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In-Depth Information
in forces to occupy the island. Iceland had little choice but to accept the situation, but ulti-
mately the country's economy profited from British construction projects and spending.
When the British troops withdrew in 1941 the government allowed American troops to
move in, on the understanding that they would move out at the end of the war. Although
the US military left in 1946, it retained the right to re-establish a base at Keflavík should
war threaten. After the war, and back under their own control, Icelanders were reluctant to
submit to any foreign power. When the government was pressured into becoming a found-
ing member of NATO in 1949, riots broke out in Reykjavík. The government agreed to the
proposition on the conditions that Iceland would never take part in offensive action and
that no foreign military troops would be based in the country during peacetime.
These conditions were soon broken. War with Korea erupted in 1950, and in 1951 at
NATO's request the US, jumpy about the Soviet threat, once again took responsibility for
the island's defence. US military personnel and technology at the Keflavík base continued
to increase over the next four decades, as Iceland served as an important Cold War monit-
oring station. The controversial US military presence in Iceland only ended in September
2006, when the base at Keflavík finally closed.
Burial Rites , by Hannah Kent, is a novel based on the true story of the last public execu-
tion in Iceland. It's set in 1829 and is meticulously researched, beautifully evoking the
hardships of rural Icelandic life.
Modern Iceland
In the 20th century, Iceland transformed itself from one the poorest countries in Europe to
one of the most developed.
Following the Cold War, Iceland went through a period of growth, rebuilding and mod-
ernisation. The Ring Road was completed in 1974 - opening up transport links to the re-
mote southeast - and projects such as the Krafla power station in the northeast and the
Svartsengi power plant near Reykjavík were developed. A boom in the fishing industry
saw Iceland extend its fishing limit in the 1970s to 200 miles (322km). This, however, pre-
cipitated the worst of the 'cod wars', as the UK refused to recognise the new zone. During
the seven-month conflict, Icelandic ships cut the nets of British trawlers, shots were fired,
and ships on both sides were rammed.
 
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