Part 7/11:
Another pivotal strength of the Danish economy is its vigorous emphasis on research and development (R&D). The country dedicates 3% of its GDP to R&D, an indicator of its commitment to innovation. Surprisingly, even amid high individual tax rates, corporate taxes hover slightly below the OECD average, which encourages businesses to invest, expand, and hire without fear of punitive tax burdens.
Thus, Denmark proudly houses global leaders in biotechnology and renewable energy—two sectors of the economy eagerly spearheading sustainable future initiatives. Their foresight when investing in wind energy during the 1970s has positioned the country as a frontrunner in the renewable sector, producing over 50% of its electricity from wind.