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In the twenty-first century, societies around the world are facing a wide range of daunting global mega-challenges: poverty, unemployment, income inequality, unequal distribution of political power, ageing populations, uncontrolled migration, segregated urbanisation, increasing greenhouse gas emissions and a massive decrease in biodiversity. In recent years, politicians, journalists and academic observers have singled out the Nordic countries, Denmark in particular, as model societies of trusting and happy people that have handled many of these challenges with remarkable effectiveness. And yet others warn against ‘becoming Denmark,’ painting a picture of a dysfunctional, socialist nightmare with high taxes, low job motivation and a general lack of private initiative. In this introductory chapter, the editors cut through the noise of the international debate and set the scene for the nuanced analyses presented here of contemporary public governance in Demark and its capacity to tackle some of the most pressing problems of our time. Specifically, the chapter discusses various conceptualisations of the Danish welfare state, delineates some of its most important historical and structural traits and outlines the main empirical features of contemporary Danish public governance. Finally, it outlines the structure of the book and briefly introduces each of its subsequent chapters.

Denmark’s apparent success at controlling corruption is likely both real and more complex than it may appear. This chapter reviews a series of hypotheses about the extent and sources of corruption control in Denmark, emphasizing both domestic and international factors. Some possible vulnerabilities are discussed, including whether Greenland – which is usually excluded from Danish governance ratings – might introduce corruption via its mining industries, and whether the growing wind-power industry (in some senses, another extractive enterprise) might also encourage corruption. A simple data analysis, using the Gothenburg University Quality of Government Impartiality Index, suggests that small social scale, a homogeneous population, competitive politics, and extensive international connectedness might well help check Danish corruption, but relationships among the variables are complex and marked by considerable simultaneity. Denmark illustrates two subtleties often overlooked: the importance of “soft controls” – social values, a working consensus, an emphasis on fairness, and common goals – for corruption control, and the question of whether advanced market societies really control corruption or merely reduce incentives to engage in it, as a result of business-friendly policies and institutions. A final issue involves dependent variables: better indirect measures of corruption might well be obtained by gathering and benchmarking indicators of government performance.

The Scandinavian states are universally seen as very well-functioning bureaucracies with some of the lowest levels of corruption in the world. In scholarly debates on state building, Francis Fukuyama has used the Scandinavian countries and the phrase ‘getting to Denmark’ as a metaphor for the apparent mystery of how states can come to be governed by well-developed bureaucracies and highly functioning state institutions. This chapter presents a study of state institutions and bureaucracy in Denmark–Norway and Sweden over a 250-year period from the mid-seventeenth to the end of the nineteenth century. The study demonstrates how bureaucracies conforming to Weber’s later model were gradually established in the Scandinavian monarchies in this period. The chapter also presents the results of three empirical studies of Denmark, Norway and Sweden, which indicate how the level of corruption in the state administration had been limited by the middle of the nineteenth century. In Denmark, the institutional framework set up after the establishment of the absolute monarchy in 1660, along with continuing reforms to improve the administration in the period of absolutism between 1660 and 1849, came to form an important basis for an administrative culture based on the rule of law. In Sweden the rule shifted between absolutism and constitutionalism, but both the Danish–Norwegian and the Swedish monarchies saw the establishment of strong and comprehensive state hierarchies with a king at the top level who set out to guarantee the rule of law and attempted to be merciful to his subjects. Lutheranism played a decisive and durable role as moral backbone in Scandinavian societies and in the establishment of a shared political culture. These elements, in combination with the establishment of Weberian-type bureaucracy, had, by the end of the nineteenth century, worked to limit corruption in the state administration of the Scandinavian countries.

Sustainable energy has been on the political agenda in Denmark for decades. This chapter will highlight how wind turbine production quite unforeseen became a great success in Denmark before the turn of the Millennium. An integrative public leadership approach using a mix of supportive institutional designs and instruments, combined with an unexpected bottom-up pressure for alternatives to nuclear power, promoted ways for wind turbine innovation and production in the 1970s. After the turn of the Millennium, being a huge financial success creating many new jobs and export has it developed into a cluster based on huge investments and professionalised developers. The comprehensive transition of wind turbine production in Denmark, from small scale to large scale, has however provided a counterproductive decrease in community commitment for local renewable energy production.

Denmark is known internationally as a climate frontrunner and not only due to wind turbine production and planning. The status is obtained by polycentric governance applied in cooperative-owned energy systems. The Danish response to climate change is a concerted effort of a plethora of public and private actors, providing a crucial momentum and robustness in climate politics not at least generated from a genuine civic society involvement. ‘The Danish Energy Model’; a withhold strategic effort to combine ambitious renewable energy goals, energy efficiency targets and political support of technical and industrial development has for four decades, succeeded in providing high levels of cheap energy supply, while partly reducing fossil fuel dependency at the same time.

International migration is a global challenge affecting peoples and nations all over the world. In the advanced economies and welfare states of Western Europe, integrating migrants presents political, social as well as economic challenges. Over the past 50 years, Denmark has made a remarkable U-turn on the immigration question. Once the author of one of the most liberal immigration policies in Western Europe, Denmark presently has one of the strictest. This chapter addresses the causes behind the Danish policy U-turn, and how it has affected the social, economic and political integration of immigrants in Denmark. The chapter shows how Danish immigration politics have turned from low to high salience and have undergone radical changes resulting in a tightening of both internal and external immigration policies. It has become far more difficult to obtain residence and citizenship in Denmark. These measures have limited influx although international refugee crises are difficult to control at the borders. Moreover, Danish integration policies have focused increasingly on obligations and incentives, primarily by cutting benefits. The Danish case however shows that reduction of social benefits only has a marginal positive short-term effect on employment but with some negative side effects. When it comes to education, the Danish welfare state has been relatively successful in integrating immigrants and descendants in the educational system.

Many expatriates have difficulty building a social network that includes locals in Denmark, and they often find themselves in an “expatriate bubble” where they meet mostly with other expatriates. This is unfortunate because much culture learning can be gleaned from interacting with host country nationals, and a lack of contact can negatively influence expatriate well-being and satisfaction. This chapter first focuses on how expatriates build a social network when they are abroad. Interviews with five self-initiated expatriates show key factors that influence the building of a social network, such as attitude and motivation, similarities with the other, location, and cultural differences. Denmark, in particular, seems to be a difficult place to make local friends, compared to many other countries globally. Three main cultural characteristics might explain this difficulty: the homogeneity of Denmark in terms of culture and language, the value of equality that is engrained in Danish mentality, and Denmark being a specific and deal-focused culture. The chapter ends with recommendations for expatriates who do wish to connect with Danes.

Scholars often suggest that institutionalized employee voice reduces turnover as an alternative to exit when employees are dissatisfied. Paradoxically, Denmark presents a case of high union density and thus high institutionalized employee voice, yet high turnover rates. To explore the Danish turnover paradox, this chapter looks at the macro-societal contextual factors impacting turnover rates in the Danish labor market. Institutional characteristics such as the flexicurity model (i.e., a welfare state model with proactive labor market policy; a portmanteau of flexibility and security), legal frameworks (i.e., relatively lax labor market regulations), and cultural factors (i.e., a culture of equality and collective collaborative structures) are all relevant to understand the high turnover rates in Denmark. The authors first overview the general trends and figures on turnover in Denmark and then examine the Danish institutional, legal, and cultural factors as they relate to the high turnover rates in the Danish labor market. Finally, the authors summarize and discuss the findings and consider their implications for research and practice related to employee turnover in the Nordics and beyond.

This paper is concerned to show how the Danish political elite interpreted and responded to the consequences of the 2008 financial crisis for the Danish economy. In particular, the paper describes how this interpretive construction focused primarily on three features of the Danish context to the exclusion of other perspectives; the first was an emphasis on the problems of the financial sector, of interest rates and state finances; the second was that Danish productivity increases were falling behind other comparable countries and part of the solution required new strategies towards labour and unemployment benefits; thirdly, the adverse effects of the crisis were causing an increase in government expenditure and a decline in government revenues which was rapidly becoming unsustainable. As a consequence, the Danish elite fell into the broader interpretation of the crisis embedded in the dominant view within the EU institutions as well as among the international financial institutions such as the IMF and the World Bank, that a period of austerity and fiscal consolidation was the required remedy, even though this was likely to be pro-cyclical in its effects. However, the paper shows that alternative data which is more reflective of Denmark’s position in the global economy and the trajectory and form of its growth over the last decade reveals that the interpretation of the Danish elite has been too narrow and neglects the distinctive roots of Denmark’s competitive strengths. Indeed, by responding in the way which they have, the Danish elite is in danger of undermining the very conditions of Denmark’s competitiveness.

Immigrant and native child poverty in Denmark, Norway, and Sweden 1993–2001 is studied using large sets of panel data. While native children face yearly poverty risks of less than 10 percent in all three countries and for all years studied the increasing proportion of immigrant children with an origin in middle- and low-income countries have poverty risks that vary from 38 up to as much as 58 percent. At the end of the observation period, one third of the poor children in Norway and as high as about a half in Denmark and in Sweden are of immigrant origin. The strong overrepresentation of immigrant children from low- and middle-income countries when measured in yearly data is also found when applying a longer accounting period for poverty measurement. We find that child poverty rates are generally high shortly after arrival to the new country and typically decrease with years since immigration. Multivariate analysis shows that parents years since immigration and education affect risks of the number of periods in persistent poverty. While a native child is very unlikely to spend nine years in poverty, the corresponding risk for a child to a newly arrived immigrant was found to be far from negligible. Much of the pattern is similar across the three countries but there are also some notable differences.

Labour market assimilation of Danish first‐generation male immigrants is analysed based on two panel data sets covering the population of immigrants and 10 per cent of the Danish population during 1984‐1995. Wages and employment probabilities are estimated jointly in a random effects model which corrects for unobserved cohort and individual effects and panel selectivity due to missing wage information. The results show that immigrants assimilate partially to Danes, but the assimilation process differs between refugees and non‐refugees.