prime examples of the Dogma concept.

International collections of modern art enjoy unusually attractive settings at the Louisiana Museum north of Copenhagen, “Arken” south of Copenhagen, and the North Jutland Art Museum in Aalborg. The State Museum of Art and the Glyptotek, both in Copenhagen, contain master-pieces of Danish and international art. Denmark's National Museum building in central Copenhagen harbors most of the state's anthropological and archeological treasures with especially fine prehistoric and Viking Age collections; two of its finest satellite collections are the Viking Ship Museum in Roskilde west of the metropolis and the Open Air Museum in a near northern suburb where original buildings have been transported from their original locations around the country and reassembled on plots specially landscaped to evoke the original site. The Museum of Applied Art and Industrial Design in Copen-hagen exhibits the best in Danish design. The world-renowned Royal Copenhagen Porcelain Factory exports worldwide. The ceramic tradition is carried on by designers such as Bjoern Wiinblad, whose whimsical creations remain as popular today as when they burst on the scene in the 1950s, and is carried on by younger talents such as Gertrude Vasegaard and Michael Geertsen.

Denmark has more than its share of impressive castles, many of which have been converted to museums. Frederiksborg Castle, on a manmade island in a lake north of Copenhagen, was restored after a catastrophic fire in the 1800s and now houses important collections in awe-inspiring splendor amidst impeccably manicured gardens. In Elsinore, Kronborg (or Hamlet's) Castle that once exacted tribute from passing ships now houses important furniture and art collections of the period, while hosting in its courtyard many touring summer productions of Shakespearean works. In Copenhagen, Rosenborg Castle houses the kingdom's crown jewels and boasts spectacular public gardens in the heart of the city

Among today's Danish writers, probably the best-known to American readers is Peter Hoeg (Smilla's Sense of Snow; Borderliners), while the most prolific is Klaus Rifbjerg—poet, novelist, playwright, and screenwriter. Benny Andersen writes poems, short stories, and music. Poems by both writers have been translated into English by the Curbstone Press. Suzanne Broegger focuses on the changing roles of women in society. Kirsten Thorup's “Baby” won the 1980 Pegasus Prize and is printed in English by the University of Louisiana Press. The psychological thrillers of Anders Bodelsen and political thrillers by Leif Davidsen also appear in English.

In music, Hans Abrahamsen and Per Noergaard are the two most famous living composers. Abrahamsen's works have been performed by the National Symphony Orchestra in Washington, DC. Other international names are Poul Ruders, Bo Holten, and Karl Aage Rasmussen. Danes such as bass player Niels Henning Oersted Petersen have won broad international recognition, and the Copenhagen Jazz Festival held each year in July has acquired a firm place on the calendar of international jazz enthusiasts.

Cultural Policy

The Ministry of Cultural Affairs was created in 1961. Cultural life and meaningful leisure time were then and remain now subjects of debate by politicians and parliament as well as the general public. The democratization of cultural life promoted by the government's 1960s cultural policy recently has come to terms with the older “genteel culture;” broader concepts of culture now generally accepted include amateur and professional cultural, media, sports, and leisure-time activities.

Denmark's cultural policy is characterized by decentralized funding, program responsibility, and institutions. Danish cultural direction differs from that of other countries with a Ministry of Culture and a stated policy in that special laws govern each cultural field—e.g., the Theater Act of 1990 (as amended) and the Music Law of 1976 (as amended).

The Ministry of Cultural Affairs includes among its responsibilities international cultural relations; training of librarians and architects; copyright legislation; and subsidies to archives, libraries, museums, literature, music, arts and crafts, theater, and film production. During 1970–82, the Ministry also recognized protest movements and street manifestations as cultural events, because social change was viewed as an important goal of Danish cultural policy.

Different governments exercise caution in moderating this policy and practice. Radio and TV broadcasting also fall under the Ministry of Culture. Although government expenditures for culture totaled about 1.0% of the budget in 1996, in 2006 governmment expenditures for culture totaled 0.66% of gross domestic product (GDP). Viewed against the new government's firm objective to limit public expenditures, contributions are unlikely to increase in the future. Municipal and county governments assume a relatively large share of the costs for cultural activities in their respective districts. Most support goes to libraries and archives, theater, museums, arts and crafts training, and films.

GOVERNMENT

Denmark is a constitutional monarchy. Queen Margrethe II has largely ceremonial functions; probably her most significant formal power lies in her right to appoint the prime minister and cabinet ministers, who are responsible for administration of the government. However, she must consult with parliamentary leaders to determine the public's will, since the cabinet may be dismissed by a vote of no confidence in the Folketing (parliament). Cabinet members are occasionally recruited from outside the Folketing.

The 1953 constitution established a unicameral Folketing of not more than 179 members, of whom two are elected from the Faroe Islands and two from Greenland. Elections are held at least every 4 years, but the prime minister can dissolve the Folketing at any time and call for new elections. Folketing members are elected by a complicated system of proportional representation; any party receiving at least 2% of the total national vote receives representation. The result is a multiplicity of parties (seven represented in the Folketing after the February 2005 general election), none of which holds a majority. Electorate participation normally is around 80–85%.

The judicial branch consists of about 100 local courts, two high courts, several special courts (e.g., arbitration and maritime), and a Supreme Court of 15 judges appointed by the crown on the government's recommendation.

Since a structural reform of local government was passed by the Folketing in 2004 and 2005, Denmark has been divided into five regions and 98 municipalities. The regions and municipalities are both led by councils elected every four years, but only the municipal councils have the power to levy taxes. Regional councils are responsible for health services and regional development, while the municipal councils are responsible for day care, elementary schools, care for the elderly, culture, environment and roads.

The Faroe Islands and Greenland enjoy home rule, with the Danish Government represented locally by high commissioners. These home rule governments are responsible for most domestic affairs, with foreign relations, monetary affairs, and defense falling to the Danish Government.

Principal Government Officials

Last Updated: 2/1/2008

Queen: MARGRETHE II

Prime Min.: Anders Fogh RASMUSSEN

Min. of Cultural Affairs: Brian MIKKELSEN

Min. of Defense: Soren GADE

Min. of Development Cooperation: Ulla TORNAES

Min. of Economic Affairs, Business, & Trade: Bendt BENDTSEN

Min. of Education & Ecclesiastical Affairs: Bertel HAARDER

Min. of Employment: Claus Hjort FREDERIKSEN

Min. of Environment & Nordic Affairs: Connie HEDEGAARD

Min. of Family & Consumer Affairs: Carina CHRISTENSEN

Min. of Finance: Thor PEDERSEN

Min. of Food, Agriculture, & Fisheries: Eva Kjer HANSEN

Min. of Foreign Affairs: Per Stig MOLLER

Min. of Interior Affairs & Health: Lars Loekke RASMUSSEN

Min. of Justice: Lene ESPERSEN

Min. of Refugees, Immigration, & Integration: Rikke HVILSHOJ

Min. of Science, Technology, & Innovation: Helge SANDER

Min. of Social Affairs & Gender Equality: Karen JESPERSEN

Min. of Taxation: Kristian JENSEN

Min. of Transport & Energy: Jakob Axel NIELSEN

Chmn., Board of Governors, Danish National Bank: Nils BERNSTEIN

Ambassador to the US: Friis Arne PETERSEN

Permanent Representative to the UN, New York: Carsten STAUR

Denmark maintains an embassy at 3200 Whitehaven Street NW, Washington, DC 20008-3683 (tel. 202-234-4300). Consulates general are in Chicago and New York.

POLITICAL CONDITIONS

Political life in Denmark is orderly and democratic. Political changes occur gradually through a process of consensus, and political methods and attitudes are generally moderate. Growing numbers of immigrants and refugees throughout the 1990s, and less than successful integration policies, however, have in recent years led to growing support for populist anti-immigrant sentiments in addition to several revisions of already tight immigration laws, with the latest revision taking effect July 1, 2002.

The Social Democratic Party, historically identified with a well-organized labor movement but today appealing more broadly to the middle class, held power either alone or in coalition for most of the postwar period except from 1982 to 1993. From February 1993 to November 2001, Social Democratic Party chairman Poul Nyrup Rasmussen led a series of different minority coalition governments, which all included the centrist Social Liberal Party. However, with immigration high on the November 2001 election campaign agenda, the Danish People's Party doubled its number of parliamentary seats; this was a key factor in bringing into power a new minority right-of-center coalition government led by Liberal Party chief Anders Fogh Rasmussen (no relation to Nyrup Rasmussen). Parliamentary elections held February 8, 2005 returned the coalition to government for another term of up to four years. The coalition consists of the Liberal Party (“Venstre”) and the Konservative Party, holding 71 of the 179 seats in the Folketing, and has the parliamentary support of the Danish People's Party, holding another 24 seats. The opposition Social Democrats hold 47 seats and the Social Liberals hold 16 seats. Addressing the costs and benefits of the Denmark's comprehensive social welfare system, restraining taxes, and immigration are among the key issues on the current domestic political agenda.

Denmark's role in the European Union (EU) remains an important political issue. Denmark emerged from two referenda (June 2, 1992 and May 18, 1993) on the Maastricht Treaty on the European Union with four exemptions (or “opt-outs”) common defense, common currency, EU citizenship, and certain aspects of legal cooperation, including law enforcement. The Amsterdam Treaty was approved in a referendum May 28, 1998, by a 55% majority. Still, the electorate's fear of losing national identity in an integrated Europe and lack of confidence in long-term stability of European economies run deep. These concerns were at the forefront of the September 28, 2000 referendum on Denmark's participation in the third phase of the Economic and Monetary Union, particularly the common currency, the euro; more than 53% voted “no,” and Denmark retained its “krone” currency unit. The government and the pro-EU opposition have agreed, and Denmark has received an EU green light, to maintain the four opt-outs throughout the process of approving and ratifying a new EU constitutional treaty, with the ambition to eliminate all opt-outs in the longer term. The government intended to put Danish approval of the new EU constitution to the public in a referendum, but that process has been put on hold until further discussion of the constitution has taken place in the European Council. Denmark's relatively quiet and neutral role in international affairs was abruptly changed on September 30, 2005, when the Danish newspaper Jyl-lands-Posten printed 12 caricatures of Mohammed. Islamic law prohibits any visual portrayal of Mohammed, and Muslims viewed the caricatures as offensive. Muslims worldwide were infuriated with the Danes, beginning a boycott of Danish products and burning several Danish embassies. The Danish Government defended freedom of expression while it chastised the newspaper for inconsideration. The newspaper apologized, and the Danish Government repeatedly reiterated its support for freedom of religion, but the Islamic community still holds much animosity toward the Danes.

ECONOMY

Denmark's industrialized market economy depends on imported raw materials and foreign trade. Within the European Union, Denmark advocates a liberal trade policy. Its standard of living is among the highest in the world, and the Danes devote about 1% of gross national product (GNP) to foreign aid to less developed countries. In addition, Denmark in 2006 devoted 0.81% of GNP for overseas development, including for peace and stability purposes, refugee pre-asylum costs, and for environmental purposes in central and eastern Europe and developing countries.

Denmark is a net exporter of food and energy. Its principal exports are machinery, instruments, and food products. The United States is Denmark's largest non-European trading partner, accounting for about 6% of total Danish merchandise trade. Aircraft, computers, machinery, and instruments are among the major U.S. exports to Denmark. Among major Danish exports to the United States are industrial machinery, chemical products, furniture, pharmaceuticals, canned ham and pork, windmills, and plastic toy blocks (Lego). In addition, Denmark has a significant services trade with the U.S., a major share of it stemming from Danish-controlled ships engaged in container traffic to and from the United States (notably by Maersk-SeaLand). There are some 375 U.S.-owned companies in Denmark.

The Danish economy is fundamentally strong. Since the mid-1990s, economic growth rates have averaged close to 3%, the formerly high official unemployment rate stands at around 4%, and public finances have been in surplus. Except for one year—1998— Denmark since 1989 has had comfortable balance-of-payments current account surpluses, in 2006 corresponding to 2.45% of GDP. The former Social Democratic-led government coalition lowered marginal income tax rates but at the same time reduced tax deductions, increased environmental taxes, and introduced a series of user fees, thus increasing overall revenues. Under the tax reform plan agreed upon by the government and the Danish People's Party on March 31, 2003, taxpayers received tax relief in 2004, albeit at a lesser rate than the government proposed originally. Denmark has maintained a stable currency policy since the early 1980s, with the krone fomerly linked to the Deutschmark and since January 1, 1999, to the euro. Denmark meets, and even exceeds, the economic convergence criteria for participating in the third phase (a common European currency—the euro) of the European Monetary Union (EMU). Although a referendum on EMU participation held on September 28, 2000 resulted in a firm “no” and Denmark, therefore, has not yet adopted the euro, opinion polls show support for EMU membership now exceeds 60%.

Danes are generally proud of their welfare safety net, which ensures that all Danes receive basic health care and need not fear real poverty. However, at present the number of working-age Danes living mostly on government transfer payments amounts to more than 800,000 persons (roughly 23% of the working-age population). Although this number has been reduced in recent years, the heavy load of government transfer payments burdens other parts of the system. Health care, other than for acute problems, and care for the elderly and children have particularly suffered, while taxes remain at a painful level. More than one-fourth of the labor force is employed in the public sector.

Greenland and the Faroe Islands

The Greenland economy has increased by an average of some 3% to 4% annually since 1993, the result of increasing catches and exports of shrimp, Greenland halibut and, more recently, crab. However, it was not until 1999 that the economy had fully recovered from the economic downturn in the early 1990s. During the last decade the Greenland Home Rule Government (GHRG) has pursued a fiscal policy with mostly small budget surpluses and low inflation. The GHRG has taken initiatives to increase the labor force and thus employment by, among other things, raising the retirement age from 60 to 63 years. However, structural reforms are still needed in order to create a broader business base and economic growth through more efficient use of existing resources in both the public and the private sector. Due to the continued critical dependence on exports of fish, the economy remains very vulnerable to foreign developments. The public sector, including publicly owned enterprises and the municipalities, plays the dominant role in Greenland's economy. Close to one-half of the government revenues come from Danish Government grants, an important supplement of GDP. Greenland has registered a foreign trade deficit since the closure of the last remaining lead and zinc mine in 1989. Despite several interesting hydrocarbon and mineral exploration activities, it will take several years before production can materialize. Two major aluminum producers reportedly have expressed interest in building smelters in Greenland to take advantage of abundant hydropower potential. Besides a continued increase in local content, i.e., using a Greenlandic rather than Danish work force in both the public and private sectors, tourism appears to be the sector that offers the best near-term potential, and even this is limited due to a short season and high costs. Air Greenland has announced it will begin its first scheduled service to North America in May 2007, with summer season flights to Baltimore.

Politically, the Greenland Home Rule Government has had increasing autonomy since its creation in 1979. An independent commission from Greenland made recommendations for greater self-rule in 2003. In May 2003, the Danish and Greenland Home Rule governments reached agreement on a set of power-sharing principles on Greenland's involvement in Danish foreign and security policy. The so-called Itilleq Declaration provides that Greenland will have foreign policy involvement with a view toward having equal status on questions of concern to both Denmark and Greenland. The Danish Government intends to form, together with Greenland, a new Danish-Greenlandic Commission to make joint recommendations to the Danish parliament on ways to update the Home Rule Act of 1979.

The Faroese economy has performed strongly since the mid-1990s with annual growth rates averaging close to 6%, mostly as a result of increasing fish landings and salmon farming and high and stable export prices. Unemployment is insignificant and there are labor shortages in several sectors. Most of the Faroese who emigrated in the early 1990s (some 10% of the population) due to the economic recession have now returned. The positive economic development also has helped the Faroese Home Rule Government produce increasing budget surpluses that in turn help to reduce the large public debt, most of it to Denmark. However, the total dependence on fishing and salmon farming makes the Faroese economy very vulnerable, and the present fishing efforts appear in excess of what is required to ensure a sustainable level of fishing in the long term.

Initial discoveries of oil in the Faroese area give hope for eventual oil production, which may lay the basis for a more diversified economy and thus less dependence on Denmark and Danish economic assistance. Aided by a substantial annual subsidy from Denmark, albeit reduced from some 10% of GDP to about 6% in 2002, the Faroese have a standard of living comparable to that of the Danes and other Scandinavians.

Politically, the present Faroese Home Rule Government has initiated a process toward greater independence from Denmark, if not complete secession from the realm, a project the out-come of which it is too early to predict. In that respect, agreement on how to phase out the Danish subsidy plays a crucial role.

NATIONAL SECURITY

Although Denmark remained neutral during the First World War, its rapid occupation by Nazi Germany in 1940 persuaded most Danes that neutrality was no longer a reliable guarantee of Danish security. Danish security policy is founded on its membership in NATO. Since 1988, Danish budgets and security policy have been set by multi-year agreements supported by a wide parliamentary majority, including government and opposition parties. In 2006, Danish defense expenditures were 1.4% of GDP according to a NATO estimate.

FOREIGN RELATIONS

Danish foreign policy is founded upon four cornerstones: the United Nations, NATO, the EU, and Nordic cooperation. Denmark also is a member of, among others, the World Bank and the International Monetary Fund; the World Trade Organization (WTO); the Organization for Security and Cooperation in Europe (OSCE); the Organization for Economic Cooperation and Development (OECD); the Council of Europe; the Nordic Council; the Baltic Council; and the Barents Council. Denmark emphasizes its relations with developing nations. Although the government has moved to tighten foreign assistance expenditures, it remains a significant donor and one of the few countries to exceed the UN goal of contributing 0.7% of GNP to development assistance.

In the wake of the Cold War, Denmark has been active in international efforts to integrate the countries of Central and Eastern Europe into the West. It has played a leadership role in coordinating Western assistance to the Baltic states (Estonia, Latvia, and Lithuania). The country is a strong supporter of international peacekeeping. Danish forces were heavily engaged in the former Yugoslavia in the UN Protection Force (UNPROFOR), as well as in NATO's Operation Joint Endeavor/Stabilization Force in Bosnia and Herzegovina (IFOR/SFOR), and currently in the Kosovo Force (KFOR).

Denmark has been a member of NATO since its founding in 1949, and membership in NATO remains highly popular. There were several serious confrontations between the U.S. and Denmark on security policy in the so-called “footnote era” (1982–88), when a hostile parliamentary majority forced the government to adopt specific national positions on nuclear and arms control issues. With the end of the Cold War, however, Denmark has been supportive of U.S. policy objectives in the Alliance.

Danes have had a reputation as “reluctant” Europeans. When they rejected ratification of the Maastricht Treaty on June 2, 1992, they put the European Community's (EC) plans for the European Union on hold. In December 1992, the rest of the EC agreed to exempt Denmark from certain aspects of the European Union, including a common defense, a common currency, EU citizenship, and certain aspects of legal cooperation. On this revised basis, a clear majority of Danes approved continued participation in the EU in a second referendum on May 18, 1993, and again in a referendum on the Amsterdam Treaty on May 28, 1998.

Since September 11, 2001, Denmark has been highly proactive in endorsing and implementing United States, UN, and EU-initiated counter-terrorism measures, just as Denmark has contributed substantially to the International Security Assistance Force (ISAF) in Afghanistan and the neighboring countries. In 2003, Denmark was among the first countries to join the “Coalition of the Willing” and supplied a submarine, Corvette-class ship, and military personnel to the coalition's effort in Iraq to enforce UN Security Council Resolution 1441. Since that time it has provided 500 troops to assist with stabilization efforts in Iraq. Prime Minister Rasmussen announced in February 2007 that most Danish troops would be withdrawn from Iraq by August 2007, as Iraqi forces had become capable of taking over security responsibilities in the Basra area, where the Danish troops had been concentrated.

U.S.-DANISH RELATIONS

Denmark is a close NATO ally, and overall U.S.-Danish relations are excellent. Denmark is active in Afghanistan and Kosovo as well as a leader in the Baltic region. Prime Minister Rasmussen reaffirmed that Denmark would remain engaged in Iraq even as its troop levels there decline. Denmark and the United States consult closely on European political and security matters. Denmark shares U.S. views on the positive ramifications of NATO enlargement. Denmark is an active coalition partner in the War on Terrorism, and Danish troops are supporting U.S.-led stabilization efforts in Afghanistan and Iraq. The U.S. also engages Denmark in a broad cooperative agenda through the Enhanced Partnership in Northern Europe (EPINE)—the U.S. policy structure to strengthen U.S.-Nordic-Baltic policy and program coordination. President Bush made an official working visit to Copenhagen in July 2005, and Prime Minister Rasmussen met with the President at Camp David in June 2006.

Denmark's active liberal trade policy in the EU, OECD, and WTO largely coincides with U.S. interests. The U.S. is Denmark's largest non-European trade partner with about 5% of Danish merchandise trade. Denmark's role in European environmental and agricultural issues and its strategic location at the entrance to the Baltic Sea have made Copenhagen a center for U.S. agencies and the private sector dealing with the Nordic/Baltic region.

American culture—and particularly popular culture, from jazz, rock, and rap to television shows and literature— is very popular in Denmark. Some 311,000 U.S. tourists visit the country annually.

The U.S. Air Force (USAF) base and early warning radar at Thule, Greenland—a Danish self-governing territory—serve as a vital link in Western defenses. In August 2004, the Danish and Greenland Home Rule governments gave permission for the early warning radar to be updated in connection with a role in the U.S. ballistic missile defense system. At the same time, agreements were signed to enhance economic, technical, and environmental cooperation between the United States and Greenland.

Principal U.S. Embassy Officials

Last Updated: 2/19/2008

COPENHAGEN (E) Dag Hammerskjolds Allé 24, 2100 Copenhagen 0, Denmark, APO/FPO PSC 73, APO/ AE 09716, +45 3341 7100, Fax +45 3543 0223, INMARSAT Tel +1 8816-314-39096, Workweek: 8:30 am until 5:00 pm, Website: http://denmark.usembassy.go

TRAVEL

Consular Information Sheet

August 23, 2007

Country Description: Denmark is a highly developed stable democracy with a modern economy. Greenland is a self-governing dependency of Denmark. The Faroe Islands are a self-governing overseas administrative division of Denmark.

Entry Requirements: Passport and visa regulations are similar for Denmark, Greenland, and the Faroes. A valid passport is required. U.S. citizen tourist and business travelers do not need visas for visits of up to 90 days. That period begins when entering any of the following countries which are parties to the Schengen agreement: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Iceland, Italy, Luxembourg, The Netherlands, Norway, Portugal, Spain, and Sweden. Contact the Royal Danish Embassy at 3200 Whitehaven Street, NW, Washington, DC 20008, telephone (202) 234-4300 or visit its web site at http://www.denmarkemb.org for the most current visa information.

Note: Although European Union regulations require that non-EU visitors obtain a stamp in their passports upon initial entry to a Schengen country, many borders are not staffed with officers carrying out this function. If an American citizen wishes to ensure that his or her entry is properly documented, it may be necessary to request a stamp at an official point of entry. Under local law, travelers without a stamp in their passports may be questioned and asked to document the length of their stay in Schengen countries at the time of departure or at any other point during their visit, and could face possible fines or other repercussions if unable to do so.

Safety and Security: Denmark remains largely free of terrorist incidents, however the country shares, with the rest of Western Europe, an increased threat of Islamic terrorism. Like other countries in the Schengen area, Denmark's open borders with its Western European neighbors allow the possibility of terrorist groups entering and exiting the country with anonymity. Americans are reminded to remain vigilant with regard to their personal security and to exercise caution.

Public demonstrations occasionally occur in Copenhagen and other Danish cities and are generally peaceful events. Prior police approval is required for public demonstrations, and police oversight is routinely provided to ensure adequate security for participants and passers-by. Nonetheless, as with any large crowd comprised of diverse groups, situations may develop which could pose a threat to public safety. U.S. citizens are advised to avoid areas where public demonstrations are taking place.

From time to time Copenhagen may experience protest activities from young people in their attempt to defend their self-proclaimed rights to either property (club activity buildings) or other privileges provided by Danish public means. American citizens should be aware that participation in illegal demonstrations or street riots may result in immediate imprisonment and long term bans on re-entering Denmark.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet website at http://travel.state.gov, where the current World-wide Caution Travel Alert, Travel Warnings, and Travel Alerts can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll-free in the United States, or, for callers outside the United States and Canada, a regular toll line at 1-202-501-4444.

Crime: Denmark, Greenland, and the Faroes all have very low violent crime rates, however, non-violent crimes of opportunity have increased over the last few years, especially in Copenhagen and other major Danish cities, where tourists can become targets for pickpockets and sophisticated thieves. Criminals frequent airports, train stations, and cruise ship quays to take advantage of weary, luggage-burdened travelers. Thieves also operate at popular tourist attractions, shopping streets, and restaurants. In hotel lobbies and breakfast areas, thieves take advantage of even a brief lapse in attention to snatch jackets, purses, and back-packs. Women's purses placed either on the backs of chairs or on the floor are typical targets for thieves. Due to the increase of crimes of opportunity, Embassy Copenhagen has experienced a high rise in passport thefts during the summer of 2007. Car and home break-ins are also on the rise.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, to contact family members or friends, and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Denmark has a program to provide financial compensation to victims who suffer serious criminal injuries. According to existing regulations, the victim must report the incident to the police within 24 hours. Danish police routinely inform victims of serious crime of their rights to seek compensation. The relevant forms can be obtained from the police or the Danish Victims' Compensation Board: Civilstyrelsen, Erstatnings-naevnet, Gyldenløvesgade 11, 1600 Copenhagen V, tel: (45) 33-92-3334; FAX: (45) 39-20-45-05; http://www.erstatningsnaevnet.dk; Email: erstatningsnaevnet@erstatningsnae-vnet.dk. Claim processing time is a minimum of 4 weeks. There is no maximum award limit.

Medical Facilities and Health Information: Excellent medical facilities are widely available in Denmark. In Greenland and the Faroe Islands, medical facilities are limited and evacuation is required for serious illness or injury. Although emergency medical treatment is free of charge, the patient is charged for follow-up care.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's (CDC) hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC's web site at http://cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's (WHO) web site at http://www.who.int.en. Further health information for travelers is available at http://www.who.int/ith.

Medical Insurance: The Department strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Denmark is provided for general reference only, and may not be totally accurate in a particular location or circumstance. A valid U.S. driver's license may be used while visiting Denmark, but the driver must be at least 18 years old. Driving in Denmark is on the right side of the road. Road signs use standard international symbols. Many urban streets have traffic lanes reserved for public transport only. Unless otherwise noted on traffic signs, the speed limit is 50 km/h in urban areas, 80 km/h on open roads, and 130 km/h on expressways.

Use of seat belts is mandatory for drivers and all passengers. Children under three years of age must be secured with approved safety equipment appropriate to the child's age, size, and weight. Children from three to six years of age may use approved child or booster seats instead of seat belts.

Driving under the influence of alcohol or drugs is considered a very serious offense. The rules are stringently enforced, and violations can result in stiff fines and possible jail sentences.

Copenhagen, the capital and largest city in Denmark, has an extensive and efficient public transportation system. Trains and buses connect Copenhagen with other major cities in Denmark and to Norway, Sweden, and Germany. Bicycles are also a common mode of transportation in Denmark. Passengers exiting public or tourist buses, as well as tourists driving rental cars, should watch for bicycles on their designated paths, which are usually located between the pedestrian sidewalks and the traffic lanes.

Danish expressways, highways, and secondary roads are of high quality and connect all areas of the country. It is possible to drive from the northern tip of Denmark to the German border in the south in just four hours. Greenland has no established road system, and domestic travel is performed by foot, boat, or by air. The majority of the Faroe Islands are connected by bridges or serviced by boat. Although the largest islands have roads, most domestic travel is done on foot, horseback, boat, or by air.

The emergency telephone number for police/fire/ambulance in Denmark and the Faroe Islands is 112. In Greenland contact the local police.

Visit the website of the country's national tourist office and national authority responsible for road safety at http://www.denmark.org. See also additional information on driving in Denmark at http://www.trafikken.dk.

Aviation Safety Oversight: The U.S. Federal Aviation Administration (FAA) has assessed the Government of Denmark's Civil Aviation Authority as being in compliance with International Civil Aviation Organization (ICAO) aviation safety standards for the oversight of Denmark's air carrier operations. This rating applies to Greenland and the Faroe Islands as well. For more information, travelers may visit the FAA's internet web site at www.faa.gov.

Special Circumstances: The official unit of currency in Denmark is the Danish krone. ATM machines are widely available throughout Denmark. For information concerning the importation of pets into Denmark, please visit the following website: http://www.foedevarestyrelsen.dk.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protection available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Denmark's laws, even unknowingly, may be expelled, arrested, or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Denmark are severe and convicted offenders can expect long jail sentences and heavy fines. Engaging in sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children's Issues: For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family.

Registration and Embassy Locations: Americans living or traveling in Denmark are encouraged to register with the nearest U.S. Embassy or Consulate through the State Department's travel registration web site, https://travelregistration.state.gov, and to obtain updated information on travel and security within Denmark. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency.

The U.S. Embassy is located at Dag Hammarskjolds Alle 24; 2100 Copen-hagen, telephone: (45) 33-41-71-00; Embassy fax: (45) 35-43-02-23; Consular Section fax: (45) 35-38-96-16; After-hours emergency telephone: (45) 35-55-92-70. Information is also available via the U.S. Embassy's website at http://www.usembassy.dk. The United States has no consular presence in Greenland or the Faroe Islands.

International Adoption

May 2007

The information in this section has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Adoption section of this book and review current reports online at http://travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is based on public sources and current understanding. Questions involving foreign and U.S. immigration laws and legal interpretation should be addressed respectively to qualified foreign or U.S. legal counsel.

Please Note: There are few children eligible for intercountry adoption from Denmark, with a long waiting list of Danish prospective adoptive parents. While legally possible, inter-country adoption of a Danish orphan by foreigners is unlikely.

Patterns of Immigration: No Danish orphans have received U.S. immigrant visas in the past five fiscal years.

Adoption Authority: The Danish Ministry of Family & Consumer Affairs, Department of Family Affairs is the adoption law-making branch of the Danish government and is also the Central Authority for the Hague Intercountry Adoption Convention. The Department certifies adoption agencies and monitors their work to ensure that they comply with the law.

Danish Ministry of Family &
Consumer Affairs
Department of Family Affairs
Stormgade 2-6
1470 Copenhagen
Tel: +45-3392 3302
Fax: +45-3927 1889
Email: familiestyrelsen@famstyr.dk
Web site: www.familiestyrelsen.dk

Joint Councils are established at the five Regional State Administrations (Statsforvaltning) in Denmark. The Regional State Administration mainly concentrates on family issues: divorce, child custody, maintenance. The prospective parents file their initial application with the local Joint Council of the Regional State Administration in the jurisdiction where they reside.

A Joint Council consists of three members—a social worker, a lawyer, and a medical officer. The Joint Council determines whether the initial application for adoption may be approved for further processing. Decisions reached by the Joint Councils may be appealed to the Danish National Board of Adoption, which is a department of the Ministry of Justice at:

Danish National Board of Adoption
Stormgade 2-6
1470 Copenhagen
Tel: +45-3392 3302
Fax: +45-3927 1889
Email: an@adoptionsnaevnet.dk
Web site: http://www.adoptionsnaevnet.dk

The Danish National Board of Adoption supervises the Joint Councils, observes national and international developments in adoption matters, collects information concerning adoption, negotiates with authorities and organizations in other countries, and supplies general information. A complete list of Joint Councils can be found at www.statsforvaltning.dk

Eligibility Requirements for Adoptive Parents: The age difference between the applicant and the prospective child should not be more than 40 years. Married couples must adopt as a couple. Single people can also adopt. Danish law prohibits same-sex couples from adopting in Denmark.

Residency Requirements: Adoptive parents must be legally admitted residents of Denmark to adopt domestically or intercountry. Temporary visitors without an established home in Denmark cannot apply.

Time Frame: From the initial contact with the Joint Council at the Regional State Administration until the adoptive parents can be united with the child, the time frame is a minimum of 18 months, but may be as long as 21/2 years.

Adoption Agencies and Attorneys: Domestic adoptions in Denmark are processed via the five Regional State Administrations in the jurisdiction where the prospective parents reside. Private adoption agencies are accredited by the Danish government to provide adoption services. Please review current reports online at http://travel.state.gov/ family for a list of agencies.

Adoption Fees: Domestic adoptions of Danish children are free of charge. The cost of an intercountry adoption (adopting a child in a third country and then taking him or her to Denmark to reside) is approximately Danish Kroner 74,000 (USD $13,500), depending on the country of the child's origin. Travel expenses must be added to this amount. Once the adoption has been finalized, the adoptive parents are entitled to a Danish Government lump-sum relief benefit of Danish Kroner 42,000 (USD $7,600) to help reduce their overall expenses.

Adoption Procedures: Prospective adoptive parents file an application with their Regional State Administration. The application is processed in three phases.

The first phase determines whether the applicants meet the following general conditions for adoptive parents: the age difference between the applicants and the child should not in general should not be more than 40 years; couples must be married and have lived in the same household for at least 21/2 years; the physical and psychological health of the applicants must meet certain criteria, the applicants' home must be suitable to house a child; the applicants must be of proper financial standing; and the applicants cannot have a criminal record that would make them unfit to become adoptive parents. Applicants cannot proceed to phase two without approval by the Joint Council.

The second phase is a pre-adoption counseling training program, mandatory for all applicants who have not previously adopted a child from abroad. The purpose of the training is to supply applicants with information concerning different aspects of adoption, and to provide a basis for the applicants themselves to determine whether or not they possess the necessary resources (financial as well as parenting abilities) to adopt a foreign child. The training course runs over a weekend and a half (one weekend session, followed by one Saturday or Sunday session). Participation in a pre-adoption training program costs Danish Kroner 1,500 (USD $275).

The third phase includes one or more interviews with the secretariat of the Joint Council. At the end of the third phase, a home study report is presented to the Joint Council for final decision and approval.

The prospective parents proceed by submitting their approval to one of the Danish government-authorized adoption agencies.

Adoption of a child is governed by the laws of the child's country of origin. The Department of State produces intercountry adoption flyers for every country in the world, and U.S. prospective adoptive parents, even if they are residing outside the United States, should consult the flyer for the country from which they plan to adopt. The U.S. Embassy in the child's country of origin will also be able to provide additional information.

Required Documents: The initial application form, which can be obtained from the Regional State Administration, must be accompanied by the following documents: birth certificate, marriage certificate, latest tax return showing financial status and documentation whether outstanding arrears exist, and a certificate of health. An application to participate in the pre-adoption counseling program must be filed with the

Department of Family Affairs, Office of Training Programs. If the applicants wish to continue the process after they complete the counseling program, a third application must be filed to start phase three. When the child arrives in Denmark from his or her country of origin (after that country's adoption procedures have been completed), the adoptive parents must apply to the Regional State Administration for an Adoption Certificate. With the Adoption Certificate, the adoption is finalized, and pursuant to Danish law, the adopted child has the same rights as a biological child.

Royal Danish Embassy 3200 Whitehaven Street NW Washington, DC 20008-3683 Tel: (202) 234-4300 Fax: (202) 328-1470 E-mail: wasamb@.um.dk Web site: http://www.denmarkemb.org Denmark has Consulates General in Chicago and New York City.

U.S. Immigration Requirements: Prospective adoptive parents are strongly encouraged to consult USCIS publication M-249, The Immigration of Adopted and Prospective Adoptive Children, as well as the Department of State publication, International Adoptions. Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

U.S. Embassy
Dag Hammarskjolds Alle 24
2100
Copenhagen
Tel: +45-3341 7100
Fax: +45-35 38 96 16
E-mail: CopenhagenACS@state.gov
Web site: http://www.usembassy.dk.

Additional Information: Specific questions about adoption in Denmark may be addressed to the U.S. Embassy in Copenhagen. General questions regarding intercountry adoption may be addressed to the Office of Children's Issues, U.S. Department of State, CA/OCS/CI, SA-29, 4th Floor, 2201 C Street, NW, Washington, D.C. 20520-4818, toll-free Tel: 1-888-404-4747.

DENMARK

DENMARK. Denmark was an expansive, sparsely populated kingdom. It embraced Denmark itself, the Scanian provinces at the southern tip of the Scandinavian peninsula (until 1660), the kingdom of Norway and its vassal state, Iceland, the duchies of Schleswig and Holstein-Segeberg, the Færoe Islands, and the Baltic island of Bornholm. Its aggregate population in 1600 numbered around 1.5 million, but territorial losses incurred in 1658–1660 reduced that number somewhat. Although not a wealthy state, at its height it produced and exported substantial quantities of grain, hides, timber, fish, and cattle. Its main source of wealth and power came from its position astride the Sound and the Belts, which gave Denmark control over maritime traffic entering or leaving the Baltic. From 1426, the kings of Denmark collected the Sound Dues, a commercial duty on shipping passing through the Sound at Helsingør. The Sound Dues became the monarchy's single most important source of revenue, and command of the Sound gave Denmark prestige and influence disproportionate to its small population and resource base.

Before 1660, the system of government was a conciliar, elective monarchy under the rule of the Oldenburg dynasty, with its administrative center at Copenhagen. The kings shared power with the Council of State (Rigsråd), whose membership was drawn from a handful of aristocratic families. Diets and popular assemblies were generally insignificant at the national level. From 1536 to 1660, Norway, with its vassal state Iceland, was a mere province of Denmark, while the "duchies" of Schleswig and Holstein were the monarch's personal patrimony. The kings' dual identities as Scandinavian sovereigns and as princes of the Holy Roman Empire ensured that Denmark would enjoy close commercial and cultural ties with the German lands.

The sixteenth century witnessed a considerable expansion of royal and state power in Denmark. At the beginning of the century, Denmark was still linked to both Norway and Sweden by the Kalmar Union of 1397, but separatist tendencies in Sweden had rendered the union meaningless before its dissolution in 1523. The autocratic and centralizing rule of Christian II (ruled 1513–1523) sparked a national uprising in Sweden in 1520, leading to Sweden's independence three years later. The king's policies, which favored mercantile and peasant interests over those of the nobility, likewise stirred discontent within Denmark and led to his deposition in 1523. The council replaced Christian II with his more passive uncle, Frederick I (ruled 1523–1533), who paved the way for the Protestant Reformation by his toleration for Lutheran preaching. Civil war—the so-called "Count's War" (1534–1536)—broke out when Frederick died, as the king's son, the avowedly Lutheran Christian of Holstein, and the exiled Christian II fought over the throne. Ultimately, Christian of Holstein was victorious and was crowned Christian III (ruled 1536–1559). Christian III introduced Lutheranism as the state religion, and, although he brought greater power and wealth (the latter through the confiscation of church properties) to the central authority, he maintained good relations with the great magnates and kept the realm at peace for his entire reign. His enviable record in this regard was shattered by his son, Frederick II (ruled 1559–1588), who conquered the Ditmarschen region in Holstein (1559) and brought Denmark to war with Sweden in the Seven Years' War of the North (1563–1570). Denmark proved unable to vanquish Sweden, but the bloody conflict severely disrupted Baltic trade and thus drew the attention of all Europe. The remainder of Frederick II's reign was peaceful, and after 1570 the king devoted himself to ecclesiastical reform, endeavoring as well to craft an international Protestant alliance. Denmark was at the height of its power and cultural influence: the navy was, in 1588, the equal of the Elizabethan fleet, and the monarchy supported such luminaries as the theologian Niels Hemmingsen (1513–1600) and the astronomer Tycho Brahe (1546–1601).

TRANSITION TO ABSOLUTISM

The central event in seventeenth-century Denmark was the transition to absolute monarchy. Following a difficult regency, Frederick II's ambitious son came to the throne as Christian IV (ruled 1596–1648). Christian IV sought to expand Denmark's dominance in Baltic and north German affairs, taking control of several secularized bishoprics in the Holy Roman Empire, challenging the waning commercial power of the Hanseatic League, initiating a trade monopoly in Iceland, and trying without success to conquer Sweden (the Kalmar War, 1611–1613). The king's fears of Habsburg aggression prompted him to take up the leadership of a Protestant coalition and to intervene directly in the Thirty Years' War (1618–1648). Denmark's intervention, called the "Lower Saxon War" (1625–1629), proved calamitous. Denmark escaped utter destruction through a lenient peace treaty (Lübeck, 1629), but the war bankrupted the state, damaged Denmark's international reputation, and wrecked the relationship between king and council.

Christian IV's efforts to reassert his influence in German affairs, and to sidestep the opposition in the council, exacerbated the split between king and aristocracy. Sweden's invasion of Denmark near the end of his reign (the Torstensson War, 1643–1645) effectively ended Christian's political career. Christian's son and successor, Frederick III (ruled 1648–1670), was initially almost powerless because of the aristocratic reaction that followed his father's death. His attempt at revenge against Sweden (the Charles Gustav Wars, 1657–1660) was an abject failure; Swedish armies invaded Denmark and compelled the conclusion of a humiliating peace (Roskilde, 1658, and Copenhagen, 1660). Only Dutch intervention prevented the Swedish king Charles X Gustav (ruled 1654–1660) from partitioning Denmark. Denmark lost the Scanian provinces and much of Norway, and, thereby, control over the Sound.

The crushing defeat, a huge national debt, and a popular antiaristocratic backlash spurred a royalist revolution in the autumn of 1660. Frederick III accepted the diet's offer of hereditary and absolute kingship, confirmed by the Royal Law (Lex Regia) of 1665, Europe's only formal absolutist constitution. Under absolutism, which would survive until the revolutionary upheavals of 1848–1849, Denmark would gain a measure of order and efficiency, but it would never again attain the status of a major power. The old administration was replaced gradually by a collegial system, topped by a privy council; the nobility lost its tax-exempt status. During the reign of Christian V (ruled 1670–1699), the king and his chief ministers (notably Peder Schumacher Griffenfeld [1635–1699]) initiated a flurry of reforms and commercial endeavors, including the introduction of ranking in the noble estate (1671), the creation of the West Indies Company (1671), and a standardized law code (1683). Denmark had recovered sufficiently from the disasters of 1657–1660 to undertake an offensive war against Sweden (the Scanian War, 1675–1679), although all of the territories conquered by Danish forces were returned to Sweden as the result of French diplomatic pressure. Christian V's attempts to subjugate Hamburg and Holstein-Gottorp in the 1680s proved similarly fruitless.

THE EIGHTEENTH CENTURY

The eighteenth century started with a new king (Frederick IV, ruled 1699–1730) and a new war. Denmark's resentment of its powerful neighbor Sweden continued unabated, and in 1700 Frederick IV attacked Sweden's ally Holstein-Gottorp in conjunction with offensives launched by Poland-Saxony and Russia (the Great Northern War, 1700–1721).TheyoungSwedishwarrior-king, CharlesXII (ruled 1697–1718), easily defeated Denmark and forced it out of the war within weeks. Although temporarily cowed, Frederick renewed the war after Charles XII's 1709 defeat at Poltava (in what is now the Ukraine), managing some limited territorial gains. The war continued in earnest after Charles XII returned in 1714 from his lengthy exile in Turkey but ground to a halt after the Swedish king's death in battle in Norway (1718). Although there were serious international crises involving Sweden in the 1740s and Russia in the 1760s, Denmark did not go to war again for the remainder of the century.

During the first half of the eighteenth century, the kings (Frederick IV, ruled 1699–1730; Christian VI, ruled 1730–1746; and Frederick V, ruled 1746–1766) steadily exerted greater control over Danish society while favoring the mercantile elite. The peasantry, already suffering the effects of falling grain prices, felt the most pressure: the creation of a national militia in 1701 restored to the landowning nobility considerable control over the lives of the peasants; to sustain the militia, further decrees enacted in 1733 restricted the movement of male peasants of military age. The trading companies—especially the West Indies-Guinea Company, which managed the lucrative sugar exports from Denmark's colonies in the Caribbean (the present-day U.S. Virgin Islands)—prospered, as did Copenhagen, the staple-town of several trade monopolies.

The Enlightenment had as profound an impact on Danish politics and society as it did on intellectual life. Mid-century witnessed the blossoming of literature and the arts in Denmark, as evidenced by the career of the author Ludwig Holberg (1684–1754). Though the last two kings of the century (Frederick V, 1746–1766; Christian VII, 1766–1808) were mediocrities at best, a series of ministers and royal favorites—Adam Gottlob Moltke (1710–1792), Andreas Peter Bernstorff (1735–1797),Johann Friedrich Struensee (1737–1773), and Ove Høegh-Guldberg (1731–1808)—introduced typical "enlightened" reforms, aimed primarily at increasing agricultural productivity while improving the brutal living conditions of the peasantry. Struensee was personally responsible for sweeping reforms, including freedom of the press, but his unchecked ambition and scandalous affair with Queen Caroline Mathilde, the sister of King George III (ruled 1760–1820) of England, brought an end to both his career and his life in1772. Reforms continued despite this setback, culminating in the abolition of serfdom in 1788. At the closeoftheearlymodernperiod, Denmarkwasaprosperous, stable, and well-ordered state, but no longer a significant participant in international politics.

See also Absolutism ; Aristocracy and Gentry ; Baltic and North Seas ; Baltic Nations ; Brahe, Tycho ; Charles X Gustav (Sweden) ; Charles XII (Sweden) ; Enlightenment ; Habsburg Territories ; Holy Roman Empire ; Kalmar, Union of ; Luther, Martin ; Lutheranism ; Northern Wars ; Popular Protest and Rebellions ; Serfdom ; Sweden ; Thirty Years' War (1618–1648) ; Trading Companies .

BIBLIOGRAPHY

Barton, H. Arnold. Scandinavia in the Revolutionary Era, 1760–1815. Minneapolis, 1986. The best account in English of the reform era in Denmark, particularly with regard to Struensee.

Christianson, John Robert. On Tycho's Island: Tycho Brahe and His Assistants, 1570–1601. Cambridge, 2000. Well-researched analysis of Brahe's career, and of the vibrant intellectual atmosphere of Frederick II's court.

Frost, Robert I. The Northern Wars: War, State, and Society in Northeastern Europe, 1558–1721. New York, 2000. By far the best account, in any language, of the complicated series of conflicts in early modern Scandinavia and the Baltic.

Grell, Ole Peter, ed. The Scandinavian Reformation: From Evangelical Movement to Institutionalisation of Reform. Cambridge, U.K., 1995. Includes articles on the course and implications of the Lutheran Reformation in Denmark by Martin Schwarz Lausten, Thorkild Lyby, and Ole Peter Grell.

Jespersen, Leon, ed. A Revolution from Above? The Power State of 16th- and 17th-Century Scandinavia. Odense, Denmark, 2000. A summary of the work of the "Power State Project" of the 1980s and 1990s, including valuable essays by Leon Jespersen (Denmark) and Øystein Rian (Norway). Includes a thorough bibliography.

Lockhart, Paul Douglas. Denmark in the Thirty Years' War, 1618–1648: King Christian IV and the Decline of the Oldenburg State. Selinsgrove, Pa., 1996. Examination of Denmark's involvement in the war, as well as of the constitutional upheaval that followed.

Munck, Thomas. The Peasantry and the Early Absolute Monarchy in Denmark, 1660–1708. Copenhagen, 1979. Far broader than the title suggests; an excellent description of the rural classes and of the ramifications of absolutism.

Paul Douglas Lockhart