Norway

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NORWAY.

NORWAY DURING OCCUPATION
THE POSTWAR ERA
THE OIL ECONOMY
BIBLIOGRAPHY

The industrialization and the technical modernization that had begun in Norway in the nineteenth century continued rapidly after the turn of the century. The industrial growth was based on the immense resources of waterpower, often owned by foreign companies. In order to protect Norway's national resources from international financial interest the liberal party Venstre and the Norwegian Labor Party (DNA) demanded effective legislation. The concession law of 1909 was one of the most hotly debated political issues in Norway in the beginning of the century. Universal suffrage was established during this period—for men in 1898 and for women in 1913—and also different forms of social legislation.

At the outbreak of World War I Norway declared its neutrality. The economy, supported by mining, shipping, and the fishing industry, prospered during the war, but the merchant fleet was severely damaged by German submarine warfare. Mines and torpedos killed more than two thousand Norwegian seamen. Shortages of commodities and the increase in prices led to growing class conflicts and to the radicalization of the labor movement. In contrast to the majority of social democratic parties in Western Europe the DNA joined the Comintern in 1919. The centralization and the strong control by the Soviet Communist Party in Moscow forced the DNA to leave the Comintern in 1923, but during the 1920s the party maintained most of its radical policy.

Various liberal and conservative governments tried to solve the economic problems in the 1920s by liberal measures, but the deflation strategy hit the workers and the farmers especially hard, resulting in strikes and confrontations between workers and the military. The unemployment figure reached 33 percent in 1933. The DNA gained growing support, and in 1935 the party made an emergency agreement with the Agrarian Party. Government subsidies for farms and an ambitious social program were introduced, financed by increases in taxation. The economic situation was improved but unemployment remained high during the rest of the decade. The formation of a one-party labor government in 1935 marked a new epoch in Norwegian history. For three decades the party would dominate Norwegian politics. Besides the social conflicts also cultural differences were important; moral demands on temperance and Christian values created political tensions. Prohibition of the sale of liquor was initiated, largely due to support of this measure in the traditional western part of the country, but abolished after a referendum in 1927.

NORWAY DURING OCCUPATION

In World War II Norway again declared its neutrality, but this time the country was involved in the warfare. In April 1940 Great Britain laid mines in the Norwegian waters. On April 9 German troops invaded Norway and occupied the major cities. The German attack, operation Weserübung, also included the occupation of Denmark the same day. After a month of combat, mostly around Narvik in the north where an Anglo-French expeditionary force supported the Norwegian Army, Norway had to capitulate. The court and the government fled to London where a government-in-exile was established. The Norwegian merchant fleet (4.8 million tonnage in 1939) was only outnumbered by the British and American fleets. Thanks to the government's control of the merchant fleet, Norway could make an important contribution to the Allied cause in the war. However, the price was high. Half of the fleet was lost during the war.

In a radio broadcast the leader of the pro-Nazi National Unity (Nasjonal Samling or NS) Party, Vidkun Quisling (1887–1945), with the support of Adolf Hitler (1889–1945), proclaimed himself head of a "national government." After a couple of days the Germans changed their minds. However, the reichkommissar Josef Terboven (1898–1945) failed to gain support for other forms of collaborationist governments, and Quisling was reinstated as "minister president" in 1942. Despite this imposing title and the nominally independent government, Quisling and his NS ministers were totally under the control of Terboven. The Nazification process was met by strong opposition from church leaders, teachers, universities, and various civic organizations. Although the German rule in Norway was milder than in other parts of Europe, many people were tortured or executed. At times innocent civilians were killed as retaliation for resistance actions. An illegal press and small groups of armed resistance were built up by the home front ("hjemmefronten"), in close cooperation with the government in London.

In 1944 Soviet troops occupied an area in the north of Norway. The rest of the country was liberated when the German troops capitulated to the home front in May 1945. A widespread settlement with the collaborationists took place. Eighteen thousand of them were sentenced to imprisonment and twenty-five executed, among them Quisling and two of his former ministers. After the liberation a coalition government was formed, but after the election in 1945 it was replaced by a Labor government with Einar Gerhardsen (1897–1987) as prime minister.

THE POSTWAR ERA

The tragic experiences of World War II influenced Norwegian security policy in the postwar era. Norway took part in the negotiations on a neutral Nordic defense union in 1948, although without much enthusiasm. Instead Norway in 1949 participated in the foundation of the North Atlantic Treaty Organization (NATO). However, NATO military bases and nuclear weapons were not allowed on Norwegian territory. A broad majority of the parties accepted the membership in NATO, but the country's security policy is sometimes the subject of intense debate.

The rebuilding of the country after the war was implemented with widespread consensus. Also the liberal, conservative, and Christian parties accepted rationings of provisions and fuel, import control, and government regulations regarding prices and investments. However, when the DNA in the 1950s tried to make these measures permanent and extend them, the opposition protested and a compromise was reached. This resulted in lessening state control of the economy. Reforms of housing, social security, and education were carried through, mostly by agreement. In 1967 a general insurance system with state pensions was introduced and later extended to unemployment insurance and health insurance. Due to the historically rooted decentralized character of Norwegian society, regional policy has become very extensive.

The overall costs of welfare arrangements have sharply increased, but because of income from the oil industry Norway has been able to maintain a high standard for social services and quality of life. The average lifespan is among the highest in the world. Criticism of the welfare state increased in the 1970s. The Conservative Party was in possession of the premiership from 1981 to 1986. The populist Progress Party (Fremskrittspartiet) more strongly attacked the costly welfare system. Nowadays the party more often criticizes the government for not using oil revenue to fund social programs. The Progress Party is also the most pronounced opponent of Norway's immigration policy. In the 1990s many refugees from Vietnam, Pakistan, and the former Yugoslavia arrived in Norway.

Not until 1965 was the DNA's power really challenged. The four center and right-wing parties formed a coalition government. Since then labor and liberal-conservative governments have alternated. The party conflicts are not based solely on the traditional left/right scale. Moral and religious values are also important. On two occasions, in 1972 and 1994, the Norwegian people have rejected, via referenda, membership in the European Union (EU). On both occasions, the majority of the parties and the established organizations have argued for membership. The fear of decreasing national independence and a worsening economic situation in the rural districts, combined with the historical memories—or myths—of humiliating unions with Denmark and Sweden, have been too strong to allow EU boosters to sway the opinions of Norwegian citizens. Social critics, the radical Left, the Center Party (former Agrarian Party), and agrarian and fishing organizations have formed a front against membership in the European Union. However, as a member of the now-diminished European Free Trade Organization (EFTA) and the European Economic Space (EES), Norway is fully economically integrated in the European markets.

THE OIL ECONOMY

During the last decades the Norwegian economy has achieved a higher rise in GNP than has been experienced by most other countries. Norway is one of the richest nations in the world, largely because of the extraction of petroleum and gas resources from the Norwegian parts of the North Sea. The discovery of great supplies of petroleum and gas in 1969, and continuing exploration for more fields, have deeply affected the economy. The Norwegian state has kept a considerable share of the revenues generated by its offshore energy reserves. However, the new industry also has created problems for other parts of the economy—substantial price rises and higher wage levels. Fluctuations in the world petroleum market have profound effects on the country's economy.

At the centenary of the dissolution of the Swedish-Norwegian union in 1905, which gave the country total independence, Norway is a prosperous and respected country. In many cases Norwegian authorities, or individual citizens, have served as successful negotiators in several international crises: for example, in the Middle East (the Oslo-Agreement, 1993) and in Sri Lanka. A Norwegian, Trygve Lie (1896–1968) was the general secretary of the United Nations from 1946 to 1953.

See alsoNATO; Quisling, Vidkun; World War II.