Norway

Two centuries of Viking raids into Europe tapered off following the adoption of Christianity by King Olav TRYGGVASON in 994. Conversion of the Norwegian kingdom occurred over the next several decades. In 1397, Norway was absorbed into a union with Denmark that lasted more than four centuries. In 1814, Norwegians resisted the cession of their country to Sweden and adopted a new constitution. Sweden then invaded Norway but agreed to let Norway keep its constitution in return for accepting the union under a Swedish king. Rising nationalism throughout the 19th century led to a 1905 referendum granting Norway independence. Although Norway remained neutral in World War I, it suffered heavy losses to its shipping. Norway proclaimed its neutrality at the outset of World War II, but was nonetheless occupied for five years by Nazi Germany (1940-45). In 1949, neutrality was abandoned and Norway became a member of NATO. Discovery of oil and gas in adjacent waters in the late 1960s boosted Norway's economic fortunes. The current focus is on containing spending on the extensive welfare system and planning for the time when petroleum reserves are depleted. In referenda held in 1972 and 1994, Norway rejected joining the EU.

Economical characteristics

 * Currency: Norwegian krone (ISO code: NOK)
 * Central bank discount rate: 4% (31 December 2008)
 * Commercial banks lending rate: 7.28% (31 December 2008)

Notable events:

 * Banking crisis: 1898, 1921-1923, 1931, 1936, 1987-1993
 * Years in inflation: 5.2% (share of years 1800-2009 with annual inflation above 20 per cent per annum)

Links

 * Norway on Wikipedia
 * Central bank of Norway
 * BBC country profile
 * New Challenges to the Nordic Welfare Model (pdf) by Bruce Bawer, May/June 2001
 * Austrian Economics: Application on Norwegian Business Cycles (pdf), by Håkon Bjerkenes, Håkon Kiil, and Paal Anker-Nilssen, June 2010