Norway Economy
The economy of Norway has undergone growth since 2009. The economy is doing relatively stable over a decade (2002-2012)1 i.e. low unemployment rate, steady growth, low inflation etc. even in the 2008 financial crisis, Norway was being hit lesser than other Europe country2. There are a few highlights regarding Norway’s economy performances.
Strength | Challenges | * High GDP per capita * Mild and stable inflation * Increase in money supply * Reduction in unemployment | * Appreciation of Krone |
Strength
GDP per capita
Norway’s GDP per capita3 was $40,034.85 in 2011 (constant 2000 US$) which is among the highest in Europe and being expected to increase more in the coming years4. This is equivalent to 656% of world average that is $6099.56 which can be clearly seen in the graph below.
1. see reference no. 1
2. see reference no. 2
3. GDP per capita is being used instead of the total GDP or GNP value is for comparison with other European countries per say. High GDP per capita would be the connotation that the economic condition is doing well (see reference 5)
4. See reference no. 4
Inflation
A mild inflation in Norway’s economy has brought a good sign. From 2011 to 2012, the annual growth of Norway’s CPI is 0.8 percent6 which indicates that the economy is being well controlled and there is a growth happening in the country’s economy7. Business may benefit from this through a better marginal profit. Graph below shows a CPIs in Norway for which the energy is excluded (CPI-ATE) the trend is relatively steady.
Data from: statistics Norway Last updated 15 December 2012
Unemployment
From the most recent statistics by the Statistics Norway, number of people employed has increased by 18000 in third quarter of 20128. By comparing Norway with other major economies in the world, undoubtedly Norway has the least unemployment rate, which also reflects the reduction in unemployment rate of male immigrants by 0.4%9. More employees in the
Strength | Challenges | * High GDP per capita * Mild and stable inflation * Increase in money supply * Reduction in unemployment | * Appreciation of Krone |
Strength
GDP per capita
Norway’s GDP per capita3 was $40,034.85 in 2011 (constant 2000 US$) which is among the highest in Europe and being expected to increase more in the coming years4. This is equivalent to 656% of world average that is $6099.56 which can be clearly seen in the graph below.
1. see reference no. 1
2. see reference no. 2
3. GDP per capita is being used instead of the total GDP or GNP value is for comparison with other European countries per say. High GDP per capita would be the connotation that the economic condition is doing well (see reference 5)
4. See reference no. 4
Inflation
A mild inflation in Norway’s economy has brought a good sign. From 2011 to 2012, the annual growth of Norway’s CPI is 0.8 percent6 which indicates that the economy is being well controlled and there is a growth happening in the country’s economy7. Business may benefit from this through a better marginal profit. Graph below shows a CPIs in Norway for which the energy is excluded (CPI-ATE) the trend is relatively steady.
Data from: statistics Norway Last updated 15 December 2012
Unemployment
From the most recent statistics by the Statistics Norway, number of people employed has increased by 18000 in third quarter of 20128. By comparing Norway with other major economies in the world, undoubtedly Norway has the least unemployment rate, which also reflects the reduction in unemployment rate of male immigrants by 0.4%9. More employees in the