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1994-05-02
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<text>
<title>
Iceland: History
</title>
<article>
<hdr>
Background Notes: Iceland
History
</hdr>
<body>
<p> Iceland was settled in the late 9th and early 10th
centuries, principally by Norwegians. In A.D. 930, the ruling
chiefs of Iceland established a republican constitution and an
assembly called the Althing--the oldest parliament in the
world. Iceland remained independent until 1262 when the
Norwegian king succeeded in extending his sovereignty to
Iceland. It passed to Denmark late in the 14th century when
Norway and Denmark were united under the Danish crown.
</p>
<p> Early in the 19th century, national consciousness revived in
Iceland. The Althing had been abolished in 1800, but in 1843,
it was reestablished as a consultative assembly. In 1874, the
Althing obtained limited legislative authority, and a
constitution was granted to Iceland. The constitution was
revised in 1903 when home rule was granted, and a minister for
Icelandic affairs, residing in Reykjavik, was made responsible
to the Althing. The Act of Union, a 1918 agreement with
Denmark, recognized Iceland as a fully sovereign state united
with Denmark under a common king. Iceland established its own
flag and asked that Denmark represent its foreign affairs and
defense interests.
</p>
<p> German occupation of Denmark in 1940 severed communications
between Iceland and Denmark. In May 1940, Iceland was occupied
by British military forces. In July 1941, responsibility for
Iceland's defense passed to the United States under a U.S.-
Icelandic defense agreement. Following a plebiscite, the
country was formally established as an independent republic on
June 17, 1944.
</p>
<p> In October 1946, the Icelandic and U.S. Governments agreed
to terminate U.S. responsibility for the defense of Iceland, but
the United States retained certain rights at Keflavik. Iceland
became a charter member of the North Atlantic Treaty
Organization (NATO) in 1949. After the outbreak of hostilities
in Korea in 1950, and pursuant to the request of NATO military
authorities, the United States and Iceland agreed that the
United States should again be responsible for Iceland's defense.
This agreement, signed on May 5, 1951, is the authority for U.S.
military presence in Iceland. Iceland is the only NATO country
with no military forces of its own.
</p>
<p>Political Conditions
</p>
<p> Growing economic difficulties led to the resignation in
March 1983 of the center-left coalition government led by a
faction of the Independence Party under Prime Minister Gunnar
Thoroddsen. As a result of elections in April 1983, a
center-right coalition comprising the Independence Party and
Prime Minister Steingrimur Hermannsson's Progressive Party
assumed power on May 26. The People's Alliance, the Social
Democratic Party, the Women's List, and the Social Democratic
Alliance are in opposition. New elections must be held by the
spring of 1987.
</p>
<p> The present coalition is committed to Iceland's continued
membership in NATO and to maintaining the presence of U.S.
forces at the Keflavik NATO Base. The principal goal of the
coalition has been to adopt economic measures to confront
Iceland's economic difficulties.
</p>
<p>Source: U.S. Department of State, Bureau of Public Affairs,
August 1986.
</p>
</body>
</article>
</text>