ition has lowered
marginal income taxes while maintaining overall tax revenues; boosted
industrial competitiveness through labor market and tax reforms and
increased research and development funds; and improved welfare
services for the neediest while cutting paperwork and delays. Prime
Minister RASMUSSEN's reforms focus on adapting Denmark to the criteria
for European integration by 1999; Copenhagen has won from the European
Union (EU) the right to opt out of the European Monetary Union (EMU).
Denmark is, in fact, one of the few EU countries likely to fit into
the EMU on time. Growth may fall off slightly to 2.8% in 1998, and
inflation may rise to 2.5%.

GDP: purchasing power parity-$122.5 billion (1997 est.)

GDP-real growth rate: 3% (1997 est.)

GDP-per capita: purchasing power parity-$23,200 (1997 est.)

GDP-composition by sector:
agriculture: 4%
industry: 27%
services: 69% (1995)

Inflation rate-consumer price index: 2.2% (1997 est.)

Labor force:
total: 2,895,950
by occupation: private services 40%, government services 30%,
manufacturing and mining 19%, construction 6%, agriculture, forestry,
and fishing 5% (1995)

Unemployment rate: 7.9% (1997 est.)

Budget:
revenues: $62.1 billion
expenditures: $66.4 billion, including capital expenditures of $NA
(1996 est.)

Industries: food processing, machinery and equipment, textiles and
clothing, chemical products, electronics, construction, furniture, and
other wood products, shipbuilding

Industrial production growth rate: 1.3% (1996)

Electricity-capacity: 10.604 million kW (1995)

Electricity-production: 34.244 billion kWh (1995)

Electricity-consumption per capita: 6,432 kWh (1995)

Agriculture-products: grain, potatoes, rape, sugar beets; meat, dairy
products; fish

Exports:
total value: $48.8 billion (f.o.b., 1996)
commodities: machinery and instruments 25%, meat and meat products,
fuels, dairy products, ships, fish, chemicals
partners: Germany 22.5%, Sweden 9.7%, UK 7.9%, Norway 5.9%, France
5.4%, Netherlands 4.4%, US 4.0% (1995)

Imports:
total value: $43.2 billion (c.i.f., 1996)
commodities: machinery and equipment, petroleum 25%, chemicals, grain
and foodstuffs, textiles, paper
partners: Germany 21.7%, Sweden 11.7%, Netherlands 7.0%, UK 6.6%,
France 5.2%, Norway 4.9%, US 4.7%, Japan 3.5%, FSU 1.7% (1995)

Debt-external: $44 billion (1996 est.)

Economic aid:
donor: ODA, $1.34 billion (1993)

Currency: 1 Danish krone (DKr) = 100 o