Above: Ingólfun Arnarsson; the first permanent Norse settler
Source: http://cache.virtualtourist.com/4742628-Travel_Picture-Ingolfur_Arnarson_the_first_settler.jpg
History of Iceland
In the beginning, archaeologists believed Celtics monks known as the 'Papar' lived in Iceland before Norse settlers arrived. According to archaeological findings, archaeologists believe Iceland was well populated before 874 which excavations and carbon dating can prove it. Archaeologists also indicate that the monks left before the Norse arrived. Nobody knows where or why. The Norse settlers that arrived in 874 were possibly members of a Hibernio-Scottish mission. The first permanent Norse settler was Ingólfir Arnarsson. In 1000, Christianity was adopted. But, Norse paganism still continued among some of the population for several years. During early Celtics and Viking settlements, the climate was warmer and 25% of Iceland was covered in forest; compared to now 1%. In 1262, the people of Iceland signed the 'Old Convenant' which ended the Commonwealth & brought Iceland under the rule of the Norwegians. In the ensuring centuries, Iceland became one of the poorest countries in the world and sadly the Black Death swept through Iceland twice. From the middle of the 16th century, King Christian III of Denmark began to carry out Lutheranism on all the countries that have been under the rule of Denmark. Between the 16th and 17th century, Denmark imposed harsh trade restrictions on Iceland. During the 16th and 17th century, many pirates from different countries raided the coasts. In 1873, the Laki volcano erupted and devastated the country. In the 18th century, a great smallpox epidemic killed about one third of the population. After the treaty of Kiel, Iceland became a Danish dependency. An Icelandic Independence movement took place in the 1850s. In 1874, Denmark gave Iceland a constitution and limited home rule, which was expanded in 1904.Hannes Hafstein was the first minister of Iceland in the Danish Cabinet. The Danish Icelandic Act of Union which was valid for 25 years made Iceland a sovereign state in a personal union with Denmark. Danish embassies around the world would display two coats of arms: Iceland's and Denmark’s. Throughout the 19th century, mass emigration to the New World (North America) and worsening climate took their toll on Iceland
It is estimated that Vikings discovered Iceland and settled on its lands in 874 (A.D)
Under: British troops training in Iceland
Source: http://upload.wikimedia.org/wikipedia/commons/thumb/c/c2/SC180293t.jpg/741px-SC180293t.jpg
![Picture](/uploads/1/5/5/8/15589792/806432333.jpg)
During WWII, Iceland was trying to be neutral like Denmark but, sadly in 1941 Iceland was taken over by USA so Britain could train its troops elsewhere safe from harm. This agreement was reluctantly agreed by Icelandic authorities who actually didn’t have much choice. On May 20 1944, Icelanders voted to terminate the personal union of Denmark, to abolish monarchy and to establish a republic. During the 1970s, the Cod Wars take place. The Cod (fish) Wars were several disputes between the United Kingdom and Iceland over the extension of Iceland's fishing limits. Iceland joined the European Economic Area in 1994.
Iceland was becoming a prosperous country but sadly, it gets hit by a major financial and political crisis which overwhelms the country. Many people lost their jobs and the Icelandic stock exchange dropped by 90%. This financial crisis caused the greatest migration from Iceland from 1997. The eco0nomy is expected to grow by 2.6% in 2012.