Iceland: A Geopolitical Case Study

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Introduction & Brief History -  

Iceland, which is often referred to as the land of fire and ice, is a unique nation-state with a rich history and a proud heritage. Formed from an undersea volcano, this island nation was first referred to as Thule when it was still relatively unknown to much of the world, according to Icelandic historian Knut Gjerset.1 There is some belief that the ancient seafarers, the Phonecians may have been the first to explore the North Atlantic region including Iceland.2 Resting just below the Arctic Circle, the island in the North Atlantic welcomed its first explorers from Norway in the late 800s and early 900s CE3 Shortly before Norwegians began to settle the previously uninhabited island, Celtic monks had left Ireland "for religious reasons," because they "sought seclusion from the world."4 As soon as the Norwegians and Irish began to mix with one another, problems erupted. There were differences among the two groups, which primarily included religious beliefs. The Celtic monks who had fled their homelands quickly grew dissatisfied in cohabiting with the Nordic savages on the island. To put it bluntly, says Gjerset, "Irish hermits left Iceland, because they did not want to live with the heathens."5 This left the Norwegians free to develop a new land for their king.  

Iceland became called just that in attempts to persuade other potential settlers and explorers into sailing just a little further west to the much larger island that they called Greenland. During this time, Iceland had plenty of trees and vegetation. On the other hand, Greenland was essentially one large ice sheet. Few voyagers would have been pleased with venturing to Greenland to find that it had such terrible conditions. Erik the Red, a prominent figure in early Icelandic history had banished the Althing in 982 CE, and this led to him eventually beginning new settlements on Greenland's Southwest coast in 985-86.6  

Religion has played a significant role throughout the course of Iceland's history, as it still does slightly today. Christianity had spread throughout Europe and eventually reached Iceland. Notes Gjerset, "The Reformation brought the Lutheran faith to Iceland, but it was the king's religion and therefore, forced upon the Icelanders."7 For the Norwegian settlers of the Early Middle Ages, Christianity was practiced, but not in the way it was intended. It eventually became the official religion on the island, but many of the settlers did not understand it, thinking that Jesus Christ was just another god.8 "The introduction of Christianity was followed by a period of peaceful development known as the Fridarold, 1030-1118."9 Despite their apparent ignorance in the faith, Icelanders adopted Christianity and managed to coexist with one another for almost a century. Today, it is important to note that while it is not mandatory that an Icelander practice any specific faith, "there is a State church, the Evangelical Lutheran Church, to which about 83% of the population belongs."10  

As continental Europe had its shares of ups and downs throughout the Medieval Period, so too did Iceland. A civil war was fought among rival chieftains in 1220 over allegiances to Norway.11 Eventually a union with Norway was established, and the fighting had ended. However, Iceland was now a part of Norway, subject to the crown, and many of the farmers had mixed feelings about this.12 By 1380 though, the Norwegian royal family had become extinct, and Iceland was absorbed into Denmark.13  

Icelanders began to see themselves as open to international economic development as far back as the fifteenth century. "Trade with the English is first mentioned in Icelandic history in 1412."14 Unfortunately though, this did not reap the intended benefits for Iceland. While mostly peaceful exchanges occurred, the British exploited, stole from, attacked, destroyed property of, and even murdered some of the Icelanders they encountered.15 Other nations traded with Iceland, as well. Germans established trade with Icelanders, 1430-1440.16 In 1621 the Dutch East India Company was founded, and the Danish soon placed a monopoly on trade with Iceland, which in turn led to economic and social turmoil for many in Iceland.17 With empires battling throughout Europe, commerce in Iceland suffered during the Napoleonic Wars.18 This was due in large part to the British blockade of trade between Denmark and Iceland, since Denmark had aligned itself with France during the Napoleonic Wars.19 Recovery took time, but Iceland was able to reestablish trade with foreigners. By the early 1800s, America traded with Iceland, but both nations benefitted little, and this is possibly one of the reasons as to why it did not last very long.20 Trade with other nations allowed Icelanders to experience different cultures, but they did not allow it to affect their distinctiveness. 

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⏰ Last updated: Apr 30, 2014 ⏰

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