Even a fiscally responsible country with its own currency cannot escape the Eurocrisis. Any G7 country would love to have a 46.6% debt to GDP ratio, a 4.8% unemployment rate and a manageable budget deficit of less than 3%.
Denmark’s problems are outside of its control. The Eurozone, its largest trading partner, is in a nasty recession. The increasing unemployment has led to poor internal consumption subtracting from economic growth:
The Danish Prime Minister is correct in stating that Denmark needs to find other markets for its exports. Unfortunately, that is what every country is trying to do. In the absence of Mars or Jupiter running records trade deficits, the world economic powers are all fighting over the same business.