The kingdom of Denmark has, despite its relatively small size, often punched above its weight internationally.
Vikings raiding from Denmark and the other Nordic nations changed the course of 9th- and 10th-century European history; in the Middle Ages, the Union of Kalmar united all of Scandinavia under Danish leadership.
In recent times, Denmark has been known for its modern economy and extensive welfare system, while enjoying an often difficult relationship with the European Union.
The Danes rejected the euro as the national currency in a referendum in September 2000. Analysts believe that Danish fears of loss of political independence and national sovereignty outweighed any economic arguments about the benefits of joining the eurozone.
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Denmark's euroscepticism put it at odds with many of its European partners seven years previously when Danish voters rejected the Maastricht Treaty which proposed monetary union and a common European defence force. Denmark had to be granted opt-outs from these provisions before the treaty was approved in 1993.
The Social Democrats led a string of coalition governments for most of the second half of the last century in a country generally known for its liberal traditions.
Poul Schluter then became the first-ever Danish prime minister representing the Conservative People's Party in 1982, leading a centre-right coalition until 1993, when he was succeeded by the Social Democrat Poul Nyrup Rasmussen.
Maritime trade fuelled Copenhagen's growth
A new centre-right coalition headed by Anders Fogh Rasmussen came to power in November 2001 promising tighter immigration controls.
Denmark has won plaudits for running a healthy economy. Its employment levels are the envy of many industrialised countries and it accommodates a competitive economic edge as well as a generous social security system.
Danish cinema has won international recognition, not least for its willingness to experiment. Through the late 1990s and early 2000s the Dogme movement directors often used hand-held cameras to dynamic effect in a conscious reaction against high-tech, big-budget cinema.
Greenland and the Faroe Islands are self-governing territories of Denmark.
Mr Rasmussen took over from Anders Fogh Rasmussen as prime minister and acting leader of the Liberal Party when the latter was elected NATO secretary-general in April 2009.
He had served as interior, health and, since 2007, finance minister in Mr Fogh Rasmussen's successive centre-right coalition governments, having previously been mayor of Fredriksborg County.
He was responsible for a major reorganisation of local government in 2007 and a scheme to cut hospital waiting lists by allowing patients to be treated in private hospitals if the state health service could not treat them within a certain time limit.
In February 2009 he negotiated a major tax reform that saw income tax cut at the expense of higher taxes on pollution. The opposition Social Democrats said the measure benefited higher earners and did little for those on lower salaries.
Born in 1964 and a lawyer by profession, Mr Rasmussen has been involved in the Liberal Party since his student days.
Denmark's public broadcaster, Danmarks Radio (DR), operates two TV networks and national and regional radio stations. It is funded by a licence fee.
TV2, a government-owned commercial broadcaster, operates regional outlets and an internet-based on-demand service. Private stations are available via satellite and cable.
There are some 250 local commercial and community radio stations, as well as national and semi-national commercial networks.
Freedom of expression is provided for in law. The principle was cited by the Jyllands-Posten daily amid a backlash by some Muslims in 2006 over its publication of cartoons depicting the Prophet Muhammad. The images sparked violent protests in some countries.
There were around 4.8 million internet users by June 2010 (Internetworldstats.com).
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