Overview Of The Economy Of Denmark:
The economy of Denmark has grown to become a modern day market economy that possesses an advanced industrial sector alongside its traditional and now high-tech agricultural sector. The economy of Denmark is known for its government welfare measures, an equal distribution of income and a high standard of living. Denmark is part of the European Union (EU) and its economic laws and regulation must meet EU standards. Unlike many EU countries, Denmark does not use the Euro but instead uses the Danish Krone. According to the Economic Complexity Index (ECI), Denmark has the 18th most complex economy in the world. In 2014, the gross domestic product (GDP) of Denmark was $342B and its GDP per capita was $45.5k.
Leading Industries In Denmark:
In Denmark, the service sector consumes 77.1% of the labor forces, followed by industry jobs at 20.3% and agricultural jobs at 2.6%. The leading industries in the country include food processing, shipbuilding, tourism and manufacturing of iron, nonferrous metals, chemicals, transportation equipment, clothing, electronics, furniture, windmills, medical equipment and pharmaceuticals.
Top Export Goods And Export Partners Of Denmark
In 2014, the most recent year with stats, Denmark exported $99 billion worth of goods. That makes the country the 39th largest export economy on Earth. The major exports of Denmark include packaged medicaments ($9.2B), refined petroleum ($3.79B), pig meat ($3.24B), electric generating sets ($2.33B) and human or animal blood ($2.31B). The top export partners that Denmark has are Germany ($14.3B), Sweden($11.1B), the United Kingdom ($7.78B), the United States ($7.62B) and Norway ($5.53B).
Top Import Goods And Partners Of Denmark
In 2014, the country of Denmark imported a total of $99 billion worth of goods, making it the 35th largest importer in the world and giving the country a neutral trade balance. The major imports of Denmark are refined petroleum ($5.13B), cars ($3.86B), packaged medicaments ($3.35B), crude petroleum ($2.8B) and computers ($2.29B). The top import partners that Denmark has are Germany ($20.3B), Sweden ($11.7B), the Netherlands ($7.6B), China ($7.01B) and Norway ($5.42B).
The Challenges And Future Of Denmark's Economy
The challenges currently facing Denmark's economy go back to the recent global financial crisis that slowed down their economy and dropped housing prices. Despite Denmark getting through the crisis better than other countries, the household indebtedness of the average person is still high compared to their net disposable income. The crisis also caused Denmark's budget surplus to become a deficit starting in 2009 and the economy has still not recovered enough to regain its pre-crisis GDP levels. Denmark has managed to have its labor market gain jobs since 2013, helping to improve employment levels. Denmark, like many industrialized nations, will have to deal with its increasing aged population and the unknown ramifications of that as its true long-term economic issue.