EU Reluctancy

Norway's economic success and stability is greatly attributed to it's independence. Above is a chart showing the export and import percentages of GDP for Norway. This is without the aid of the EU, as Norway opted to stay out of the EU in an attempt to provide independence to their economy & society. This decision proved to be ultimately effective as Norway's economy to date has been very prosperous. The reluctance to join the EU is simply because countries that are a part of the EU tend to flourish if they are wealthy. Norway for example would not benefit because the EU is a system in where everyone contributes money and resources. The wealthier nations contribute to balance the less wealthy nations, helping everyone gain stability. Because of this reason, Norway is succeeding on it's own.

Norway is a NATO country, with a lot of oil reserves generating a high profit for the nation which only has 4 million inhabitants and highest living standards in the world. It is protected by NATO because of its strategic importance of its oil resources. It also has access to the European market through the EFTA (European Free Trade Association). With all those factors in mind there is nothing for it to gain by joining the EU but only something to loose. This is common between many nations that are not in the EU.

Basically, Norway is self-sufficient, and has paved the way for it's independant success without the need for much outside help.

Norwegian Labor Market

As previously stated, Norway's current struggle is with it's unemployment rate. Though this issue appears to be leveling out, it is expected to be a recurrent issue until 2012, although this is purely speculative. In 2009 the unemployment rate was at 3.3% to the now 3.9% in 2010. These numbers indicate that Norway's unemployment rates are definitely an issue, and are not going away without some type of reform.

GDP however has been rising in a more positive direction as of 2010. Norwegian economists estimate a rise in GDP of around 1.4% by the end of 2010, and 2.5% by the year 2011. This portrays an optimistic future for the Norwegian people, and something to aspire to uphold.

The government has set up a public committee to examine the regulatory framework regulating the Norwegian financial market in light of the financial crisis. This is a positive step towards reforming the labor issues and gives the people of Norway reassurance that actions are being taken. It seems to me that Norway's government really cares about it's people and the overall benefit of it's economy.

http://www.eurofound.europa.eu/eiro/2009/09/articles/no0909039i.htm

Rich In Resources

There is no denying that Norway has one of the world's most prosperous economies. Many factors contribute to this, including it's capitalistic economic values which encompass a balance of free market and government interference. The government controls the key areas such as the petroleum sector through large-scale enterprises.

The main reason Norway has endured such hard times and came out unscathed is largely due to it's superfluous and eclectic variety of natural resources. Some of the more common are: petroleum, hydropower, fish, forests, and minerals, but the main area of focus is the petroleum sector, which accounts for over 30% of the state's revenue.

Though Norway elected to stay out of the EU in around 1994, it is still a shareholder in europe's economy, and an economy juggernaut to say the least. Norway is still going strong in 2010, and I believe it will continue to do so due to their fair economic policies and the lucrative petroleum industry they control.

http://www.eubusiness.com/europe/norway/econ

Resillience in Recession

The recession as of late has not only hit The U.S., but it has been affecting all of it's subsidiaries as well. Norway is one example though, of a country who perservered through the recession, a success which has not been acheived by many countries in these trying times.

When the economy was hit, it was responded to with strong monetary and fiscal policies that are common amongst norways strong form of government. It has been known to be one of the most economically successful countries in many years, ranked higher than the U.S. and many others in terms of economic stability.

The only aspect Norway is even comparable to other countries in, in terms of negativity, is their unemployment rate. Though it is fairly low at this time, it is not as bad as most other countries, but more importantly is improving everyday. It is estimated that the rate of unemployment will reach 3.5% by the year 2012.

Norway's economy is constantly growing and expanding, and with the central bank increasing it's key policey rates, it is only looking good for the future.

http://www.fnh.no/en/main/publications/the-economic-situation-in-norway/