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        <pb n="1" />
        = Wr

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        EIGENTUM
NES
INSTITYTS
WELT SRCHAER,
RYT tL
2ISLIOTHEK
“95889
        <pb n="3" />
        eset
LB
ge’
        <pb n="4" />
        Elfell fot.
H. M. CHRISTIAN X.
KING OF ICELAND AND DENMARK
        <pb n="5" />
        Elfelt fot.
H. M. ALEXANDRINE
QUEEN OF ICELAND AND DENMARK
        <pb n="6" />
        <pb n="7" />
        ICEI' AND
1930

A HANDBOOK PUBLISHED ON THE FORTIETH ANNIVERSARY
OF LANDSBANKI ISLANDS (NATIONAL BANK OF ICELAND)

EDITED BY

THORSTEINN THORSTEINSSON

Direclor of the Statistical Bureau of Iceland

SECOND EDITION

Be

2 8 5.
(patibet ar Wet aeeett

REYKJAVIK — RIKISPRENTSMIDJAN GUTENBERG -—— MCMXXX
        <pb n="8" />
        FIRST EDITION 1926
SECOND EDITION, REVISED 1930
        <pb n="9" />
        Be o 28 -51. 44
&gt; fraget boas LRT WW elba AscRalt, Kok

PREFACE TO THE FIRST EDITION
The Landsbanki Islands (National Bank of Iceland) was established
ander an act of Althingi dated on the 18th of September 1885, and,
commencing operations on the 1st of July the following year, has
now been doing business for 40 years.

The bank has wished to celebrate this fortieth anniversary of its
establishment by issuing in English a handbook on Iceland, where,
‘hough the main stress is laid on describing the economic and in-
ellectual life of the nation in its present varied manifestations, fre-
quent comparisons are made between the past and the present, and a
brief account given of the progress made during the last forty vears
or so.

That a book of this kind is needed there can be no denying; and
lhe fact that the bank, since its inception, has, as it were, been one
of the driving wheels of progressive change in the country, will, it is
hoped. serve as an excuse for its publishing the present little volume.

PREFACE TO THE SECOND EDITION
Though it is only four years since this little book was first published,
it was so rapidly exhausted, that it has been out of print for a con-
siderable time. This, and the fact that orders for it have been and
still are steadily coming in, seems to show that there reallv is a de-
mand for a work. of this kind.

The present edition differs from the first only in this, that all in-
‘ormations have, so far as possible, been brought up to date, and a
few minor additions made here and there.
        <pb n="10" />
        TABLE OF CCNTENTS

Page
GEOGRAPHICAL SKETCH by Thorkell Thorkelsson, Direclor
of the Meteorological Institute . .
POPULATION by the Editor. . . . . . . . . . . . .
CONSTITUTION AND LAW by Olafur Lirusson, Professor of
Law in the University of Iceland . . . . . .
STATE AND MUNICIPAL FINANCE by the Editor .
RURAL HUSBANDRY by the Editor . . . . .
THE FISHERIES by Georg Olafsson, General Manager of the
National Bank. . . . . . . . . . . . . 5
HANDICRAFTS AND INDUSTRIES by the Editor .
TRADE by the Editor . . . . . . . . + « « « . . .
FINANCIAL INSTITUTIONS by Georg Olafsson, General Ma-
nager of the National Bank . . . . . . . . . . . .
MONEY, WEIGHTS AND MEASURES by Georg Olafsson,
General Manager of the National Bank
COMMUNICATIONS by the Editor . .
SOCIAL CONDITIONS by the Editor . .
CHURCH AND RELIGION by the Editor
EDUCATION by the Editor . . . . . . . . « . . .
LITERATURE by Gudmundur Finnbogason Ph. D., Principal
Librarian of the National Library. . . . . 133
FINE ARTS by Halldér Jonasson B.A. . . . . . . . . . 157
FOREIGNERS IN ICELAND by Olafur Larusson, Professor
of Law in the University of Iceland. . . . . . . . . 161
ICELAND FOR TOURISTS by Stefén Stefinsson, Tourist
Guide. . . . . . «+ ee 0 eee. YeT
SOME FACTS IN THE HISTORY OF ICELAND . . . . 177
SOME BOOKS ON ICELAND IN FOREIGN LANGUAGES 181
INDEX. . . . . 189
CORRIGENDA 194
        <pb n="11" />
        THE NATIONAL BANK OF ICELAND
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        Ad
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        Tue GoverNMENT FLAG

g

THe National Frag
        <pb n="14" />
        THe Arms OF ICELAND
        <pb n="15" />
        GEOGRAPHICAL SKETCH

POSITION AND SIZE

Iceland is a large island in the North-Atlantic, close to the Arctic
circle, and comprises an area of about 103,00C square kilometres, with
its extreme northern point (the Rifstangi) lying in latitude 66° 32'
north and its most southerly point (Dyrhélaey, Portland) in latitude
63° 24’ north, not including the islands north and south of the land;
if these are counted in, the country extends from 67° 10’ N. (the
Kolbeinsey) to 63° 19’ N. (Geirfuglasker, one of the Westman
Islands). With longitudinal direction E.—W. it stretches from 13° 30'
W. of Greenwich (the Gerpir) to 24° 32" W. of Greenwich (Létrabjarg).
The skerry Hvalbakur (The Whaleback) lies 13° 16’ W. of Greenwich,
or a little farther east than the Gerpir.
COAST AND SURFACE
The west, north and east coasts are very irregular and abounding
in good harbours, while the south coast is remarkably free from in-
dentations and has no safe harbour except at the Westman Islands.

There are comparatively few islands round the coasts of Iceland, with
a very small area as compared with that of the main island. Breida-
fiordur (DBroadfirth) on the west coast embraces, however, a great
number of islets.

Iceland is essentially a mountainous country; the most prominent
lowlands are in the south, where they form a pretty long and, in parts
a broad, stretch along the coast. There is also a number of valleys,
branching out from the many firths and bays in other parts of the
country. The whole of the interior is filled with plateaux and moun-
tains, the highest peaks of which are to be found in the south-east,
where Orzfajékull and Snzfell (the Snowfell) rise to an altitude of
2119 metres and 1975 metres respectively.
        <pb n="16" />
        JOKULLS

A great part of the highlands is covered with perpetual snow (jok-
ulls) which occupies upwards of 14 000 square kilometres, or a little
more than 13 per cent. of the total area. Largest of all the j6kulls is
‘he Vatnajokull in the south-eastern corner of the country, extending
over 8500 square kilometres. There are other large jdkulls in the in-
terior (Hofsjokull, Langjékull), besides a number of high ice-capped
mountains here and there near the coast, the most prominent being
Eyjafiallaiékull and Mprdalsjékull in the south. The height of the
snow line at Hornstrandir (in the north-west) is only 650 metres a-
bove the level of the sea, while in the east, north of Vatnaiokull, it
ascends to 1250 metres.
VOLCANOES AND ERUPTIONS

Iceland is thickly studded with extinct and active volcanoes. During
the 1050 years it has been inhabited, over 20 volcanoes have had
eruptions, some of them repeatedly, so that more than 100 eruptions
are now on record. The best known of these volcanoes is Mount
Hekla which has had 22 eruptions within historic times. Most of the
volcanic mountains are situated in the south, whence a chain of them
extends northward across the eastern part of the highlands to the
Mpvatn (Midgewater) in the north. -- These frequent eruptions have
sometimes caused a great deal of damage, though neither so often
nor to such an extent as might have been expected. This is because
the active volcanoes are in the interior wildernesses of the country
and for the most part far from human habitation. The greatest devas-
tation on record was caused by the Skaft (or Laki) eruption in 1783,
when the lava flood laid a number of farms in ruins and showers of
ashes covered the country far and wide, destroying vegetation and
poisoning the air, and thus giving a terrible blow to Icelandic farming.

When ice-capped mountains erupt, the jskull partly melts, and then
bursts, and an enormous flood of water, carrying huge blocks of ice,
comes tearing down the mountain-side, sweeping everything before it,
and turning whole districts into deserts. The floods are called Jokul-
hlaup (Gokull bursts).
HOT SPRINGS
In close connexion with volcanoes and volcanic activity are the Hot
Springs (hverar), of which there is a great number in Iceland, scattered all
        <pb n="17" />
        over the country, sometimes singly, but more frequently in groups, along
lissures in the earth's crust. In and near the volcanic zone there is a
considerable number of Solfataras and Mudvolcanoes, the fumes from
which consist mainly of sulphuretted hydrogen, hydrogen, and carbonic
acid gas. But in other places of the country the hot springs are mostly
alkaline, the chief constituent of the (spring) gases being nitrogen.

Most hot springs keep the same temperature all the year round irre-
spective of the weather conditions. But all hot springs are not equally
hot, the temperature varying from 10° C. to boiling point. No springs
show more than 100° C. on the surface, while at the bottom of a
deep well the heat may rise even to 120° C,

Some of the hot springs in Iceland are intermittently eruptive, the
best known being the Stéri Gepsir (i. e. the Great Geysir) in Hauka-
dal (Hawksdale) in the south. Its eruptions have been very unequal
in height, the highest yet known measuring 67 metres. At present the
most powerful hot springs in Iceland are Nordurhver (Northspring) in
Repkjahverfi (Reekie-Parish) in Thingeyjar district, throwing jets to a
height of 11 metres; Smidur and Otherrishola (Wet-weather Hole)
near Stéri Gevsir and Grila in Olfus.

EARTHQUAKES

Earthquakes (jardskjélftar) are frequent in Iceland, especially in the
south-western and north-eastern parts of the country, and have at
limes done a great amount of damage to property. As late as 1896 an
earthquake, confined to the lowlands in the south, destroyed a great
number of farm-houses.
LAKES AND RIVERS

Though there are a great many rivers in Iceland and some of them
have a considerable volume of water, yet none are navigable on ac-
count of their swift currents. Such rivers as are fed by glaciers are
whitish-grey in colour, because they carry with them a large quantity
of mineral dust, eroded by the glaciers from the rocks on which they
vest. This water, charged as it is with minerals, has proved useful for
irrigation purposes. In many of the rivers, where they leave the high-
lands, there are lofty falls, the best known being the Gulifoss (The
Goldforce) in the Hwiti (Whitewater) in the south, and Dettifoss in
the Jokulsi in AxarfjorBur (Axefirth). In the spring thaws the waters
in the rivers increase greatly, and the rushing streams carry with them
quantities of gravel and loose stones. which. when the rivers quiet
        <pb n="18" />
        down, are deposited in the lower parts of their courses to such an ex-
tent as to be for ever raising the river beds. Owing to this, the ri-
vers often change their courses in the lowlands, various side streams
striking off from the main currents and seeking the sea separately.

Lakes there are many, the largest being the Thingvallavatn and
Mypvatn in both of which fish (char and trout) is caught in consider-
able quantities. Many other lakes are also full of fish.

GEOLOGICAL FORMATION AND SOIL

From a geological point of view Iceland is a very young country.
It is built up of basalt during the latest periods of the world’s history,
when a long succession of volcanic eruptions piled hundreds of basaltic
layers one on top of the other, so that the aggregate thickness of the
strata thus deposited measures about 1000 metres.

Between the older (tertiary) basalt formations which are chiefly to
be found in the western, northern, and eastern divisions of the country,
there are very meagre intercalated layers of other materials; but in
the midland districts and in the south, where volcanic eruptions were
frequent during the last stages of the Glacial Period and later, there
may be seen, besides the basaltic layers, clastic materials in great
quantities, as tuffs, breccias and conglomerates, formed of volcanic
ashes, pumice-stone, moraines, riverine deposits, and the debris born
down by Jjskulhlaup (j6kull bursts). The surface of these districts has
changed considerably since the Ice Age, for the species of rock, of
which the strata are made up, are rather soft and have therefore been
unable to withstand the erosive agencies of air and water, while
new volcanic eruptions have spread sheets of lava over large parts
of them.

During the greatest development of the Glacial Period the entire
land was glaciated, except a few peaks which, like nunataks, rose
above the ice. It was a moving mass of ice, projecting into the sea
on every side, scraping off all loose material and carrying it forward
and deeply grooving the sheets of basalt as it advanced. The valleys
and furrows already in the basalt were then broadened and deepened
by the discharge of ice from the interior icefields. When the ice dis-
appeared, terminal moraines were left where the edge of the glacier
had stopped for a time, and these traces of the Glacial Period are
still visible in the shape of kames and gravel ridges.

Excepting the volcanic parts in the southern and midland districts,
the surface features of the land have, on the whole. changed but little
        <pb n="19" />
        since the Great Ice Age. The rivers, however, have carried down large
quantities of gravel and sand with which they have silted up the heads
of the firths, thus forming low plains which in their turn constitute
‘he main portions of the irrigated and marshy meadows in Iceland.

In different parts of the country there may be found rhyolite forma-
tions, but their sporadic occurrence makes them of minor importance.
Other kinds of rock than basalt and its varieties rarely occur, except
the gabbro and granophyre formations, found in the neighbourhood
of HornafjérBur in south-eastern Iceland. The crag formations in
Tjbrnes are, from a geological point of view, of great interest. The
‘hickness of these strata attains in places some 700 metres. }

The soil all over the country is preity uniform as regards its chemical
constitution, but it varies in appearance according as the place is high
above or near the sea level. Close to the jtkulls there is practically
no soil, at least no organic matter worth speaking of; there is either
the naked rock, terminal moraines, or sands, but no vegetation of any
kind. As we come lower down, however, the vegetation gradually
increases and the stratum of humus grows in thickness, so that in
many places in the lowlands it is more than a metre deep. As the
climate is rather chilly decomposition has played a rather insignificant
part in shaping the surface features of the land, as compared with
such adventitious matters as glacier detritus, volcanic ashes, and earth
carried by the winds. These have settled in sheltered places, in hollows,
in woody districts, and even on grassy plains, the depth of the soil
therefore being greater here than elsewhere. On the other hand, where
the wood has been laid waste or the sward broken up, the soil, when
in a dry state, is apt to be blown away, as the matter composing it-is
loose and of light weight.

Where the soil is moist, bog plants grow, and in course of time
peat is formed, which in some places has attained a thickness of from
two to three or (rarely) even 10 metres. It is seldom found in a pure
state, but with layers here and there of sand, of old volcanic ashes
and clay carried to the bogs by the spring freshets, Yet peat is consider-
ablv used as fuel bv the neople.
CLIMATE
Iceland has an Oceanic Climate — that is, one of moderate heat
and cold. Though the island is large, the differences in temperature
between the coast and the interior are not very marked, and con:
sidering its high latitude, Iceland has, on the whole, a much higher
        <pb n="20" />
        temperature than might be expected. At Reykjavik the annual mean
temperature is + 4.1° C. (39.4 F.); the mean temperature in January,
the coldest month of the year, is + 1.2° C., while in July, the warmest
month of the year, it is 4 10.9° C. But the state of the weather
is very unsettled, exhibiting not only sudden changes from day to day,
but the same season may from year to year show great fluctuations in
the weather conditions.

The warm current of The Gulf Stream which, as a rule, encircles
the land, has a marked influence on the climate. But as Iceland is situa-
ted at the outer edge og the Gulf Stream, cold currents from the Polar
basin occasionally touch its northern and, especially, its eastern coasts,
imparting a great deal of chilliness to the weather. The Polar ice, too,
has a considerable influence on the climate, for during the latter part
of the winter and in spring it is always near the north-western coast
of the land, and sometimes piled close against its shores. When this
ice arrives in large masses or sheets, it blockades the harbours and
considerably lowers the temperature. The floes are most frequently
seen on the north, but sometimes also on the east coast, while to the
southern shores and the west coast, farther south than the Lifrabjarg,
they hardly ever come. From September to December Polar ice is
rarely seen near the Icelandic coasts.

As the country is very mountainous, there is rarely the same kind of
weather all over it at one and the same time. Southerly winds are
generally accompanied by precipitation in the south, by dry weather
and warmth in the north. On the other hand, when the wind blows
irom the north there is fair weather in the south, but cold and pre-
cipitation in the north. In wintertime storms are frequent, and often rise
fo a gale of wind, whereas calm weather is rare. In the south the annual
precipitation in the lowlands amounts to 1300 mm., while it is still
heavier in the mountains, or about 2000 mm. The north is much drier,
with an annual precipitation not exceeding 300—400 mm. Fogs are
rather frequent on the eastern and (though in a less degree) on the
northern shores, while the southern and, especially, the western coasts
have but few foggy days a vear. Thunderstorms are very rare.
FLORA
At the time of its colonization Iceland (i. e. the lowlands) was over-
grown with birch wood, which by reckless waste and grazing, especi-
ally by sheep, was gradually reduced to such a degree that only scat-
lered remnants were left here and there. Buf of late steps have been
        <pb n="21" />
        taken to preserve what still remains, and there is every prospect of
success and of the wooded areas being increased by planting. The chief
woods now are the Fnjéskadal’s wood in the north and the Hallorms-
stafa wood in the east.

Iceland has not a luxuriant vegetation; of phanerogams and vascular
cryptogams only some 400 species grow wild in the country. The grass
is generally short, stands very close and is of very good quality. There
is a great deal of difference between the mountain flora and that of the
lowlands. As we ascend the grassy plots become rarer and the growth
more stunted. The grass in the valleys and the sea-coast lowlands has
always been the most important product of the Icelandic soil. Human
habitations are placed within or near the grassy plots, mostly at a height
of 200 metres or less above the level of the sea, and in no instance
higher than 550 metres. The higher regions, of from 400—700 metres’ alti-
tude, are, however, by nomeans useless to the farmer, for they serve as moun-
tain pastures and grazing grounds for his stock during the summer months.

In the lowland districts grass begins to grow late in April or early
in May, but much later in the highlands, a fact of great importance,
as the flocks grazing in the mountains and thus feeding on young
plants during a considerable part of the summer, thrive extremely
well, and their meat has a very delicious flavour indeed.

In the mountainous parts of Iceland is found the edible Iceland
moss which formerly was largely gathered and proved a very whole-
some article of food.

Of foodplants, potatoes and Swedish turnips are grown, but owing
to the climatic conditions not even potatoes can be grown. in the north-
ern districts every year, and the home production is far from sufficient
for the country’s need. Barley was raised in Iceland in the first cent-
uries after the colonization, but in modern times grain of any kind has
altogether ceased to be cultivated.

Great quantities of sea weed grow along the coasts of Iceland, and are
of no mean importance as fodder for horses and sheep, especially in
winter. Formerly dulse (sil) was laraely gathered for human consumption.
FAUNA
Of wild mammals there are very few species in Iceland, and none
of them of any great economic importance to the population. Foxes
which formerly were quite numerous, did a great deal of harm to the
farmers’ live-stock by preying on their flocks, and have in conse-
quence been almost extirpated in several districts. Of late. however, fox-
        <pb n="22" />
        oreeding has been allowed on account of their valuable fur; but they
have to be carefully guarded so as to exclude the possibility of their
escaping and doing harm fo other people's stock. Reindeer were brought
from Norway in 1771, and live in a wild state in the interior, especi-
ally in the north-eastern regions. Before and about 1900 they were
killed in such great numbers as to be almost completely exterminated.
They have therefore been protected during the last few years. Polar
bears do not live in Iceland, but are sometimes carried to the north
oast on floes of Polar ice.

A great variety of seals is found round the coasts of Iceland, the
best known being the common seal, which is extensively caught and
of some importance to the people. On the other hand, this seal often
does a great deal of damage to salmon and trout-fishing by keeping
lo the river mouths and devouring these fishes when they ascend from
‘he sea. There are also various kinds of whale to be found along the
coast. Formerly whaling used to be an almost unknown trade, but the
drifting ashore of whales with the Polar ice was by no means an un-
common ,godsend“ to the people. But when late in the 19th century
whaling in Icelandic waters was begun by the Norwegians, the larger
species were so rapidly reduced in number, that the hunting of baleen
whales on the coast of Iceland is now forbidden by law.

Among the very few kinds of birds wintering inland, we may here
mention the pfarmigan which is extensively shot and exported, and the
Icelandic falcon. Formerly hawks were caught alive and trained for the
hawking sport (gerfalcons), and were in such great demand, that the king
issued an order to the effect that he alone should enjoy the privilege of
having hawks caught in, and exported from, Iceland, and he used to send
a ship to the island expressly for the purpose of fetching them. A hawk
is drawn on the royal flag of Iceland. The swan generally hibernates
on the shores of Iceland, and the sea eagle, now rarely met with,
stays there all the year round.

In summer many birds come to Iceland to hatch, the most common
of which are the golden plover; the ringed plover; the redwing; the
whimbrel; the redshank; the wheatear; the white wagtail. These birds,
which are mostly protected, are met with all over the country, where
they delight people with their singing and vivacity. Landbirds lay their
eggs here and there far and wide, and are of very little economic
importance, while from some of the swimmers which, in great numbers
lay their eggs in islets, bird cliffs, and other convenient places, no mean
benefit is derived. Of such aquatic birds the following mav be mentioned :
        <pb n="23" />
        The Golden Epe; the longtailed duck; the scaup duck; the kittiwake;
the fulmar; the gull; the gannet; the puffin; the common and Brunnich’s
quillemot; the common tern and the eiderduck. This last-named bird
is strictly protected and becomes quite tame. It lines its nest with down,
which, being gathered and cleaned, makes a valuable article of commodity.

In the larger lakes, such as M¢vatn and Thingvallavatn, there is, as.
already mentioned, a considerable fishing all the year round. But
various species of frout (e. g. char and sea trout) ascend the rivers
from the sea every summer, and ate largely caught. A number of ri-
vers, both in the north, and especially in the south-west, are visited
by salmon regularly every summer, and caught either by rod or traps.

The sea round the coasts of Iceland is particularly rich in many
kinds of fish, of which the most important species are cod and had-
dock, caught all round the island, and herring, fished chiefly off the
north coast.

Other species, of which considerable quantities are caught, are, saithe,
ling, torsk, catfish, lumpfish, halibut, dab, and plaice. Sharks, from
which trainoil is prepared. are now chiefly caught off the north coast.
NATURAL RESOURCES

Though a great part of the country is a barren waste devoid of vege-
ation, vet the habitable land, as compared with the number of po-
pulation, is very extensive. Thus to every farm there belongs a large
tract of land, a small portion of which is cultivated, i. e. manured for
the purpose of producing the greatest possible quantity of grass of the
best possible quality. A comparatively small area is given up to the
growing of vegetables. The rest, which is uncultivated, is partly mown,
partly used as grazing ground for the stock. Most of the farming
population is economically dependent on the growth of the grass and
the haymaking in summer, as the hay almost exclusively constitutes
the winter fodder for the stock. But as a secondary occupation many
farmers go fishing in rowing-boats part of the year. But owing to the
small boats formerly employed, the rich fishing grounds could only be
partly utilized till larger craft, as motor boats and steam trawlers,
began to be used. Since then the yearly output has increased enor-
mously, and the number of those living bv fishing alone is swelling
every year.

There are in Iceland no mines worth mentioning, except a calcareous
spar mine, yielding a very superior kind of spar (Iceland spar), not
obtainable elsewhere. Sulphur mines are found in various places and
        <pb n="24" />
        0

some of them were formerly worked. This, however, has not been
done of late. Attempts have been made at using lignite (found in the
country) for fuel, but it has been found not to pay. There has, more-
over, been some talk of working iron, copper and gold mines here,
but as this so far has come to nothing, there is no saying whether
working them would prove a paying pursuit.

According to calculations it is reckoned that Icelandic wafer power
capable of being exploited is 4 million H.P., or 40 H.P. per head of
population, or, so far as present knowledge goes, comparatively greater
than in any other country. Only a fraction of this enormous power
has been harnessed during the last few years and used for lighting
and warming purposes in towns and a few farms.

The warm water in the hot springs is also an important source of
energy, which in many places can be very easily utilized. It is within
the last few years that it has begun to be used to any considerable
extent, chiefly for the purpose of warming houses and cooking food,
and in a few places also for warming the soil where potatoes and
other vegetables are raised. Where this method has been employed,
pot-herbs grow much better than elsewhere and are not exposed to
the danger of being ruined by the summer chills.

In the geographical sketch above we have mentioned most of those
natural resources of the country, which are of importance to the popula-
ion, or make the country habitable.

(For live-stock, see article on Agriculture.)
        <pb n="25" />
        POPULATION

RACE

The Icelanders belong to the Teutonic branch of the Aryan race,
and to that particular division of this branch which comprises the
Scandinavians (Swedes, Danes, Norwegians, Faroese) whose nearest
relations they are.

Iceland became inhabited last of all the European countries, the
colonization, of which a very full record has been preserved, taking
place towards the end of the ninth century and during the first quarter
or so of the tenth. Most of the colonists were Norwegians, but a
considerable number came from the British Isles (Scotland, Ireland,
and the Hebrides). Many of the settlers coming from the British Isles
were of Norwegian descent, the rest mainly of Celtic or semi-Celtic
origin. But the Celtic element has been so completely absorbed by
‘he Icelandic nationality as scarcely even to have left a trace upon
‘he language, and immigration of foreign elements has been infinitesimal
ever since the land became fully settled. Though the Icelanders are
a mixed race with a sprinkling of Irish and Scotch blood in them,
yet, they are predominantly a Nordic race. The variety of types is,
indeed, great, but the most prominent characteristics of the nation
are: a tall and slender stature, a comparatively long face, a backward-
sloping forehead, and light eyes, while the colour of the hair is not
so fair as that of the Norwegians.

LANGUAGE
The Icelandic language is the oldest modern language in Europe,
and was spoken throughout the whole of Scandinavia about the time
when Iceland was colonized. Certainly it has changed somewhat since
that time, especially with regard to pronunciation, besides the no small
additions which in the course of centuries have been made to iis
        <pb n="26" />
        2

vocabulary. But as the old stock of words still remains unaltered in
the main, and as both grammatical forms and rules are very much the
same as of old, the Icelanders can read and understand their literature
of the twelfth and thirteenth centuries much more easily than an Eng-
lishman can the works of Shakespeare. Hence it is wrong to speak
about Old and Modern Icelandic as being two different languages; on
the contrary, they are one and the same language, Icelandic, which has
remained essentially unaltered from the time of the colonization to this
very day. And though the country is large, the inhabitants widely scat-
tered, and infercommunication therefore very difficult, there are no
dialects, and the difference between the spoken and written language
is less marked than in most other countries. This is supposed to be
chiefly due to the fact, that our language has from the first been
a literary language, and our literature extensively read by the general
public. Hence the uniformity of speech in spite of the widely scattered
population and want of communications.
DENSITY OF POPULATION

Iceland is by far the most sparsely populated country in Europe,
with a present population of about 106 000, which gives an average of
something more than one person per square kilometre. In Norway
and Finland, the most thinly peopled countries in Europe (Iceland
excepted), the populations average 7 and 9 per square km. respectively.
But it should be remembered that almost four-fifths of Iceland are
uninhabited and for the most part uninhabitable (jdkulls, glaciers,
sands. wastes).

NUMBER AND INCREASE OF POPULATION

It is not known with certainty what the population of Iceland was just
after the country had become fully settled, but with some probability
it has been estimated at about 60000 a hundred years or so after the
first colonists landed there (in 965), and by the end of the eleventh
century it may have numbered some 80 000. Afterwards it considerably
decreased in number owing to the terrible disasters and plagues with
which the country was frequently visited. The most deadly of these
was the Black Death, which ravaged the country from 1402-—1404,
and is supposed to have swept away no less than two-thirds of the
population.

The first census in Iceland was taken in 1703. It was very elaborate,
giving the name, station, and age of every person, and is probably the
        <pb n="27" />
        13

first census of its kind taken in any country. The nation then numbered
some 50 000, which bad years and plagues during the eighteenth cen-
tury reduced by 3000, so that in 1801 the country had but 47 000
inhabitants. During the nineteenth century the population again increa-
sed, and in 1880 it was rather more than 72000, while between 1880
and 1890 there was again a decline of 1500, caused by the exodus
lo America which in that decade reached its culmination, the number
of emigrants exceeding that of immigrants by 6300. But since 1890
there has been a steady increase as shown by the following figures,
obtained from general decennial census returns:
Number of population in 1890 . . . 70927
- 1901 . . . 78470

1810 . . . 85183

- 1920 . . . 94690

1929 about 106 000

During the last 9 years (1920—1929) the average
has been 1.26 per cent.

annual Increase

IMMIGRATION AND EMIGRATION

The population consists almost exclusively of Icelanders. The census
of 1920 shows that only 710 persons, or 0.7 per cent., were born out
of Iceland. Of these, 352 were born in Denmark, 205 in the other
Scandinavian countries, and 153 elsewhere. .

During the last quarter of the nineteenth century there was a con-
siderable emigration from Iceland to America, particularly to Canada.
The highest figures were reached in 1887, when about 2000 persons
emigrated. In this (the 20th) century there was some emigration (avera-
ging about 200 a year) up to the Great War, when it practically
stopped. The exact number of Icelanders resident in America is not
known, but probably it does not exceed 25000, most of them living in
Canada, especially in Manitoba and Saskatchewan, while some 5600
are citizens of the United States (cfr. the U. S. census 1920).

DISTRIBUTION OF POPULATION ACCORDING TO SEX,
AGE AND CONJUGAL CONDITION
As already mentioned, the population of Iceland at the census of 1920
numbered 94 960. Of this total, 46 172 were males, 48 518 females.
To every 1000 males there were thus 1051 females, This difference
is greater than it was in other European countries till the Great War
broke out and reduced the number of males much more than that of
        <pb n="28" />
        A

females. In Iceland this difference is due solely to a higher death-rate
among males than females. The struggle with nature has often proved
comparatively as destructive to human life as war, when whole crews
have been drowned in a single day. Formerly the surplus of women
was still greater, as e. g. in 1801, when to every 1000 males there
were 1192 females. This number in 1880 had fallen to 1123, and since
‘hen there has been a steady decline.
If the population is classed according to age, the census of 1920
gives the following figures:
Under 20 years . . . . . . . . . . 42,6 p.c.
Between 20 and 60 years (productive age) 46.9 —
Over 60 years. . . . « ® 3 10.3
If persons 15—20 years old and those aged 60—70 are included in
the productive-age class, the figure of 62.6 per cent. of an able-bodied
age is arrived at.
Married and unmarried persons over 20 years of age were as fol-
ows (census 1920): Males Females
Unmarried . . . . . 38.4 p.c. 38.3 p.c.
Married . 54.1 — 37.3 —
Widowed 5.6 — 13.5 —
Divorced 09 0.9 --
100.0 p.c. 100.0 p.-.

Since 1880 there has been a comparative increase in the number
of marriages. Married males and females over 20 years old were then
48.2 p. c. and 39.9 p. c. respectively. In 1920 the number of married
males had risen to 54.1 p. c., that of females to 47.3 p. ¢. The number
of married persons in Iceland as compared with the number of the
population is, however, still lower than in other European countries
(except Ireland), and marriages are not so frequent, if we leave out of
account a little increase during the Great War and the years im-
mediately following. The average annual number of marriages per
1000 of population is as follows:

1876—1885
1886—1895
1896—1905
1906 —1915
19161920
1921 ~ 1925
1926 . .
1927
1928
        <pb n="29" />
        BIRTHS AND DEATHS
The movement of the population will appear from the figures
given below :

1876—1885
1886 —1896
1896—1905
1906—1915
916—1920
1921—1925
926 . . .
927. . . . .
a2 .

Born living:
31 4 Clo

Excess of births:
6.6 %00
i1.5 —
11.9 —
.8 —
RS 25 —
26.3 12,56 —
26. 1l.e 15.4 —
25.8 125 — 13.3 —
7 oe 10.8 -—-— 14.0 —
This table shows a steady decline in the number of births during
the past 40 years, accompanied by a still greater fall in the death-
rate and an ever growing natural increase of the population, due to
the excess of births.

The decline in the birth-rate has, however, been very slow, and the
number of births is at present comparatively higher in Iceland than
in other countries in north-western Europe.

Of every 1000 children, born in the years 1920—25, twenty five were
still-born. In this number there has, however, been a,steady decline of
late (of every 1000 children born during 1886— 95, 36 were still-born).

Of children born in Iceland a comparatively greater number is ille-
gitimate than in other European countries. In 1921—25 illegitimate
births amounted to 13.5 per 100. Vet illegitimate births are compara-
tively much fewer now than they were 40 years ago, as the following
table will make clear:
1876—1885 .
I886—18%5 .
{896—1905 .
906—1915
1916—1920
1921-—1925

20.2 p. c.
19.3 —
14.8 —
13.2 —
13.3
13 5
The death-rate in Iceland is at present rather low, compared with
‘he mortality in other countries, and as the above table shows there
has been a great decline during the last 40 years. In the years 1926
—28 there have been only 11.5 deaths per 1000 of the population.
During the same period the death-rate was lower only in 3 European
countries, viz. The Netherlands, Norway, and Denmark.

The low death-rate is primarily due to the low mortality amongst
        <pb n="30" />
        B

children. In 1921—25 the death of children in the first year of life
was only 52 per thousand (excl. still-births), that is, lower than any-
where else in Europe, Norway excepted. In this respect there is a
vast change for the better, as the mortality amongst children in the
first year of life was for the years 1871—80 189 per thousand (excl.
still-births), and for 1841—50 even 313 per thousand.

The most common causes of death are pneumonia, tuberculosis, and
weakness due to old age (debilitas senilis), which together account for
more than {two-fifths of the deaths. Of all the deaths in the years 1921—25
{5.8 per cent. were due to pneumonia, 13.8 per cent. to tuberculosis (pul-
monary alone being responsible for 9.1 p. c), and 12.0 p. c. to old
age weakness. In the same period 8.1 p. c of the deaths were due to
accidents and 7.5 p. ¢. to cancer. Accidents are thus among the more
prominent causes of death, especially deaths by drowning amongst fisher-
men along the extensive coasts. In 1921—25 more than four-fifths of the
deaths caused by accidents were due to drowning. Suicide is comparatively
rare in Iceland. and murder does not occur for years and years together.
RURAL AND URBAN POPULATION

In spite of the great increase of the population since 1890, there
has from 1880 been a steady decline in the number of the rural
population, all the increase having gone to the towns, which in con-
sequence have grown very rapidly. Formerly almost all the people
were farmers. In 1880 there were but three towns in the country with
a total of 3630 inhabitants, or 5 p. c. of the then population. Now
{here are 8 towas with a total of 41000, or about two-fifths of the
nation, besides 21 coastal villages with from 300—1200 inhabitants
sach, or 12000 in all. If these are included in the town population it
attains to 51 p. c. of the nation. The changes that have taken place
in this respect are shown in the following table:

1880

890
.890
910
1920
1028

Coastal villages
with more than
300 inhabitants

Towns
50 p. c.
1.5 - 88.9 p. c.
(2.9 ~- rE 80.3 -
21.1 — 11.1 — 67.8 —
30.7 — 12.0 — 57.3 —
39.4 — 11.2 — 49.4 --

Rural dis-
tricts

Total
00 p. c.
100 —
100 —
100 —
100 -—
100

in 1928 the town population was as follows:
        <pb n="31" />
        9

Reykjavik .
Hafilarfjsrdur .
Akureyri  . .
Vestmannaeyjar .
[safjordur . .
Siglufjérdur . . .
Nes in Nordfjordur
Seydisfiérdur. .

25.217 inhabitants.

3.351
3.348
1.331
2.267
760

05

93¢C
Total 41.31%

DISTRIBUTION OF POPULATION ACCORDING
TO OCCUPATION
The classification of the population according to the various occu-
pations is shown in the following summary, which gives the results of the
census of 1920. All those who either as family providers or dependants
live by each of these occupations, are here classed together:

Public service, art and science . 3417 3.6 p. c.
Farming . . . . . 10 614 42.9 —
Fisheries . : . . « . +. + . 7947 189 —
Handicrafts and industries . . . . . . 0697 {1.3
Commerce and communications . 11591 12,2
Servants . . . , + + «+ . + . . . bB5384 6.8
Pensioners and men retired from business 1 866 2.0 —
Receiving poor relief. . . . . . 1 482 1,6
Profession not stated, . . . . . . . 692 0.7 —
Total 94690 100.0 p. ec.
Though farming is still the chief occupation of the nation, vet,
formerly it was so to a much greater extent. Compared with other
occupations farming has greatly declined, while the fisheries, industry,
handicraft, commerce, and communications have materially increased,
as may be seen from the following comparison of the main occu-
pations for the years 1880 to 1920. (The figures for 1920 are here
a little higher than in the preceding table, as domestics who are in-
cluded under ‘Servants’ 1920, are here distributed among those groups
of occupations to which they properly belong, in order to render the
comparison with the census of 1880 more accurate.)
1880 1920 1880 1920
Farming . . . . . . . . 53000 43 800 73.2 p.c. 46.2 p. c.
Fisheries . . . . . . . . 8700 18 700 120 — 19.8 —
Handicrafts and industries . . 1500 11 200 2.1 — ns —
Commerce and Communications 2 600 12 700 3.6 — 13.4 —
Total 65 800 86 400 90.9 p. ¢. 91.2 p. c.
        <pb n="32" />
        18

The decline in number of the farming population during these 40
years, amounting as it does to about 10000 persons, has been ac-
companied by a corresponding rise in the number of those following
the other occupations here mentioned. Farming, which 40 years ago
maintained about three-fourths of the nation, does not at present sup-
port even one-half of it, while the fisheries now furnish employment
to about one-fifth of the nation. Industry and commerce which 40
years ago were of very little importance, have now attained to con-
siderable prominence.
        <pb n="33" />
        CONSTITUTION AND LAW

[. HISTORICAL SUMMARY
The colonization of Iceland was an entirely private undertaking on
the part of the colonists themselves, who came thither in straggling
bands from different quarters, and had no community of government.
The first 60 years of the history of the country form a separate peri-
od, while as yet there was no political organization for the whole is-
land. It is not till 930 that the Icelandic commonwealth comes into
being, when Althingi (the general sassembly for the whole country)
s established and a code of laws (Ulfliét's Code) adopted for the
whole country.

The Icelandic commonwealth was a free and sovereign state, the
most characteristic features in ils constitution being the assemblies
{(, Things“) and the aristocracy. The godar (chiefs or priests), wielding
the general government of the country, were at first probably 36.
But later on, or about 965, their number was increased to 39, with
a further addition of 12 godords (priesthoods or chieftaincies) in 1005,
The old godar or chiefs were invested with much greater influence
on the government than the new ones. The godords were not strictly
geographical; they were a kind of personal union between the godar
or chiefs on the one hand and their thingmen on the other, based
on mutual confidence, and entered into for purposes of defence and
dissolvable by either party at will. The office of the godi was indeed
of a public character, but in some respects it was treated as the godi’s
private property. It could not only be transmitted as an inheritance,
but it might also be sold or given away without the thingmen having
a voice in the disposal of it. A godord could be vested in several
persons jointly, and similarly a single godi might hold a number of
godords. This gradually led to the accumulation of the godords in the
        <pb n="34" />
        20

hands of a few leading godar, and as in this manner the geographical
character of the godords became more and more fixed, the relation of
godar and thingmen was marked by an ever increasing subordination
of the latter.

The extent of power of the assemblies or Things varied considerably.
There were 13 district assemblies (i. e. spring and autumn assemblies),
each comprising 3 godords; 4 quarter-Things, one for each quarter
of the country, but they soon disappeared; and lastly there was
Althingi (the general assembly) for the whole island. Althingi was not
a mere tribunal exercising legal jurisdiction for the whole island; it
was a legislature for the whole country as well. Althingi thus pos-
sessed both legislative and judicial powers, but the executive autho-
rity was weak and inefficient, for the godar or priests retained this
power in their own hands. The permanency of the Icelandic republican
state system was thus necessarily conditional upon the balance of power
(equality of the godords) being maintained among the godar, and on
none of them becoming so powerful as to be able to lord it over the
others. But this balance of power was disturbed when the godords
began to accumulate in few hands, the consequence being bloody
feuds among a few powerful families who aimed at nothing but self-
aggrandizement. These quarrels gave the Norwegian king, Héakon
Hakonarson (f 1263), an opportunity of interfering in Icelandic affairs,
and at last, in 1262, he persuaded the Icelandic nation to take the
path of allegiance, and the commonwealth had come to an end.

On the Treaty which the Icelanders made with king at Althingi
in 1262 were based the relations of Iceland with Norway and with
Denmark later on, and the new constitution of Iceland. By this Treaty
of Union the Icelanders swore allegiance to the king and his descen-
dants and promised them permanent annual taxes, the king on his side
promising them various privileges. — As to the real substance of the
union agreement opinions have been greatly divided: The Icelanders
have always maintained that it established a personal union between
Iceland and Norway, nothing more. The Danes, on the other hand,
in the controversy which arose later on regarding the relation be-
tween Iceland and Denmark, contended that the agreement had brought
about a real union between the two countries, and they even went so
far as to say that Iceland had become an integral part of the Nor-
wegian kingdom. The treaty of union was renewed several times, but
no such changes were ever introduced as to affect materially the rela-
tion between Iceland and Norway. Nor was there any change of this
        <pb n="35" />
        21

kind involved in the union of Iceland-Norway with Denmark (in 1380)
under a common crown. On the other hand, the act of union, and
more especially the two codes of law (J4rnsida and Jénsbok) intro-
duced in 1271—73 and 1281 respectively, wrought a fundamental
change in the constitution of Iceland: The executive power was vested
in the king; the godords were abolished and the godar were replaced
by royal officials; Althingi was retained in a changed form, now
acting mainly as a judicial tribunal with judges appointed by the
king's officials, but continuing to exercise its legislative functions as
well, both conjointly with the king and even without his cooperation.
This constitution remained unchanged during the next following cen-
turies; and it may, on the whole, be said that the royal authority was
not much to the fore in Iceland down to the Reformation (1550);
but from that time it greatly increases, and this for several reasons.
At the time of the Reformation the king assumed the highest authority
in ecclesiastical affairs, as was the rule in other Lutheran countries;
he also took possession of the great landed property belonging to the
monasteries. After the Reformation the king also began to lay greater
stress on getting revenue from Iceland, which led to the establishment
of a trade monopoly in 1602 to the great defriment of the Icelandic
people. This monopoly lasted till 1787, during which period all trade
was either leased to Danish commercial companies or carried on by
the kings themselves. After the Reformation, too, the highest officials
in the country were for a long time mostly Danes, whereas up to
that time they had often been native Icelanders. In 1662 the Icelandic
people vielded formal homage to Frederick Ill as.a hereditary and
absolute monarch, in the same manner as had already been done in
Norway and Denmark. This brought about no change in the status of
Iceland in relation to Denmark, but the new régime naturally neces-
sitated modifications in the constitution of the country. About 1700
the legislative power of Althingi had completely disappeared, and
its importance gradually dwindled up to the year 1800, when it was
finally abolished. Fundamental changes were also made in the adminis-
tration of the country both in 1683 og 1688. The highest official,
the Stiftsbefalingsmadur (governor-general), resided in Denmark with-
out ever having to visit Iceland; the management of Icelandic affairs
was entrusted to the Danish government departments in Copenhagen;
the Danish supreme court became the court of final appeal in Ice-
landic affairs as well, and even such laws as were intended to have
force in Iceland were issued in the Danish language.
        <pb n="36" />
        22
When the consultative assemblies were created for Denmark in 1834,
it was ordered that Iceland should send two representatives to. the
assembly for the Danish islands convened at Roskilde. But this ar-
rangement did not satisfy the Icelanders who demanded their own
national assembly; and in answer to these demands the King, in 1838,
created a commission of 10 royal officials who were to assemble in
Reykjavik every two years to examine Icelandic affairs and make
suggestions to the government; and later, in 1843, a consultative body
for Iceland was created and called Althingi.

By the Danish constitution act of 1849 the king renounced his ab-
solute power in Denmark. But as this constitution did not include Ice-
land, the king retained his absolute power there. Then the Icelanders
began their struggle for independence under the leadership of Jén
Sigurdsson. This struggle was twofold: a struggle for the recognition
of Iceland’s independence of Denmark, and a struggle for a liberal
constitution. When this controversy had lasted for 20 years, a bill was
passed by the Danish Rigsdag, and ratified by the king (on Jan. 2nd
1871), defining the position of Iceland within the realm. This law
was never submitted to Althingi for approbation, which conse:
quently denied the validity of the act. — According to this law Ice-
land was an integral part of the Danish realm, with autonomous power
in matters of local concern. In the so-called common aifairs of the
realm Iceland was to have no voice. On Jan. 5th 1874, the king, with-
out consulting Althingi, issued a constitution for Iceland based on the
law of 1871 and dealing with its local concerns, granting legislative
power to Althingi conjointly with the king in the country’s local con-
cerns. The same year a special ministry for Iceland was created in
Copenhagen, at the head of which was placed the Danish Minister of
Justice. The constitutional struggle was soon renewed, and in 1903
modifications in the constitution were granted, providing, among other
things of less importance, a minister for Iceland residing in Reykjavik
and capable of speaking and writing the Icelandic language. But this
did not put an end to the controversy, and in 1907 the king appointed
a commission consisting of Danes and Icelanders to draft a new agree-
ment defining the position of Iceland in the realm. But the draft, sub-
mitted by the majority of the commission in 1908, was not passed by
Althingi. At last, in 1918, a new commission consisting of Icelanders
and Danes was appointed to settle the relations between the two
countries. The delegates met in Reykjavik, where the negotiations,
bequn on the 1st of July, ended on the 17th of the same month by
        <pb n="37" />
        23

the representatives of both countries agreeing to a draft of a Danish-
Icelandic Act of Union, which, having been passed by the Parliaments
of both countries, received the royal assent on Nov. 30th 1918. This
act is the basis of the union between Denmark and Iceland. After the
act of union had been approved, the necessary changes were made in
the constitution of Iceland. The new constitution was signed by the
king on May 18th 1920 as the constitutional law of the Kingdom of
Iceland.

II. INTERNATIONAL STATUS
Even though the act of union is called a law and passed by the
legislatures of both countries, it is in reality an interstate treaty be-
tween Iceland and Denmark. The first clause declares that Denmark
and Iceland are free and sovereign States united by a common king
and by the agreement embodied in this act. The union is therefore of
two kinds: a personal union, which is not based on, but is the basis
of, the act of union, and the union based on the agreement contained
in this act. Though the personal union is thus seen not to rest on
the act, the act contains several provisions which are intended to safe-
guard this union. Thus it lays down that the order of succession to the
throne shall be arranged according to the provisions contained in
§§ 1 and 2 of the (Danish) Act of Settlement of July 31st 1853, and
that this cannot be altered without the express consent of both States.
The statutory provisions that were in force in Denmark on the 30th
of Nov. 1918 regarding the king's religion, his majority, as well as
those concerning the exercise of the royal power during the king's
illness, his minority, or his sojourn abroad, shall also be valid for
Iceland. The king cannot become the sovereign of another State
without the consent of the Danish Rigsdag and the Icelandic Althingi.
Each State frames for itself the rules according to which payments are
to be made from their respective treasuries to the Civil List. The
names of both States shall appear in the king's title.

Further there are provisions in the act referring to the rights of the
subjects of one state in the other, and clauses enumerating such
Icelandic affairs as Denmark is to deal with on Iceland’s behalf. There
are provisions intended to safeguard the union, and, finally, there are
rules according to which the act may be abrogated.

As to the first of these points, the act of union lays down that
Danish subjects in Iceland shall enjoy in every respect equal rights
        <pb n="38" />
        24

with Icelandic subjects born in Iceland, and vice versa; that the sub-
jects of either country shall be exempted from military service in
the other; that access to fishing in the territorial waters of both
countries is equally free to Danish and Icelandic subjects, irrespective
of residence; that Danish ships in Icelandic harbours have the same
privileges as Icelandic vessels, and vice versa; and that Danish and
Icelandic goods and produce shall mutually enjoy the most favour-
able terms granted to any country. —- The act provides that Den-
mark shall act on Iceland’s behalf in foreign affairs. In the ministry
of foreign affairs a representative shall be appointed well acquainted
with Icelandic conditions for the purpose of dealing with Icelandic
matters and furthering Icelandic interests. Iceland may have consuls
appointed where there are none at present. Moreover attachés familiar
with Icelandic conditions shall be attached to the already existing con-
sulates and legations. The Icelandic government may also send dele-
gates to other countries to conduct negotiations in matters specially
concerning Iceland. All treaties between Denmark and other countries
already concluded and published shall, in so far as they concern Ice-
land, remain in force for that country too. But treaties ratified by Den-
mark after the act of union has taken effect, are not binding on Ice-
land without the consent of the Icelandic authorities concerned. The
fisheries protection in Icelandic territorial waters shall be performed
by Denmark under the Danish flag, until Iceland may decide to under-
take this duty. The monetary system, which has hitherto been in force
in both countries, shall continue as long as the Scandinavian coinage-
union exists; and finally the Danish supreme court shall have juris-
diction in Icelandic cases until Iceland decides to establish a court of
final appeal of her own. This jurisdiction of Denmark’s supreme court
ceased in 1920, when a court of final appeal was instituted in Iceland.
The share payable by Iceland to Denmark for the management of these
affairs is to be fixed according to an agreement made by the govern-
ments of both countries.

In order to safeguard the union, the act provides that an advisory
body shall be creatad as well as a court of arbitration, in case of
a ‘difference of opinion arising about the provisions of the act of union.
This advisory body shall consist of at least 6 members, three of whom
are to be appointed by Althingi, the other three by the Rigsdag. DBe-
fore any measure coucerning the management of the affairs specified
in the act, or any bill relating to the specific affairs of either coun-
trv. which at the same time mav affect the other state and the
        <pb n="39" />
        25

position and rights of its subjects, is introduced in the parliament of
the country where these bills have originated, they shall be submitted to
the advisory body for consideration, unless this involves serious diffi-
culties. The advisory body shall propose amendments to such clauses
in the bills as may be thought to conflict with the interests of the other
country or those of its subjects. This committee shall also frame bills
aiming at cooperation between both countries and at conformity in their
respective legislation and to take part in inter-Scandinavian coopera-
tion in the sphere of legislation. The committee at present comprises
8 members and has ‘up to now assembled once a year, alternately
in Iceland and Denmark. — As regards the court of arbitration
the act provides that if differences of opinion arise concerning the
provisions of this act, which cannot be adjusted by the governments,
the matter shall be laid before a court of arbitration consisting of
four members, two to be appointed by thé supreme court of each
country. This court of arbitration shall settle the differences by majori-
ty of votes. But in case of a tie, the matter shall be submitted to an arbi-
trator appointed alternately by the Swedish and Norwegian governments.

Finally there are in this act provisions concerning the abrogation of
the act; according to which either Althingi or the Rigsdag may,
after the 31st of Dec. 1940 demand a revision of this act of union,
and if negotiations do not result in a new treaty within three years
from the submission of such a demand, either parliament may pass a
resolution to the effect that the treaty contained in the act be abolished.
But in order to make this resolution valid a two-thirds vote of either
house of the Rigsdag and the same number of votes in the united
Althingi is required. This resolution must subsequently be submitted to
a referendum in which at least three-fourths of the parliamentary
electorate exercise their vote, and three-fourths of the votes cast must
be in favour of the abrogation of the treaty. .

The union of Iceland and Denmark, according to the act of union,
belongs to the domain of international, not constitutional, law. Both
countries are sovereign states. Neither is superior to the other in the
union, and there is no State superior to them. Whether the union is
to be termed a personal union or a real union, depends on what con-
ceptions these terms are intended to imply. If it is called a real union,
it must be observed that it is an unusually loose one, as the two countries
have no supreme authority of State in common except the king. The
advisory committee is indeed common for both countries, but being only
advisorv. it cannot be looked upon as invested with constitutional power.
        <pb n="40" />
        III. THE CONSTITUTION
FORM OF GOVERNMENT
According to paragraph 1 of the Icelandic constitution the form of
government is a limited monarchy, and § 2 of the constitution pre-
scribes that the legislative power rests jointly with the crown and
Althingi. The executive power is vested in the crown, while the adminis-
tration of justice is exercised by the courts. As will appear below the
constitution has not followed this division of powsr with full consistency.
THE ROYAL POWER, THE COUNCIL OF STATE
AND THE CABINET

The king has the highest power in all affairs of the State, subject
to the reservations set forth in the constitution. The kingdom passes
in direct male line to the descendants of king Christian IX and his
queen, Louise. The Crown-prince, in order to succeed to the throne,
must belong to the Lutheran Church; and he must not, without the
sanction of Althingi and the Rigsdag, be the sovereign of another
country. But in order to be able to exercise the royal power, he
must have reached the age (18 years) fixed by the law; he must be
so sound in mind and body as to be fit to discharge his official du-
ties; he must be able personally to exercise his royal power, and
he must have taken an oath of fidelity to the constitution. If the king
is not in a condition to reign, the heir to the crown, a special regent,
or the council of State, exercises the royal power ad interim. The
king's person is sacred, and he enjoys in an especial degree the pro-
tection of the law. The Civil List of the king is fixed by law.

The king is exempted from responsibility, but the ministers are re-
sponsible for the conduct of affairs. The king appoints the ministers,
accepts their resignation, fixes their number, and defines their respec-
tive spheres of action. As a rule, the ministers have been three
since 1917, but sometimes a minister has been in charge of more
than one department for a short period of time. The king decides
which of the ministers shall be the premier. The seat of the govern-
ment is Reykjavik. In order to be valid, all royal decrees, both con-
cerning legislative and administrative affairs, must be countersigned
by a minister. All laws and important measures must be laid before
the king in council composed of the ministers and the Crown-prince,
if he is of age, and presided over by the king. Qutside Iceland the
        <pb n="41" />
        27

king may hold a cabinet council with one minister, and if the king
is sojourning outside Iceland, the prime minister as a rule lays the
measures before him there, also on behalf of the other ministers in
case they are not present. The minister who thus lays before the king
a measure signed by another minister, is responsible for its correct
interpretation to the king, but not for its contents, unless he has in-
curred that responsibility in some other way. Cabinet meetings are
presided over by the premier and shall be called, either at the request
of a minister, or when legislative proposals or important state affairs
have to be discussed. In virtue of their offices the ministers have seats
in Althingi and may at will take part in the parliamentary debates,
but they are not entitled to vote unless they are members of parlia-
ment. The ministers may either be impeached by Althingi in matters
relating to the discharge of their official duties, and such cases may
be brought before the High Court of the Realm, after a resolution to
that effect has been passed by the united Althingi (Plenum); or Al-
thingi may refuse to support the ministry or pass a vote of no-con-
fidence acainst them.

ALTHINGI

Althingi is composed of forty-two popularly elected members, thirty-
six of whom are elected by the constituencies for a period of four
years. There are in all twenty-seven electoral districts: one (Reykija-
vik) with four representatives, elected according to proportional re-
presentation; six districts with two representatives each, and twenty
districts with one member each, all elected directly by the electors.
Six members are chosen by the whole electorate (chosen at large) and
according to proportional representation for a period of eight years.
No substitute members are elected by the constituencies, but at the
election of the six members chosen as the representatives for the
whole country, an equal number of substiiutes is returned and in the
same manner as the representatives. If a member, chosen by the whole
electorate, resigns his seat, or if he is otherwise prevented from at-
tending a particular session, his substitute takes his place for the re-
mainder of the electoral period or during the rest of the session. But
in case a division loses its member, a by-election must immediately
take place. Dissolution of parliament does not affect the seats occupied
by those who are chosen by the whole electorate, but one-half of
them must resign every four years. All icelandic subjects, male and
female (and Danish subjects, cp. act of union), unless they have had
        <pb n="42" />
        IR

a sentence passed upon them by the courts for a ‘dishonourable

offence’ or are indebted for Poor Relief, have the right fo vote

at district elections, provided they are at least 25 vears of age; have
resided in the country for five years immediately preceding the elec-
tion; have been domiciled for one vear in the district in question;
are capable of managing their own affairs; and have their names on
the register of voters. Eligible for Althingi are all those who are
qualified for the franchise. Any citizen, except judges who are not
charged with administrative duties, may, however, be elected even
though he is not domiciled in the district, or though he has resided
there for a shorter period than one year. The qualifications for franchise
and eligibility at the election of those who are chosen by the whole
electorate are the same as those obtaining at the district elections,
except that the age limit is thirty-five years. — The ballot is secret
and takes place in every parish (hreppur) and town (kaupstadur),
which again may be divided into electoral sections (kisrdeildir). At
the district elections, the ballot is conducted by the parish election
committees, and in each electoral district by the district election com-
mittee; but the election of the six representatives by the whole elec-
torate is supervised by an election committee (landkjérstiérn) in Reykja-
vik and by ‘sub‘-committees in the electoral sections. The ballot-boxes
are sent to the district election committees, who count the votes and
furnish the elected members with certificates of election. Electors who
on election day happen to be outside the electoral district where they
are registered, may vote by sending in their ballot paper in a sealed
envelope to their proper polling place. It is not a civil duty either
to vote or to accept election. The representatives have to take the oath
fo the constitution. They receive a remuneration and are specially
protected by law.

Althingi assembles (usually in Reykjavik) for its ordinary sessions
on the 15th of February or on the following week-day, unless the king
has fixed another day earlier in the year. The king summons Althingi
and decides when it shall be prorogued, which, however, must not
be done until the budget has been passed. The king may summon
extraordinary Althings. He may also adjourn its meeting once a year
for a certain period of time which, without the sanction of Althingi,
must not exceed two weeks. He has the right to dissolve parliament,
but then a new election must take place within two months after the
dissolution, and the new Althingi must be summoned not later than
eight months after the previous parliament was dissolved.
        <pb n="43" />
        29

For legislative and other work Althingi is usually divided into two
Houses, the efri deild or Upper House and the ned: deild or Lower
House. But sometimes both Houses work together in a United Althingi.
The members constituting the efri deild are the six chosen by the
whole electorate and eight others, whom the united Althingi chooses
from amongst the representatives elected by the constituencies, the
remaining twenty-eight forming the nedri deild. Whilst both Houses
are on the whole on an equal fooling, the budget must be introduced
in the nedri deild. Both Houses and the united Althingi choose their
respective speakers. The rules of procedure for both Houses (deildiv)
and the united Althingi are fixed by law. Althingi itself decides whether
its members are lawfully elected and whether a member has forfeited
his eligibility. While the sittings of Althingi are as a rule held in
public, either House and the united Althingi may determine to discuss
an affair behind closed doors. No decision can be made by either
House unless more than half of the assembly is present and vote,
and in a united Althingi more than one-half of the members of each
House must be present. Generally, resolutions are passed by simple
majority, but sometimes an increased majority is required (vide infra).
Besides the buisness done at sittings, Althingi also works in com-
mittees. Each House can appoint committees of its own members to
examine important matters. There are thus both standing committees,
each having its special kind of affairs to deal with, and special com-
mittees, appointed for the purpose of inquiring into certain matters.
Each House may furnish its committees with authority to demand oral
or written reports from civil service officials and private persons.
Committee meetings are not open to the public. The proceedings of
Althingi, i. e., the debates, parliamentary documents and votings, are
published in the parliamentary Gazette.

Although Althingi is in the main a legislative assembly, it can both
control and influence the administrative work of the government. This
is primarily due to the fact that Althingi commands the sources of
supply, for both the budget proper and the supplementary budget
require its sanction; nor must any payments be made from the public
treasury unless authorized by Althingi. The sanction of Althingi is ne-
cessary for imposing, changing or abolishing taxes, duties and customs,
for the State to take up loans; for disposing of any public domains
or the right of using such domains. The national accounts of revenue
and expenditure during each financial year must be sanctioned by
Althingi, which appoints three auditors to examine them. — As already
        <pb n="44" />
        30

mentioned, the ministers may be impeached by Althingi in matters

relating to the discharge of their official duties. And through addresses

to the king and resolutions and questions to the government Althingi
has an extensive conirolling authority on the conduct of affairs.
THE LEGISLATIVE POWER

According to § 2 of the Icelandic constitution, the legislalive power
rests jointly with the crown and Althingi. From this general rule the
constitution deviates in two ways, viz. in some specified instances the
king may issue provisional laws, and in some other cases a bill passed
by Althingi and signed by the king requires a referendum before it
becomes an act.

2. General Laws. Both the king and the members of either deild
(House of parliament) may bring bills before Althingi. The pro-
cess of law-making is conducted as follows: The bill is introduced
in either House, where it passes three readings. If it passes them
all, it is sent to the other House where it undergoes an exactly
similar process. If amended or altered there, the bill is sent back
to the House where it originated; and if that House introduces
alterations, the bill must again be sent to the other House. If not
passed in this shape, both Houses shall meet in a united Althingi
and dispose of the bill at one sitting, but under these circumstances
a majority of two-thirds of the votes cast is required for the bill
to pass. All these readings and votings must take place in the
same session. When the bill has finally passed both Houses, it is
laid before the king in council for ratification. If a bill, passed by
Althingi, has not received the royal assent before the next regular
session of Althingi, it amounts to the bill being vetoed. The king's
right of veto is thus unrestricted. But as the royal veto on bills
must have the signature of a minister, it is in reality very little
felt in countries where the parliamentary system of government
has been established. The king provides for all new laws being
published in the official Gazette.

Budget and Supplementary Budget. Respecting the budget and
supplementary budget the following special rules obtain: Shortly
after the regular assembling of Parliament (Althingi) the finance
bill is presented, and Althingi must not be prorogued till the bill has
passed. A provisional budget must not be issued, if the budget for
the financial year has alreadv been passed by Althingi. For the

h
        <pb n="45" />
        pd |

final passing of the budget by both Houses in a united Althingi
a simple majority of votes is sufficient.
Provisional Laws. Subject to the restrictions mentioned above
{under b.) and if it is unavoidable and necessary, the king may
issue provisional laws in the interval between the annual sessions
of Althingi, provided these laws do not infringe the constitution.
Such provisional laws must, however, be submitted to Althingi in
its next session, and, if not passed there, they are abolished.
Changes in the Constitution. 1f changes in, or additions to, the
constitution are passed by Althingi, whether in a regular or a spe-
cial session, it must at once be dissolved and a general election
take place. If these changes are passed unaltered by the new as-
sembly, they are valid as constitutional law after receiving the
royal assent.
Changes in the Act of Union and in the Church Organization.
Any changes in the act of union between Iceland and Denmark,
or any alterations in the church organization according to § 58 of
the constitution, passed by Althingi, shall be submitted to a refe-
rendum at which the ballot is secret. The constitution nrovides that
the Lutheran Church shall enjoy the support and protection of the
government as the Established Church of Iceland.

THE EXECUTIVE POWER
According to § 2 of the Icelandic constitution, the executive power
is vested in the king, regarding which the following provisions obtain:
The king provides for the execution of the laws; this implies that the
king is the highest administrative official in the couniry. He appoints
functionaries to the same offices as heretofore, a custom which may,
however, be changed by law. He may dismiss an official he has ap-
pointed, or transfer him from one office to another, provided the
transfer does not entail on the official thus transferred any decrease
of salary, and provided also that he has been allowed the choice be-
tween being thus transferred and resigning on his statutory pension
or on an old age pension fixed by law. This rule, however, does not
apply to judges (vide infra, justice), and certain other classes of officials
may by law be exempted from this liability.

The king negotiates treaties with other States. But such treaties as
involve surrender of, or obligations on, land or territorial waters, or
changes in the constitutional law of the country, require the sanction
of Althingi.
        <pb n="46" />
        32

Under special circumstances the king may decide that legal pro-
ceedings for offences committed shall be stopped. He may also grant
pardons and amnesty. He cannot, however, without the sarction of
Althingi, quash the impeachment of a minister or free him from suffer-
ing the punishment to which he has been sentenced by the high court
of the realm. The king may, either himself or through the authorities,
grant licences and allow exemptions from the laws, but only accord-
ing to the rules which were observed under such circumstances before
the constitution came into force, i. e. before Aug. 1st 1874.

JUSTICE

According to § 2 of the constitution, the administration of justice is
exercised by judges. Other authorities can, therefore, neither alter nor
influence the decisions of the courts. The constitution, moreover, pre-
scribes that the courts shall settle all points of dispute, that may arise
respecting the extent of power possessed by the officials. This implies
that whenever there is a doubt whether the executive or judicial au-
thority is to be exercised in a matter, the decision rests with the
courts. As regards laws (provisional as well as other laws) the courts
shall decide whether or not they conflict with the constitution; and as
the judges in all their official duties are to be guided solely by the
law, the executive can in no possible way dictate to them how to give
their decisions. The king appoints the judges, and the government
supervises the discharge of their duties and has the power to prose-
cute them in case of official misdemeanour. To safeguard the indepe-
dence of the judges against any such interference on the part of the
executive, the constitution provides ihat those of them who have no
other administrative duties cannot be removed from the bench against
their will, except by a legal judgment having been passed upon them;
nor can a judge be transferred from one office to another against
his will, except in case of a new system being introduced. When a
judge has reached the age of 65 years, he may be allowed to retire
on full salary. This provision is, however, of minor importance, as it
applies only to those judges who have no adminitstrative duties, for
in most cases the judges at the lower courts exercise administrative
functions as well. Finally the constitution prescribes that the system
of administration of justice can only be fixed by an act of parliament.
It is, however, held that the king can appoint judicial commissions to
deal with special cases.

The courts of law are of two kinds, ordinary and special. In the
        <pb n="47" />
        33

former are tried all kinds of cases, save those which are expressly
excepted; in the latter are heard such cases as specially fall within
their provinces.

The ordinary judicial court has two instances: the first instance is
the lower court, presided over, in the country, by the district magistrate,
in the town, by the town magistrate. The country is divided into 24
Lower Court Jurisdictions, i. e. 16 districts (sy¥slur) and 8 towns (kaup-
stadir), whereas the lower cour! judges are but 21 in all. The second
instance is the Supreme Court in Reykjavik, consisting of 3 judges.

As a general rule, the special judicial court has two instances, the
supreme court being the higher instance. Some of the special courts
consist of an ordinary lower court judge and lay judges, e. g. the
Maritime Court, which fries cases dealing with legal questions arising
out of shipping. Other special courts are organized on different lines.
The most important of these is the High Court of the Realm, whose
task it is to deliver judgment in first and last instance in cases
brought against ministers for the discharge of their official duties. It
comprises certain ,ex-officio“ officials of the legal profession and
members chosen by district and town councils, fifteen in all. A special
court of appeal is the Ecclesiastical Court which consists of three
members of the supreme court and two ecclesiastical members, and
delivers judgment, in the last instance, in all cases over which it holds
jurisdiction. Juries are never employed in the trial of criminal cases.

Before a civil lawsuit can be brought info a lower court, the general
rule is that it must first be referred to a board of conciliation which
mediates between the parties to the dispute. Sometimes the judge him-
self undertakes the mediation, but in the majority of cases the medi-
ation is performed by the conciliation boards which are appointed for
this purpose, and may also in minor debt cases decide a case by giv-
ing a ruling.

At the supreme court pleadings are oral; at the district courts
(lower courts) the system of written procedure is used. Certain lawyers
are authorized to plead in the supreme court. In the lower courts
anybody may plead.
GENERAL RIGHTS OF CITIZENS
The constitution contains a number of provisions intended to safe-
guard the subjects in the enjoyment of certain rights, and also a few
clauses on their civic duties generally. Thus the constitution prescribes
that there shall be freedom of the press; liberty to hold meetings; li-
        <pb n="48" />
        34

berty to combine; and freedom of religion. For though the Lutheran
Church is the Established Church of Iceland, the constitution express-
ly states, that nobody shall forfeit any part of his civil rights or his
rights as a subject of the State for his religious opinions, and it is
permitted to form societies for divine worship with such organization
as may best suit the conscience of the members, provided nothing is
done contrary to good morals and the general rules of conduct. The
constitution forbids unlawful arrests, deprivation of property, and do-
miciliary visits; it guarantees industrial liberty, provides parish relief
for those who are unable to earn their bread, and maintenance and
education for destitude children. It forbids the enactment of laws con-
ferring exclusive privileges on nobility, title, and rank, and prescribes
that foreigners can be naturalized only by an act of parliament, and
that their right to acquire real estate in the country shall be settled by
law. On the other hand it provides that the defence of the country is
obligatory on every man able to carry arms, according fo a system
which may later be fixed by law. As yet Iceland has no military force
and has declared itself permanently neutral.

IV. ADMINISTRATION
CENTRAL ADMINISTRATION
The king wields the highest administrative power; but his power
is exercised by the ministers who are responsible for the conduct of
affairs. There are three ministries with a minister at the head of each.
The apportionment of business among the three ministries is as follows:

a. The Ministry of Justice and Church Affairs includes: The civil
and criminal administration of justice; the police; the control of pri-
sons; the granting of licences for lawsuits; matters relating to family-
rights; inheritance; personal rights; rights of property; ecclesiastical
affairs; public health; education (except agricultural schools); elections
to Althingi, and the publishing of the official Gazette.

b. The Ministry of Industrial Affairs and Communications. This
ministry has charge of all matters relating to industries, as farming;
fisheries; trades; handicrafts; communications; roads; postal, telegraph,
and telephone services; matters respecting local government; and
public domains.

¢. The Ministrv of Finance. This ministry has under its supervision:
The country’s financial affairs in general: taxes and customs: adminis-
        <pb n="49" />
        315

trative auditing; banks; savings banks; the survey, measurement and
registration of vessels.

By the side of the Ministry of Finance is the Statistical Bureau, a
separate institution under the minister of Finance.

LOCAL GOVERNMENT

As regards the participation of the State in Local Government, the
country is divided into 16 districts (syslur) each of which is administered
by a district magistrate (spslumadur), and 8 towns, administered by
town magistrates (Reykjavik has also a chief of police at the head of
affairs), over whom the ministries exercise direct control. Both district
and town magistrates have a great variety of administrative work to
attend to, but their chief business is the collection of taxes and customs
and police administration. To assist the district magistrates, especially
in police administration, there are the government-paid sheriffs
(hreppstjérar)s one in each civil parish (hreppur), while the town
magistrates are assisted by the police who are paid out of the muni-
cipal funds.

According to the constitution the right of the municipalities to manage
their own local affairs is to be fixed by an act of parliament.

For local administrative purposes Iceland is divided into 24 districts
and towns. The districts are again subdivided into civil parishes, of
which there are at present 203. Parish councils, chosen by the vo-
ters, manage the various affairs of the parishes, chief among which
are poor relief and local roads. The means for covering the parish ex-
penditure are obtained by levying taxes on the voters.

The district affairs are managed by a district council (sgslunefnd)
composed of representatives for all the parishes in the district (one
for each parish). The district magistrate presides over the district
council, which manages all matters concerning the district as a whole,
and supervises the work of the parish councils, from which an appeal
lies to the district councils in various matters. The municipal affairs
of the towns are guided by town councils, chosen by the voters,
In some of the towns these councils are presided over by the town
magistrate, in others by a mayor, elected by the town council-
lors. Both district and town councils are under the supervision of the
central government to which, in case of disagreement, questions may
be submitted for settlement.
        <pb n="50" />
        (1s!

V. LAW

The first laws of the Icelandic commonwealth, the ‘Ulfljét’s Code,
are said to have been adapted from the Norwegian Gulathing’s law,
as the majority of the settlers were of Norwegian origin. The laws
were not reduced to writing till long after Christianity had been esta-
blished in Iceland, but were handed down orally from generation to
generation. Our knowledge of the oldest body of Icelandic republican
laws is, therefore, very fragmentary. But the Althingi of 1117 ap-
pointed a committee for the purpose of writing down the laws, and
the following year the code compiled by this committee and called
‘Haflidaskrd‘ after one of the compilers, was adopted. This code has
not come down to posterity in its original shape, but there are siill
extant comprehensive collections of Icelandic republican civil laws,
mainly contained in two manuscripts dating from the thirteenth century.
A code of church laws for Iceland (still extant in a number of MSS)
was written down during the years 1122—1133, Both these codes are
called by the name of ‘Grégis* (the ‘Grey Goose‘). The laws of the
Grégéas, independent and original as they are in many points, are yet
akin to old Teutonic, and more especially to old Norwegian, laws.
‘Grégds’ contains by far the largest and most comprehensive body of
old Teutonic laws extant, and is therefore very important in the history
of law, not only in Iceland but also among other Teutonic nations.

Soon after the union with Norway, important changes were wrought
in the laws of Iceland. The ‘Jirnsida‘, a complete code for the country,
was, af the king's request, sanctioned here in 1271—1273. This code,
mostly compiled from Norwegian laws, did not long remain in force,
and in 1281 it was replaced by a new code, the ‘Jénshdk’, which had
been prepared with greater care than the J4rnsida and with more
regard to the old laws of the country. The Jénsbék was later altered
in a few minor points, and some additions made to it by the so-called
Amendments of the Law (Réffarbafur) of 1294, 1305, and 1314. In
1275 was adopted a new code of church laws, prepared by Arni Thor-
ldksson, bishop of Skalholt. This code bore a closer affinity to the
general laws of the Catholic Church than had been the case with the
older Icelandic church laws.

The greater part of Jénsbék remained in force till the eighteenth
century, though, of course, some changes necessarily followed from
the judicial practice observed in the country; from royal decrees; and
from legislation by Althingi. But on the whole these changes were
        <pb n="51" />
        37

immaterial. After the Reformation (about 1550) a fundamental change
took place in the church laws of the country. King Christian III's
Church Ordinance of 1537 came into force here, and in 1564 Althingi
imposed very severe penalties for adultery and incest. In 1587 a new
law was issued on matters relating to marriage; and, finally, in 1622
king Christian U's Church Ordinance of 1607 was adopted here, with
the consequence that bishop Arni Thorldksson’s church laws were for
the most part abolished.

In 1683 king Christian V issued his code of laws for Denmark, and
in 1687 another for Norway. Neither of these codes was intended to
apply in Iceland, and in 1688 the King issued an order fo the effect
that a new code of laws should be compiled for Iceland, and so far
as possible adapted from his Norwegian code. This, however, never
came to anything, for, though the king repeated this order many times
during the eighteenth century, no code was ever issued. Yet these
fruitless attempts on the part of the king to have a code of laws com-
piled for Iceland had very serious consequences for Icelandic law, for
in 1732, when the King repeated his order that an Icelandic code
should be prepared, he commanded that king Christian V's Norwegian
code should apply to and have force in Iceland and be followed in
the administration of justice, This authorization of the Norwegian code
in Iceland was probably meant as a provisional arrangement only,
pending the preparation of a code for Iceland. But though this Ice-
landic code was never introduced as law in the island, the legislature
continued to authorize here whole sections both of Norwegian and
Danish laws; thus in 1734 the provisions of the Norwegian code
respecting larceny and manslaughter were introduced as law here; in
1769 the sections treating of inheritance and the settlement of estates;
and finally, in 1786, the sections respecling bills of exchange. Certain
sections of Christian V's Danish code of laws were also introduced,
as e. g., in 1831, the provisions respecting the age of majority, and,
finally, in 1838, the entire Danish criminal law was adopted. In all
these instances it was considered sufficient by the legislator to refer
in the most general terms to the provisions that were to be introduced,
without ever enumerating them. This unfortunate mode of legislation
caused the greatest legal incertitude. Jénsbék gradually lost its autho-
rity, and the legislation as now conducted, the influence of the Danish
supreme court as a court of last resort in Icelandic cases, and the
fact that Icelanders now began to study law at the university of Copen-
        <pb n="52" />
        38

hagen — all this led to Icelandic laws being more and more assimi-
lated with those of Denmark.

Since the re-establishment of Althingi, and more especially since it
was granted legislative power in 1874, its legislative work has been
very great and varied, covering more or less completely almost the
whole field coming within the purview of legislation, and thus to a
great extent remedying the legal uncertainty of the eighteenth century
and the first half of the nineteenth. As regards Icelandic law at present,
a few of the Jénsbék provisions still remain in force, but, for the rest,
the whole system of laws is composed of separate acts, there being
no special code covering the whole field. The judicial system still rests
partly on Christian V's Norwegian code, but the majority of the laws
in force have been made since Althingi was re-established, The acts
are not all equally comprehensive; in some cases all laws relative to
certain matters have been embodied in single acts of Althingi, as e.
g. the law of 1850 dealing with inheritance; the penal code of 1869;
Maritime Law of 1914; the regulations for marriage and the relation
of parents and children, contained in 4 acts of 1921 and 1923; the
Law of Waters of 1923, and the Local Government Act of 1927.

Present Icelandic legislation is greatly influenced by Scandinavian
law, particularly by that of Denmark. Iceland, though taking no active
part in inter-Scandinavian co-operation in the field of legislation, has
in many points legislated on approximately the same lines, and adopted
many laws which have been framed by the Scandinavian nations con-
jointly, as, e. g,, the Bills of Exchange Act in 1882, laws respecting
cheques in 1901; the Sale of Goods Act in 1911 (revised in 1922);
Maritime Law in 1914. The laws (of 1921 and 1923) regarding family
rights are largely based on the work of the inter-Scandinavian com-
mittees in this field.
        <pb n="53" />
        STATE AND MUNICIPAL FINANCE

( THE STATE
It is not yet 60 years since Iceland achieved financial independence.
By Law of January 2nd 1871 the finances of Iceland were separated
from those of Denmark. It was not, however, till three years later,
or by the constitution of 1874, that Althingi was granted control of
the Icelandic finances, and the first budget (for the financial year
1876) framed and passed by that body dates from 1875. Up to that
vear the management of the finances of Iceland had been in the hands
of the Danish government.

When the finances of Iceland were separated from those of Den-
mark, that country agreed to pay to Iceland an annual grant to be
reduced by a fixed yearly amount until it had come down to 60000
krénur, at which figure it should remain. This grant was looked upon
as a repayment of Icelandic moneys which in course of time had been
swept into the royal treasury. In 1918, when Iceland was acknow-
ledged as an independent State, this grant was discontinued, and Ice-
Jand undertook to pay her share of the Civil List. At the same time
2 million krénur were paid out of the Danish treasury once for all
and made into 2 separate Funds of 1 million krénur each, one man-
aged by the University of Reykjavik, the other by the University of
Copenhagen. The object of both Funds is the same: viz. to further
the intellectual intercourse between Denmark and Iceland; to promote
Icelandic research and science: and to support Icelandic students.’
REVENUE AND EXPENDITURE
The following table shows the distribution of revenue and ex-
penditure:
        <pb n="54" />
        Ty

Sources of Revenue:

1876 1895 19065 1915 1924 1928
.000 kr. 1000 kr. 1000 kr. 1000 kr 1000 kr. 1000 kr.

113 176 278 2 302 3101

435 781 1776 5745 7 655

29 69 445 1784 2217

888 905

Taxes . . . ,
Customs . . . . ., . .
Post, telegraphs, telephones
Monopolies . . . . . .
Annual contribution from
Denmark . . . . , 60 60 »
Other sources . . . . 148 270 429 378
Total 311 734 1234 2829 11 148 14 256

Expenditure:
Administration and Althingi
Public health . . . . .
Post, telegraphs, telephones
Other communications , .
Church and education ., .
Science, literature, and art
Industrial affairs . . , .
Social affairs . . . . .
Pensions and allowances .
Interest on, and repayment

of, National debt . .
Miscellaneous .

“27

67

280
aE
23
49
]N

i
nr
5Y;

02
3
a

1222
662
2 297
858
I 370
243
667
492
147%

1 805
968
1967
1794
1635
205
1475
1087
185

yr
4

“ag
24

164
i7
42
n
ie

21

23 2207 1436

510 342 620

Total 202 543 1110 2704 9503 13 177
Surplus 109 191 124 125 1 645 1079

After Iceland had obtained financial independence, the budget was
for a long number of years cautiously prepared, always leaving a little
surplus, which gradually accumulated into a handsome Reserve Fund;
and as the government never engaged in any public undertakings of
an expensive nature, State loans were unknown in Iceland up to 1908.
But during the latler part of this period the State has engaged in
various important undertakings, and revenue and expenditure have conse-
quently increased by leaps and bounds. In 1928 the revenue mounted
up to some 14 million krénur, whereas in 1876 it did not much ex-
ceed 300 thousand, almost one-third of which was contributed by the
Danish treasury. — The price-level has, indeed, risen considerably
during this period, and more especially during the Great War and the
years next following, though not nearly to the same extent as both
revenue and expenditure, which from 1876 to 1928 have increased
46-fold and almost 65-fold respectively, while the price-level has in-
creased but three- or four-fold at most,
        <pb n="55" />
        11

The percentage distribution of revenue and expenditure in 1876 and
(928 was as follows:

1876

pct.

Taxes . . . 17.1

Customs . . . . . . . . . . 305

Post, telegraphs and telephones. . 3.8

Monopolies . . . . + . + . »
Annual contribution from Denmark 30.4 »
Other revenues. . . . . . . . 18.2 2.7
Total 100.0 100.0

Revenue :

1876

pct.
Administration and Althingi 331
Public health . . . . « . . . 122
Post, telegraphs and telephones. . 7.3
Other communications . . . . . "
Church and education . . . . . 29.9
Science, literature, and art. . . /
industrial affairs . . . . . 3 26
Social affairs . « . . . . .
Pensions and allowances . . . . 10.2
Interest on, and repayment of, Na-

tional debt. . . . . .
Other expenditure. . . . . .
Total 100.

1928
pet.
13.7

7.3
14.9
13.6
12.4

1.6
11.2

8.3

1.4

10.9
4.9
100.0

In 1876 salaries to officials accounted for the greater part of the
expenditure, while in 1928 this item is comparatively much lower. Of
he total expenditure Industrial affairs and communications represent
about two-fifths, while administration, church and education are re-
sponsible for rather more than one-fourth. To meet the steadily in-
creasing expenditure, taxes, and especially customs duties, have been
considerably raised.

As regards the various items of revenue and expenditure in 1928
the following remarks should be added:

The taxes yielded 3.1 million krénur, or a little more than one-fifth
of the revenue. This group includes the direct taxes, as the income
and property tax; taxes on real estate; tonnage dues; ‘transfer-of-pro-
perty* taxes, as e. g. legacy and stamp duties, and various other taxes
of special nature, which may more or less be looked upon as pay-
ments for certain privileges, as for example, light dues; perquisites,
        <pb n="56" />
        &amp;

letters of licence; school fees; the motor vehicle tax; and the excise
duties on those articles of home manufacture, that, if imported from
abroad, are subject to costums duties.

Among the taxes, those on income and property are by far the
most important and yielded in 1928 1107 thousand krénur. Of
this amount almost one-sixth was represented by the property tax,
and rather more than five-sixths by the income tax. The income tax is
divided into: 1) a tax on personal income, and 2) a tax upon the pro-
fits of companies. The income tax is graduated: The tax on the first
500 krénur of assessable income is 0.6 per cent; on the next 500
krénur, 0.8 per cent; on the next 1000 krénur 1.5 per cent.; and thus the
taxpercentage gradually ascends for the following portions, so that 26
per cent. are payable on a portion which exceeds one hundred thousand
krénur. In the case of taxable incomes abatements and allowances are
made for the ratepayer himself, his wife, children, and dependent
relatives, 500 krénur for each. — The companies tax is assessable
upon that part of the profits which exceeds four per cent. of the share
capital. The rate of taxation gradually rises according to the size of
the profits in proportion to the share capital, from five per cent. (on
assessable profits amounting to less than two per cent. of the share
capital) up to 30 per cent. on that portion of the profits which exceeds
50 per cent. of the share capital. From that part of the profits which
the company may pass to a reserve fund, the law allows a deduction
free of tax of one-third of such an amount, which must be deducted
before the tax is assessed. As shareholders, too, are taxed on their
dividends, this tax is in reality a double tax.

The property tax is also graduated. The first 5000 krénur are ex-
empt from tax. On the next 10000 krénur one per thousand is pay-
able; on the next 5000 krénur 1.2 per thousand, and so on up to 7
per thousand on that part of the property which exceeds 1000000
krénur in value.

By law of 1928 the income and property tax was raised by 25%
on all incomes of over 4000 krénur. This measure is to remain in
force to the close of 1930.

The tax upon real estate is payable on the assessed property value
on the basis of decennial assessments. This tax, which is equivalent
to 3 per thousand of the ground value, and 1.5 per thousand of the
building value, amounted in 1928 to 260 thousand krénur.

Tonnage dues of 1.50 krénur per each registered ton are imposed on
        <pb n="57" />
        13

all ships of over 5 tons’ burden registered in Iceland. In 1928 this tax
brought in 44 thousand krénur.

The legacy duty is graduated and rises with the size of the legacy
and the distance of kinship. Legacies to next of kin (widow, widower,
children, and adoptive children), and also with certain restrictions,
those left by will, are taxed at the rate of 1.25 per cent. for the first
1000 krénur, increasing by O.2s per cent. for every thousand krénur
up to 10 per cent. for that part of a legacy which exceeds 36 000
krénur. For legacies to grandparents and their children and to other
more distant relatives, a tax of one per cent. is payable on the first
1000 krénur, rising by one per cent. for every additional thousand up
to 50 per cent. on that part of a legacy which exceeds 40000 krénur.
[n 1928 this duty aggregated 38 thousand krénur.

Various kinds of documents are liable to stamp duty, which is levied
at the rate of one to ten per thousand. In 1928 this ilem of revenue
amounted to 419 thousand krénur.

Light dues are levied at the rate of 25 aurar per ton, on all ships
on arriving in Iceland from abroad. Fishing vessels stationed in Ice-
land and ships employed solely in the coastal trade pay this tax only
once a year. In 1928 the light dues yielded 449 thousand krénur.

Thé motor vehicle tax which is imposed for the extra wear and tear
of roads caused by these vehicles, amounted in 1928 to 58 thousand
krénur, and is applied exclusively to the maintenance of the roads.

Perquisites include especially various judicial fees, and yielded in
1928 574 thousand krénur. Fees paid for letters of licence brought in
15 thousand krénur, and school fees to the State schools, 29 thousand
krénur.

Sweets, fruit-juice, beer, and lemonade, when produced within the
country itself, are subject to an excise duty equal to one-third of the
customs duties payable on these commodities, if imported from abroad.
And similarly, cigars, cigarettes, and coffee-substitutes of home manu-
facture are taxable at the rate of 50 per cent. of the import duties to
which these articles are liable, in case they are brought from for-
eign countries. In 1928 the tax on this description of goods returned
106 thousand krénur.

Under customs are included taxes on exports, which in 1928 a-
mounted to 1338 thousand krénur, and are in reality taxes on pro-
duction.

In 1876 no customs were levied on any kind of imports whatever,
        <pb n="58" />
        4

except spirits and tobacco. But in 1889 a tax was imposed on coffee
and sugar; in 1901 on tea, chocolate, cocoa and sweets; and finally,
in 1912, a general tax was levied on almost all imports (the goods tax).
Since then these duties have been constantly raised as a means of
increasing the revenue of the country, and in 1924 an ad valorem duty
(a kind of super-tax) was placed on certain goods on which a goods
tax is payable. (For the Tariff Rate, see article on Trade under Duties).
In 1928 the goods tax yielded 1651 thousand krénur; the ad valorem
duty, 1667 thousand krénur; the customs duties on coffee and sugar,
1219 thousand krénur; duties on spirits and wines, 441 thousand krén-
ur; duties on all kinds of tobacco, 1084 thousand krénur; and those
on tea, chocolate and sweets, 255 thousand krénur.

The postal service has generally shown a considerable deficit, which
is but natural, considering the size of the country, the small number
of the population, and the difficulty of communication consequent on
these two facts. Yet, in 1928 it showed a surplus of 83 thousand krén-
ar (receipts 561 thousand, as against an expenditure of 478 thousand).

Telegraphic communication between Iceland and foreign countries was
established in 1906. At that time there were no telegraphs or tele-
phones in the country, except the Reykjavik local exchange and a 10
kilometre line, which had been constructed some time before. Since
then telegraph and telephone lines have developed rapidly and are
still doing so, and the service has, as a rule, shown a considerable
yearly surplus, which in 1928 amounted to 167 thousand krénur (re-
ceipts 1656 thousand, expenditure 1489 thousand).

Of other kinds of revenue in 1928 those derived from the State
Monopoly on wines and spirits are the most important, yielding 905
thousand krénur. Revenue from the national estates returned 51 thou-
sand krénur, while interest on loans and deposits amotinted to 33
thousand.

For the various items of expenditure, see table on page 40, to which
the following remarks (for the year 1928) may be added:

Under the first heading are included: the Civil List, with 60 thou-
sand krénur; Althingi, with 227 thousand krénur; the central govern-
ment, with 295 thousand krénur; foreign affairs, with 83 thousand
krénur; the department of justice and police, 919 thousand krénur;
various other administrative expenses, with 221 thousand krénur.

The expenditure on public health is almost one million krénur,
whereof the building of hospitals accounts for more than two-fifths.

The expenditure on communications absorbs 3.8 million krénur, or
        <pb n="59" />
        45

pretty nearly three-tenths of the total revenue, the maintenance and
construction of roads costing 1.2 million krénur; communications by
water, 356 thousand krénur; light-houses etc, 247 thousand krénur;
while post, telegraph and telephone services are responsible for the rest.

The expenditure on Church and education ‘is nearly 123 million
krénur, of which the Church absorbs 304 thousand krénur; elementary
education, 397 thousand krénur: and secondary and higher education,
934 thousand krénur.

Science, literature, and art account for 205 thousand krénur. Among
the items falling under this head, are the museums, with 80 thousand
krénur, while the rest goes to scholars, poets and artists, and towards
the publication of learned works.

The expenditure on various industrial affairs amounts to 1475 thou-
sand krénur. Under this head is included rural husbandry, with 703
thousand krénur; the fisheries, with 116 thousand krénur; commerce
and the search for new markets, with 82 thousand krénur; handicrafts
and industries, with 12 thousand krénur; and the Meteorological In-
stitute, with 56 thousand krénur.

Expenditure on social welfare amounts to 1087 thousand krénur,
most of which, or 912 thousand krénur, goes towards paying for the
care of indigent or less well-to-do tuberculous sufferers. The law under
which free nursing is granted to these patients dates from 1921. Of
other items falling under this head may be mentioned 59 thousand
krénur, granted in the form of sickness benefit to poor persons suffer-
ing from other diseases than tuberculosis, and a contribution of 48
thousand krénur to the Old Age Pension Fund. :

Payment of interest on, and reduction of, the National indebtedness
accounts for 1.4 million krénur, or rather more than 10 per cent of the
total expenditure; the former amounting to 696 thousand, the latter
to 740 thousand.
STATE ASSETS AND LIABILITIES

The balance sheet as at December 31st 1928 shows that the assets
of the State amounted to 36.3 million krénur, including cash in hand
4.5 millions; securities and claims 6.5 millions; funds for special pur-
poses 8.7 millions; domains 2.3 millions; sites and buildings 5.8 mil-
lions; lighthouses 1.¢« millions; telegraphs and telephones 4.2 millions;
and other State undertakings 2.9 million krénur.

Under the heading of liabilities, the internal State debt is shown
at 7.0 million krdonur, and the foreign debt at 6.6 millions, the whole
        <pb n="60" />
        145

National debt thus amounting to 13.6 millions. The net wealth of the
State on the 31st of December 1928 was thus 22.s million krénur.

Up to 1908 State loans were practically unknown in Iceland, though
at New Year when accounts were made up between the Icelandic and
Danish treasuries, there was sometimes a small balance in the latter's
favour. But in 1908 a loan of half a million krénur was negotiated
for the construction of telegraph lines; and in 1909 another loan of
1/2 million krénur was taken up for the purpose of buying bank-
bonds. Since then other loans have been raised for the same pur-
poses and for making roads and harbours, or defraying the expenses
of other undertakings. After the Great War broke out, loans had fo
be raised to buy ships, and for other measures made necessary by
the war to ensure the importation of supplies to the country from
abroad. At first these loans were placed exclusively in Denmark, but
since 1916 some of the loans have been subscribed in Iceland, and in
1921 a loan of £ 500000 was raised in England, about three-fourths
of which were again lent to the banks on the same terms as it had
been negotiated, so that the State, though responsible for the whole
amount, has used only one-fourth of it; consequently the other three-
fourths are not included in the National Accounts.

The following table will show the size of the National debt up to
and including 1928:

December 3°s¢ “10
C 1s

t+

-
1926
1927
O28

Total National Debt National Debt
1000 krénur ver head of population

30 krénur
40 —
212 —
160
185
118
113
109
120

Though these figures show an enormous increase in the National
debt during the Great War; vet, proportionately to the number of
population, our burden is not so heavy as that of the other European
nations. Besides, the National debt, as shown above, was considerably
reduced in 1924, and still more so in 1925, that year being so excep
tionally favourable that the State receipts exceeded the estimated ex-
penditure by 5%: million krénur, 4 millions of which were employed
to pay off all short term loans, over and above the usual reduction.
        <pb n="61" />
        317

In 1926 and 1927 the government took up loans in Denmark to the
amount of 612 million krénur, a sum which was devoted to the pur-
chase of bank-bonds to increase the means at the disposal of the
Hypothec-Mortgage Department of the Landsbanki. But as the interest
on and amortisation of these loans are provided for by the interest
on and amortisation of the bonds, these loans, though the State is an-
swerable for them, are not included in the National debt accounts.

In 1928 the National indebtedness again increased by 2.3 million
krénur owing to the treasury’s obligation to furnish the Landsbanki
with a capital of 3 million krénur. On December 31st 1928 the
National debt amounted to 13.6 millions, or to about 130 krénur per
head of the pooulation.

II. URBAN AND RURAL DISTRICTS
INCOME AND EXPENDITURE
For the division of the country for local administrative purposes, see
article on adminstration, pag. 35. The municipal funds in the urban
districts correspond in rural districts to parish and district funds.
In 1926 the current receipts were as follows:
Municipal Funds Parish Funds Total
1000 krénur 1000 krénur 1000 krénur
Town and Parish Rates (a kind of income tax) . 2531 1640
Other rates . . . . . « +. . . . . . 449 80
Revenue from municipal undertakings and
property . . . . . .
Other receipts . . . . . Te
Total current income 3403

8

From the above summary it will be seen, that the total current re-
ceipts of the urban and rural districts amounted to 5.2 million krénur,
of which 4.2 millions, or 80 per cent., are derived from the town and
parish rates, a direct tax levied on the rate-payers according to their
financial position generally. The annual amount of the parish rates fo-
gether with the income from other sources must be sufficiently large
to cover the estimated expenditure of the parish. In 1885 the total
amount of town and parish rates in Iceland was but 185 thousand
krénur; in 1895 they had increased to 209 thousand; in 1905, to 319
thousand; in 1915, to 694 thousand; in 1920, to 3292 thousand;
while in 1926 they had risen to 4171 thousand krénur. In the urban
districts there are. besides the town rates. also other rates of the
        <pb n="62" />
        13

nature of taxes on real property, while in the rural districts there is
the Parish Roads Tax, levied at so much per every able-bodied male
in each parish. There is also a tax on dogs both in towns and country
districts, but this tax is of minor importance, especially in the towns.

The few local profit-yielding undertakings are all of a late date, and
mostly of the nature of Water Works and Electrical Plants, besides
the Gas Works and the public baths in Reykjavik.

Almost one-fourth of the receipts of the parish funds (for the year
1926), or 428 thousand krénur, is paid into the district funds
(spslusjédir), which, as there are no taxes payable to them directly,
have no regular revenues worth mentioning, except this contribution.

In 1926 the chief items of expenditure were as follows:
Municipal Funds Parish Funds District Funds
1000 krénur 1000 krénur 1000 kronur

Administration .

Poor relief . . .
Sanitation . . . .
Education and Schools
Roads » . . . . .
Other communications
Rural husbandry . .
Fire service . . . . .
Police . . . , . . .
Interest on debt . . .
Other expenditure |

205
387
346
120
137

65
513
64
192
106
10
any

209

*:
210
8
67
2
D
39
132
102
nn

35
“2
1138

9

Total expenditure 2 864

371

Total
1000 krénur
299
1100
620
630
510
52
57
103
132
476
2
4373

The current expenditure of municipalites, parishes, and districts thus
amounts to nearly 4.4 million krénur. By far the biggest item in their
accounts is the cost of poor relief, which absorbs 1.1 million krénur,
or about one-fourth of the total disbursements. This burden is pro-
portionally heavier in the rural than in the urban districts: namely
one-third in the former, in the latter one-fifth of the current annual
expenditure. Then come education and roads with rather more than
600 thousand krénur each, or one-seventh of the total outlay. Almost
the whole expenditure on education is accounted for by the elementary
schools, while the amount spent on sanitation includes the portion, 235
thousand krénur, payable by towns and districts towards defraying the
cost of the campaign against tubercular diseases. Other items included
under “Sanitation are grants made to hospitals and, to some extent
to midwives also, and, in urban districts, such sums as are spent on
scavenging and the cleaning of streets.
        <pb n="63" />
        19

Besides the expenses of road-making, parishes and districts have to
meet considerable other charges in connexion with telegraphs, harbours
ete. In the municipal accounts harbours are, however, not included,
because most of them (in towns) have separate budgets, and their own
sources of income (harbour dues and goods tax) to cover the expenses
incurred. Other items of expenditure, chargeable exclusively to the
parishes, are grants for the inspection of fodder stores, for the exter-
mination of foxes, for cattle shows etc. Special expenses for the towns
are the fire service and the police.

Administrative expenses absorb 7 per cent. in the towns and 6 per
cent. in the parishes, or on an average somewhat less than 7 ver cent.
of the total current receipts.

The interest payable on the local debt is in reality greater than
shown in the above summary, for in many cases the interest on, and
‘he reduction of, loans. raised for special purposes, as the building of
schools and the construction of roads, are included in the expenses of
these undertakings.

Besides the current receipts the municipal and parish funds had, in
1926, an extraordinary income of 1. million krénur, derived from
loans and sale of properties. Of this sum 0.7 million krénur were de-
voted to the payment of debts, 0s million krénur representing in-
creased property and cash in hand.

ASSETS AND LIABILITIES

In 1926 the balance sheets of the municipalities and parishes showed
assets (including those of various harbours) to an amount of 241
million krénur, as follows: cash in hand and money: at interest O.s
million krénur; securities 0.3 million krénur; funds for special pur-
poses 0.5 millions; real estate 19.7 millions; .loans advanced and un-
paid dues and taxes 2.1 million krénur; various other assets 0. mil-
lions. As against this the liabilities were 10.2 million krénur, so that
the net wealth of municipalities and parishes amounted to 143 millions.
The local debt of Iceland has increased greatly during the last two
decades or so. In 1895 the liabilities were but 45 thousand krénur;
about 1900 they were still minimal, whereas by 1910 they had risen to
Lo million krénur.

The local debt in 1926 was distributed as follows:
        <pb n="64" />
        31 J

[owns . . 38454 thousand krénur
Parishes + . 1384 — —
Districts (spslur) . . ~~ 422

Total amount of local deb! 10160 thousand krénur

The indebtedness of the towns is thus shown to amount to 223
krénur per every townsman; the parish and district debt, to 28 krénur
per every parishioner, and the whole local debt of Iceland outstand-
ing in 1926, to 100 krénur per head of the country’s population.
        <pb n="65" />
        RURAL HUSBANDRY

RURAL POPULATION

Since the colonization farming has been the chief occupation of
he Icelanders. In former times it constituted, so to say, their only
means af livelihood, besides the fisheries, which at that time were of
secondary importance. But of late, fishing, commerce and various in-
dustries have developed so strongly that the number of those who
live by farming is not only relatively, but absolutely, lower than it was
a generation ago. In 1920 the rural population numbered a little more
than 40000, or about 40 per cent. of the nation (cfr. Population, p. 17).

According to the census returns of 1920 the number of farmers in
Iceland was 6364, besides 300 who carried on farming as-a subsidiary
source of income. To this number must be added another 300 lodgers’,
i. e. subtenants, who, as a general rule, do not themselves rent farms,
but reside with the farmers and hire a plot of the respective farms.
The number of farms. therefore, probably does not exceed 6700.
AREA OF INHABITED LAND }

Iceland has an area of 10285000 hectares, four-fifths of which
are quite uninhabited, namely the highlands in the interior and the
mountain ranges branching out from them, which are for the most
part useless, being either glaciers, driftsands, mountain wastes or lava-
fields with little or no vegetation. But though unfertile on the whole
these highlands are not all equally barren, and a considerable part
of them is used as mountain pasture for sheep and stud-horses which
in spring are driven to the highlands and there left to their own de-
vices during the summer months.

The total area of inhabited land probably amounts to about 2300000
hectares at most. Of this only 30000 hectares are cultivated (i. e.
manured homefields, vagetable gardens, and irrigated meadows). Of the
        <pb n="66" />
        32

rest some 90000 hectares are natural meadows, mown either annually
or every second year; about 60000 hectares are forest land, mostly
brushwood, which has until quite recently been extensively used as
winter pasture for sheep; and a liftle over 2000000 hectares are
grazing grounds, a considerable part of which is unfit for cultivation
of anv kind whatever.

ESTATES

Icelandic farms stand apart and isolated, each within the borders of
the land belonging to it. They are never found in clusters or villages,
but not infrequently two or three, or (rarely) even more farm-houses
are built together and the estate parcelled out among them.

Though very unequal in size, most of the farms are of a large ex-
tent, probably averaging not less than 300—400 hectares. But while the
majority of the larger farms consist in great part of uncultivated tracts
with scanty vegetation, or even no vegetation at all, the average
cultivated area is about 4 or 5 ha., and that of meadow-land some
[3 or 14 ha,

As the uncultivated tracts are very extensive in comparison with
the cultivated plots, the value of a farm does not depend on its size,
but on the quality of the soil. All farms are periodically valued, and
on the basis of these valuations a comparison can be made between
the different farms, though their exact size is not known. While the
total area of manured homefields amounts to 23000 ha., and that of
vegetable gardens to some 500 ha., meadow-lands, forests. and rough
grazings have never been exactly surveyed.

In Iceland a general survey of land values was made in the years
1916 —1918, and the next valuation will take place during the present
year, and thenceforward every ten vears. The last valuation showed the
following ficures:

All land (excl. building plots in towns and coastal villages) was valued at kr. 22 251 000
Buildings on the farms . . “ss ew 4 + were — - — 11999000
[mprovements on the farms, made during the past ten vears - —- - - 2079000

Total kr. 36 329000

The average price of a farm is thus seen to be a little over kr. 5000.
Four-fifths of all the farms in Iceland are privately owned, the rest
being public property. And as the farms in private hands are on the
whole somewhat larger than those publicly owned, they represent
about five-sixths ‘of the total value of the farmed lands. Formerly =
        <pb n="67" />
        53

much larger share of the land was public property; indeed, about the
middle of the eighteenth century it is considered that one-half of the
country was either national estates, church lands or farms owned by
the bishops’ sees. But towards the end of the eighteenth century and dur-
ing the first decades of the nineteenth all farms belonging to the sees
and a great number of national estates were sold, so that about the
middle of last century only one-third of the land was publicly owned.
Later still, more national estates were disposed of, though not very
many, for all such sales required the sanction of the legislature, until
1905 when the government was authorized, subject to certain restrictions
and conditions, to sell all national estates, and in 1907 it was further
authorized to dispose of the church lands. Since then both national
estates and church lands have been sold to such an extent, that at the
survey of 1916-1918 only 17 per cent. of the land was public property
(10 per cent. church lands, 6 per cent. national estates, and 1 per
cent. owned by various public funds and municipalities).

About one-half (48 per cent) of the farmers are free-holders, the
rest (52 per cent.) tenant farmers. Of the latter about three-fifths are
lenants of private persons, two-fifths renting publicly owned farms (i.e.
national estates and church lands). Of late years, the number of free-
holders has increased considerably, while that of tenants has decreased
in the same proportion. About the middle of last century only 17 per
cent. were free-holders: in 1910 their number had risen to 37 per cent.
CROPS
All farming in Iceland is based on the cultivation of grass. The hay
from the homefield is almost exclusively used for cattle (cows’) fodder,
while horses and sheep zre fed with the hay from the meadows
(different species of sedge and cyperacez). The ,fada‘ (hay of the home-
field) forms about one-third of the whole crop of hay. The yield of
hay is usually counted in horse-loads, which, though varying consider-
ably in weight in different districts, mav as a rule be put at from 80
to 100 kg. each.
Since the beginning of the present century, the annual yield of hay
has been as follows (in 1000 horse-loads):
Hay from
Year homefields meadows Total yield
1901—1905 average 1862
1906—1910 1947
1911—1915 2090
1916—1920 2069
{921-1925 2078
19261928 2177
        <pb n="68" />
        34

In some of the towns (coastal villages) where the soil is sandy,
considerable quantities of pofafoes are grown, and in southern Iceland,
aspecially, almost every farm has a little garden where potatoes and
swedes are raised. Vet the potato and swedes areas do not exceed 500
hectares in all. In 1923 —1927 the average annual potato crop amounted
lo 3200 tons, that of Swedish turnips to 1100 tons. Potatoes and
swedes are grown for human food only, though in far from sufficient
quantities to meet the country’s requirements, and a great deal of pota-
toes is therefore imported every year. In 1923—1927 the average im-
port of potatoes was 2100 tons, or some 40 per cent. of the quantity
consumed.

Here and there throughout the country there are extensive peat bogs,
yielding a pretty good quality of peat which is much used for fuel,
especially in the rural districts; and during the present century, up fo
the Great War, as much as 250000 horse-loads were dug every year.
But after the War broke out the output of peat increased enormously,
owing to the excessively high prices of coal and the risk with which
its importation was attended. In 1918 the quantity of peat dug reached
its maximum (577 000 horse-loads), but thenceforward it has been gradu-
ally decreasing, and had in 1928 come down to 285000 horse-loads.

The forests are used not only as sheep-runs, but are also cut for fuel.
During the first decade of the present century it is considered that
about 9000 horse-loads of fire-wood were cut, on the average, every
year. This in 1911—1915 increased to 13000 horse-loads per annum,
in 1916—1920, to 22000, and in 1923—1927, to 24 000.

LIVE STOCK
According to statistics the live stock in 1928 was as follows:
Sheep .
Cattle .
Horses . .
Goats
Poultrv .

527 140
30023
52 245

2843
16018
In proportion to the number of inhabitants Iceland has a larger
stock of sheep than any other European country, or five to six sheep
to each person, whereas in the countries (Norway and Esthonia), com-
ing next after Iceland in this respect, the number of sheep amounts to
no more than about 60 per cent. of the number of population. The
kind of sheep reared in Iceland is of Norwegian origin, and belongs
to the species most common in northern Europe (Ovis Brachvura
        <pb n="69" />
        35

Borealis Pall). But through long isolation the stock has acquired cer-
ain characteristics, and the natural conditions of the country have put
their stamp on it. The Icelandic sheep are comparatively small of size and
covered with rather coarse wool; they are a hardy and very ‘frugal-
feeding’ breed, for they have frequently been but poorly looked after
and have often had to graze in the open most part of the winter.

The rearing of sheep has always played an important part in Ice-
landic husbandry, but in hard times the flock has often been consider-
ably depleted. Owing to crop failure consequent on the volcanic erup-
tions in 1783 the number of sheep fell to 50000, but about 1800 it
had again reached 300000. Of late there has, on the whole, been a
steady increase in the number af sheep. In 1913 the flock amounted
to 635000; in 1918, to 640000 head, but there are reasons for be-
lieving that the number has really always been considerably higher
than it appears from the statistics, according to which it has during the
past fifty vears been as follows:

Ewes
vith lambs

Dry
awer

Weathers
“Same

One year
olds

Total

1871 366 080
.880 - 501251
1890 . i94 417 % LIR15 162 875 445 855
1900 . . 99967 38514 14 682 156514 469 477
1910 . . 271656 73 672 60 784 172522 578 634
i920 . . 338253 78270 43096 118 149 578 768
1928 . . 421509 47 621 36 149 121861" 627140

{1R 243

The number of cattle is considerably lower at present than it used to
be in former centuries. About 1830 this stock numbered 28000 head ;
in 1770, 30000; in 1703, 36000, while in earlier ages the number is
believed to have been much larger. But cattle in those days were often
poorly cared for; they were badly fed, and oxen even had to graze
out all the year round. Now the cattle are much better tended, and
therefore cattle-breeding vields a comparatively greater nrofit than
it used to do.
The following table shows the number of cattle during the past
fifty years:
        <pb n="70" />
        14

Bulls and
Cows and oxen more One year
alved heifers than one year old olds
2 £49

Calves
1871

1880

i830 . 5 oeg
1900 . 6741
1910 . . 17843
1920 . . 16936
928 , . 21083

963 1987 2909
140 2450 3238
'188 2911 4 396
729 2520 3312
982 3063 4 895

Total
19 111%
21 006*
20 $47
23569
26338
23497
30 023

The Icelandic breed of cattle is very heterogeneous, both as regards
size, colour, and yield. From the colonization down to the present day
little has been done to improve this stock by means of rational
breeding. The milking capacity of the Icelandic breed is better than its
meat-producing capacity. The average annual milk-production per cow
is estimated at 2400 kilogrammes, while a few may vield as much as
5000 kg per year. So far as examined the fatty contents of the milk
have in most cases amounted to from 31/2 to 4 per cent.

Compared with the number of population, horses are much more
numerous in Iceland than in any other European country, or about
one to every two persons. In the Baltic countries (Lithuania, Latvia,
and Esthonia) and in Russia, which come next after Iceland in this re-
spect, the number of horses does not amount to more than one to
every 4—5 persons. One of the reasons why horses are so numerous
in Iceland is to be found in the fact that they have until quite lately
been the almost only means of communication between ‘the different
parts of the country, and are still largely employed both as saddle
horses, and beasts of burden and draught. In some districts horses
are also reared for export.

The Icelandic horse is small-sized, from 130—144 cm. in height,
and rather shaggy; they do not require much fodder, are wonder-
fully persevering and sure-footed, and very keen-sighted.

The number of horses has been steadily increasing during the past
fifty vears:

*) Calves are not included in these figures.
        <pb n="71" />
        &gt;7

1871
[880
1890
[900
'910 .
1920 .
928

Horses
vears and over
23 060

Lol
Xe

dg
20803
377
35 923

Young horses
one to three
years old
6 629

5479
1 864
1654
14 039
12932

Total
29 689*
38019*
*351 31281
768 41 654
2536 44 815
2968 50 645
3381 52 245

fmale

Goats are few and found almost exclusively in the Thingeyjar distric
Their number is, however, increasing, and was: in 1900, 1910, 1920,
and 1928, 270, 660, 2000, and 2800 head respectively.

Poultry have not been counted fill the last few years. According
lo the statistics of 1928 they numbered 36 000, which is probably
too low.
EXPORT OF LIVE STOCK

The export of horses, begun about the middle of the nineteenth cen-
tury, increased considerably after 1870, chiefly to England, where they
were employed in the coal mines. But since 1900 horses have also
heen sold to Denmark, where they are used by the small holders as
beasts of draught. During the Great War Denmark was the only mar-
ket for Icelandic horses.

The export of horses for fiftv vears has been as follows:
1871—1880, on the average
1881-1890,
1891—1900,
1901-1910,
1911-1920,
1921 —1028.

| 477 head
2241 —
2129
3229

2 609

I 646
The highest figure was reached in 1899, when 5700 head were ex-
ported. During the last stages of the Great War this trade almost
completely ceased. After the conclusion of peace some increase was
again observable, though the pre-war level was never reached; and in
recent years a decline has once more set in,

According to law of 1907 no lean horses, nor horses in an other-
wise poor condition, nor those having any marked blemishes or defects,
may be exported. Horses ranging from 4 to 10 years may be exported,
if in other respects they come up to the standard, and 3 year-olds if

#) Foals ara not included in these figures.
        <pb n="72" />
        38

they are of a large size and fine build. Officially appointed men con-
trol the horse export and see that the provisions of the act are com-
plied with.

The export of live sheep began shortly after 1860, and increased
greatly after 1880. Almost the only market for live sheep from Iceland
was Great Britain. But just before 1900 a reaction set in, when the
importation of live sheep was forbidden in Great Britain, and the
sheep had to be slaughtered in dock. The export of this commodity
lherefore steadily declined till it stopped altogether on the outbreak
of hostilities in 1914. Since the War this trade has not been taken
up again, if we except a few attempts made in 1923 and 1924, which
have not subsequently been repeated.

The following table will show the export of live sheep:

In 1871—1880 average . . . . . 2618 head
1881—1890 — 20497 —
1891-1900 31750 —
1901-—~1910 8281
1911-1913 4319
19141922 20
1993 —1924 5848
The maximum figure was reached in 1896 when some 60000 live
sheep were exported.
FARM PRODUCE

Almost all the beef and a considerable quantity of the mutton pro-
duced, is consumed at home, the rest being exported. The milk pro-
duction is by no means sufficient for the home consumption, and has
to be supplemented by condensed milk from abroad. Milk is either
directly used for human food, or for the making of butter, cheese and
‘skyr® (curds). Skyr is an Icelandic speciality, something like the Bul-
garian Yogurth, and is considered a delicious dish. Butter-making
has been considerable, both at the farms, and, of late, also at the dai-
ries. The butter made at the dairies is mostly sold to the towns or
exported to England, while that produced at the farms is consumed at
home, and so far as it does not suffice it is supplemented by marga-
rine, partly imported from abroad, partly made in the margarine fac-
tories which of late have been established in the country. The making
of cheese has so far been of minor importance.

Of the farm produce, salted mutton, wool, and green-salted sheep
skins form the leading articles of export. About 2500000 kg. of salted
mutton are exported annually, chiefly to Norway, The export of this
        <pb n="73" />
        59

article has almost doubled since 1900. During the last few years some
attempts have been made to export refrigerated mutton. The annual
wool export amounts fo some 800 000 kg., and constitutes the greater
part of the annual vield. The principal markets for Icelandic wool are
the U.S.A. and Denmark. The number of green-salted sheep skins (with
the wool on) annually exported from the country has now increased to
some 400 000, that is, it has more than quadrupled since the beginning
of the present century.
AGRICULTURAL COOPERATIVE SOCIETIES
AND ENTERPRISES
Shortly after 1880 cooperative purchase and sale societies began to
spring up in Iceland. This movement was initiated by the farming popu-
ation, among whom it has gained its greatest number of adherents:
The majority of these associations have therefore had their attention
directed not only towards purchasing in the foreign market such ar-
ticles as the farmers most require, but also towards the export and
sale of farming produce. It was not, however, till about the end of the
nineteenth century and the beginning of the twentieth that cooperative
societies for sale of produce began to be formed among the farmers.
In 1900 the first cooperative dairy was established. The dairies in-
creased in number so rapidly that by 1905 there were no less than
33 in the country. From 1905 to 1912 there was little change either
way, and that year the total output of butter reached its maximum,
184 000 kg. Then a decline set in, especially during and just after the
Great War, partly owing to the rise in the prices of meat and the
consequent increase in the production of that commodity, and partly
because the exportation of butter was forbidden in 1917 for fear of
scarcity of fat goods, as the importation of these articles was greatly
restricted. In 1919 and 1920 all but six dairies had to stop working, and
have not since, except in a few cases, resumed activities. In these years
(1929 to 1930), however, two large and up-to-date dairies are being
established in the southern lowlands; and as they will be able to treat
large quantities of milk, most of the small dairies will probably have
to be closed. At first (1900—1911) the dairies received a government
premium on every pound of butter exported. But Icelandic butter soon
earned a high reputation on the British market and fetched good prices.
The cooperative slaughter houses are another form of these societies.
The largest of these associations, the Sliturfélag Sudurlands, was
established in 1907, and originally comprised all southern and part of
        <pb n="74" />
        50

south-western Iceland (in all six districts), but has now split up into
a number of independent societies. The majority of the farmers in
these districts are members of the societies, and have their slaughter-
sheep killed at the slaughter-houses, which also handle the sale, at
home and abroad, both of the meat and by-products. In other districts
the slaughter-houses have amalgamated with the purchase and sale
associations, or the societies themselves have taken up slaughtering
and the sale of meat ete.

STEPS TAKEN FOR THE ADVANCEMENT OF FARMING

A little before the middle of the nineteenth century a number of
societies began to be formed in different parts of the country for
the promotion of agriculture and farming in general, with a special
view to levelling, draining and irrigation. These societies were on
a very limited scale, and generally confined fo one parish each. In
course of time their number gradually increased, though not very con-
siderably till after 1887, when they began to receive annual govern-
ment grants. This support was granted them in proportion to the im-
provement work done in the preceding year, and in 1893, 90 such
societies were receiving government grants for the improvement of
estates; in 1916 their number had swelled to 159. During the last
years of the Great War many of them had to suspend activities, owing
to dearth and other difficulties consequent on the War, and in 1920
only 97 societies were receiving support from the public funds for work
done for the improvement of estates. Thenceforward their number has
been growing, and in 1927 there were in all about 200 parish agri-
cultural societies in the country. The work done by these bodies
amounted to 34 000 dayworks in 1893, and, increasing steadily year by
year, it rose to 1568000 in 1912. The next following six years show a
decline, and in 1918 the dayworks done were but 68 000. Then, how-
ever, there was again a gradual rise up to 100000 in 1921—1923,
But the Improvement of Estates Act has given such an impetus to
the work that for 1927 no less than 500000 dayworks are recorded.
The societies have laid particular stress on improving the cultivation
of the homefields and meadows: the former by levelling and fencing;
the latter by making irrigation canals, ditches and dams.

An act of Althingi passed in 1903 provided for an annual govern-
ment grant of one hundred thousand krénur for several years for the
acquisition of barbed wire fences; the purchase of material and its
distribution was under the supervision of the government. This measure
        <pb n="75" />
        61

has proved a powerful stimulus to the work of fencing-in the homefields
(tin) which are thus protected against the trespassing of the stock.
Some farmers went even so far as to fence in their meadow-lands,
grazings, and commons.

Under the Improvement of Estates Act of 1923 the government
grants for the improvement of estates were considerably raised. Up to
that year fixed annual amounts had been allowed to the parish agricul-
tural societies for all improvement work done. These grants which in
1887 totalled 6000 krénur, gradually rose and in 1920 and 1921 they
amounted in all to 30000 krénur.

Under the revised and supplemented Improvement of Estates Act,
as passed by Althingi in 1928, the government pays to the agricultural
societies a bounty of 10 aurar per every daywork. This amount is made
into a fund, the so-called Purchase of Implements Fund (Verkfzra-
kaupasiédur), formed for the purpose of helping farmers to procure
the larger kinds of agricultural implements. The fund also enjoys an
annual treasury grant of 20 thousand krénur. A special grant of a
much larger amount is made by the government towards defraying
the expenses of building sheds for animal manure (1.50 krénur per
daywork); of improving homefields and making vegetable gardens
(one kréna per daywork): and of making silos (0.50 krénur per
daywork).

All this is paid direct to the farmer entitled to support, except 5%
which goes to the fund of the agricultural society of which he is a
member. In 1928 the sums expended for work done under these heads
in 1927 aggregated 374 thousand krénur, and were distributed as fol-
lows: manure sheds, 98 thousand krénur: homefields and vegetable
gardens, 272 thousand; and silos, four thousand krénur. The act of
1923 further provides for the expenses of testing and operating farm
machines (as e. g. the larger kinds of ploughs, ditching machines and
other implements requiring skilled knowledge) being defrayed by the
State. The machines may be let out to individual farmers who in that
case can obtain a loan from the State, not exceeding one-half of the
hire to he paid by them; and finally, tenants of national estates may
pay their rents in improvement work on their farms, a daywork in
that case being considered equivalent to 3 krénur.

In order to reduce the price and develop the use of arfificial ferti-
lizers, a law, passed in 1928, placed in the hands of the government
the exclusive right of buving and selling these manures, which are now
        <pb n="76" />
        52

supplied to the farmers at 29% above cost price. Under the same act
treightage and {ransport may, during 1929 to 1931, be paid out of
the treasury.

Before the Improvement of Estates Act came into force, The Skeid
and Fl6i irrigation works, affecting some 18000 hectares of land,
were commenced, respectively in 1917 and 1922, the water being sup-
plied from the rivers Thjérsi and Hvitd. The first of these under-
takings reached its completion in 1922 and cost 430 000 krénur; the
expenses of the latter, which is still in course of construction, are
estimated at 1000000 krénur. One-fourth of the total outlay is de-
frayed by the State.

The management and supervision of all matters relative to the pro-
motion of agriculture in general, in so far as it is dependent on pe-
cuniary support from the State, are entrusted to The Agricultural
Society of Iceland (Binadarfélag Islands), under the control of the
Minister of Industrial Affairs. This Society was formed in 1899; in
1929 it had a membership of 2600, besides 94 local agricultural asso-
cations. The object of the society is the promotion of agriculture and
allied industries, by research and experimental work, money grants,
guidance etc. The society also deals with all matters connected with
the reclamation of sandy wastes. The greater part of the means at its
disposal consists of annual State grants which, though at first no more
‘han 7000 krénur, had in 1910 risen to 54 000 krénur, and are in the
sudget for 1930 fixed at 240 000 krénur.

The highest authority in all affairs of the society is vested in the
Agricultural Council (Binadarthing) meeting annually in Reykjavik,
and consisting of twelve representatives, seven of whom are elected
by the Unions of Agricultural Associations (Biinadarsambénd), and four
by the Agricultural Society of Iceland, at its general meeting. The twelfth
seat is alternately filled by the directors of the agricultural schools.
The board of directors of the society is composed of three members,
one of whom is chosen by the agricultural council, and two by the
Ministry of Industrial Affairs. The board appoints the managing direc-
tor of the society, who is called Director of Agricultural Affairs (Biin-
adlarmalastiori). At present his duties are shared between two function.
aries. The society publishes an agricultural periodical and grants finan-
cial support to a variety of undertakings relative to farming. The fol-
lowing seven advisers are employed in the service of the Agricultural
Society of Iceland. namelv: two advisers in live-stock rearing: two for
        <pb n="77" />
        A3

experimental work in the cultivation of forage plants and grass-seeds;
one skilled in irrigation and drainage work; one horticulturist; and
one adviser in matters concerning farm machines and agricultural im-
plements.

Besides the agricultural societies, which have mainly directed their
attention towards matters relating to the cultivation of the soil, there
have in the present century been formed a number of associations for
the purpose of promoting rational breeding and rearing of stock. A
few experts are employed in the service of these associations to advise
and guide the members, and to ascertain which stock can be reared
with greatest profit: and something has already been achieved in
this field.
Some progress has also been made in the handling of farm produce
and in obtaining beiter markets. Mention has already been made of
the premium granted on exported butter during the years 1900—1911.
A law of 1915 established compulsory sorting of wool for export,
and an act passed in 1919 provides for the sorting of salted meat for
sale abroad.

Since the beginning of the present century steps have been taken to
promote the planting of forests. At the head of these operations there
is a Director of Forestry with a few qualified foresters to assist him
in the chief forest areas. The object of these activities is the protection
and developmen} of already existing forests, the planting of new areas,
and the giving of advice in the planting and treatment of forests.

There are four well-trained government-paid veferinary surgeons in
the country, one for each quarter of the land.

Iceland possesses two agricultural schools, supported entirely by
the State. They are situated in the country, one in the north, the
other in the south. The duration of courses is 2 years, and the in-
siruction theoretical in winter, practical in summer. Besides, the Agri-
-ultural Society of Iceland holds short courses for farmers in winter.
alternately in the various quarters of the country.

The amount expended by the treasury on agricultural matters has
increased greatly during the past 50 vears., as the following figures
will make clear:

Total expenditure
2 400 kr.
10 000 —
18 500 —
12 300 —

{876 .
i880 .
1890 . .
an0  .
        <pb n="78" />
        The estimated expenditure for 1930 is accounted for in the following
way: improvements of estates, 375000 kr. or more than one-third:
The Agricultural Society, 240 000 kr; The Building and Colonization
fund, 200000 kr.; reclamation of sandy wastes, 50 000 kr.: agricultural
schools, 44000 kr.; silviculture, 33000 kr.; artificial manures (i. e.
freightage and transport), 30 000 kr.; veterinary service, 18 000 kr.
        <pb n="79" />
        THE FISHERIES

From early limes the fisheries have been of the greatest importance
to the Icelanders. During the colonization of the country fish in firths
and lakes constituted the main assets of the land, and there is little
doubt that at first many of the settlers lived largely on fish, birds’
eggs and other natural produce. In the fourteenth century fish became
the staple article of export, and the fishing steadily developed till the
end of the fifteenth century. For the next hundred years fish still re-
tained its place as the chief commodity, but then a decline set in, and
it is not till the nineteenth century, and more especially during the last
fifty years or so, that any real development in this important industry
is visible. As, however, official fishery statistics were not issued till
1897, this article will be devoted mainly to the growth of the fishing
industry since the beginning of the present century.

THE EISHING FLEET

Up to about sixty years ago the Icelandic fishing fleet consisted al-
most exclusively of rowing-boats, and deck vessels were very little em-
ployed here till towards the close of last century. In 1876 the total
number of open boats was 3208; that of deck vessels only 38, all very
small. But during the subsequent 30 years their number constantly
increased, particularly after 1890. Since 1905 this increase has been
as follows:

ear
1905
i010

1915

1920 .
1925 .
jo27 |

Motor boats
Sailing of 12 tons
Jessels and upwards

120
201
185

Other
Trawlers steamers

=U
28
47
a6

27
20

Motor boats
of less Rowing-
than 12 tons boats
14
0

at 1121
355 1002
394 8i1
491 650
        <pb n="80" />
        “4

The development of the fishing fleet during this period is due solely
to the increased employment of steamers, steam frawlers and large
and small motor boats, for the sailing vessels have practically disap-
peared, and the number of rowing-boats is steadily diminishing. This
development is clearly illustrated by the following table, which shows
the increase in the number of gross register tonnage:

ear

Sailing Motor
vessels . ships
1905
1910

281
6431
1915 . . 3721

1920 . . 1190 3538
1925 . . 328 5691
1927 . . 51 4 798

Trawler

Other
Steamer

Total

£1
‘06

re
Qc

8287
7736
059 248 11018
8730 223 13681
13570 2769 22358
15 193 2992 23 034

As motor ships had hardly begun to make their appearance by 1905;
sailing vessels may by said to have constituted 95% of the gross reg.
tonnage of the decked fishing fleet. By 1927 only one of these old craft
was left, while 66 per cent. were now represented by steam trawlers,
and 13% and 20. % respectively by other steamers and motor ships.
The trawlers, 46 in number, aggregated a (gross) tonnage of 15193
tons, an average of some 330 tons per trawler. Other steamers num-
bered 29 with an average tonnage of 103 tons (gross) per steamer,
whereas the tonnage of the whole motor ship fleet amounted to 4798
tons (gross), giving an average of 26 tons per ship.

FISHING SEASONS AND FISHERMEN

The fishing seasons vary greatly in length for the off-shore and in-
shore fisheries. All the trawlers and the majority of the motor ships
are run almost all the year round, while the small-sized motor boats
and rowing boats are in a much higher degree dependent on the fish-
ing grounds near the places where they are stationed. For them there-
fore the length of the fishing season may vary from a few weeks to
six months or even more, according to the locality.

In 1927 the number of men and boys actually engaged in fishing
from Icelandic ports, was 8617, distributed among the various types
of vessels as follows:

Decked vessels . . . . . .
Motor boats (small-sized) . .
Rowing-boats . TP ® i E

3557 men
2363 —
2697 —
        <pb n="81" />
        67

The same year the crews of trawlers, other steam ships, sailing ves-
sels, large motor ships, small-sized motor boats, and rowing-boats
averaged respectively: 25, 16.5, 15, 10.3, 4.3, and 4.1 men each,

The development of the fisheries has greatly influenced the distri.
bution of the population and is the main reason for the migration of
the people from the rural districts to the fishing stations and villages
on the coasts. There has thus been a large increase in the number of
persons employed in fishing and the various industries subsidiary there-
to, The numerical total of those dependent on the fisheries for their
living was:

1880 . . . .
901 . . ,
i920 . . . .

3700 persons, or 12 per cent. of the population
9 000 i - 11 - =
8 700 —_ - 20 —- —-
THE COD FISHERIES
The majority of the decked vessels are occupied in fishing cod and
cod-like species, a trade which is also followed almost exclusively by
the rowing and motor boats. In 1927 one hundred and thirty eight
decked vessels were engaged in cod fishing; 57 in cod and herring
fishing, while 68 were employed in the herring fisheries exclusively.

The chief fishing is done during the first 4—5 months of the year
(winter fishing season) off the south coast of Iceland, and vields as a
rule about three-fifths of the total catch of the year.

The following figures illustrate the catch of cod and ced-like species
(in thousands of fish) during the period 1897—1927.

|897—1900 average
19011905
1906 —1910
1911 —1915
1916 —1920
19211925
1926 . . .
1027 -

Cod
1639

Small cod
1 ME
5 02
1227
pg:
* 106

SR 3198
2717 8907
14893 10318
18 067 15755

Haddock
1972

Total

289 14 897

707 17031

126 18 094

KN) 340 22828
149 28 J41 24 092
2005 194 1903 25726
1217 130 1492 28 050
2210 159 2 909 39100

The quantity of fish landed has thus been steadily increasing during
the whole of this period. This is due not only to the constantly in-
creasing number of ships, but also and especially to the replacement of
the old types of vessels by steamers, steam trawlers and motor ships.
        <pb n="82" />
        Ft
The total weight of the fish (fresh), without head, gutted and split,
was (in thousands of kilos):

Other Motor Rowing- All deck
Frawlers deck vessels boats boats vessels

913 ‘=f44 J 603 16 056 i1 164 22447
1914 14608 893% 15 589 10672 23547
1915 16139 11761 15014 12 446 27900
1916 18941 13 042 18 065 10 965 31983
1917 13380 12567 15 398 12415 25947
1918 5564 13 832 18 028 14 747 19 396
{919 11086 20031 20 252 13765 31117
1920 21515 13712 21331 13438 35 227
lg21 27624 15 624 19948 10 641 43248
1922 36285 19 197 22741 ty 420 55482
1923 350095 18798 23 681 n215 53893
1924 68 943 25810 25 340 er 94 753
1925 76 266 23 972 23276 .. 828 100 238
1926 45192 23687 20179 9 000 68 879
1927 70 249 24 292 29 831 9129 94 541

All boats Total
27220 49 667
26 261 49 808
27 460 55 360
29030 61013
27813 53 760
32775 52171
34017 65 134
34 769 69996
30589 73837
34 161 89 643
33 896 87 789
37107 131 860
35104 135 342
29179 98 058
38 960 133 501

The decrease in the quantity of fish landed by the trawlers during
the years 1917—1919 is ascribable to the fact, that in the autumn of
1917 the fleet was reduced by one-half, and new built ships were few
iil 1920 and after. Expressed in percentage of total yield, the quanti-
es landed by the various types of vessels were as follows:

1925

1926

1927
52.6
18.2
22.4
6.8
100.0

Trawlers Lo... 964 46.1
Other deck vessels 17.7 24.1
Motor boats. . . 17.2 20.6
Rowing-boats . oe 3.7 9.2

100.0 100.0

The deck vessels’ share in the total catch has been constantly grow-
ng. In the years 1901—1905 the average share of the decked vessels
was 36 per cent, that of the boats 64 per cent. In 1927 the order is
reversed, the share of the decked vessels being 71 ver cent. that of
he boats 29 per cent. of the total yield.

During 1925—1927 the average catch, expressed in thousands of
kilos. was:

1925 1926 1927

per Trawler . . . . . . . . 1623 982 1561
- Decked vessel (trawlers excepted} 100 112 164
Motor boat . . . . . . . 59 50 61
Rowing-boat . . . . . . 15 13 14
        <pb n="83" />
        59

Complele statistics are lacking respecting the prices realized for the
quantities caught by motor and rowing boats; but assuming them to
have been the same as for the fish landed by the decked vessels, the
value (excl. curing costs) is as follow:
Deck vessels
1000 kr
15 780
35199
29785
15 128
20 322

1923

192¢

i925 . .
1926 . . . . .
1927

Open boats
nn) ky
Te

"0-163
5338
¥:1.39

Total
1000 kr.
221736
47457
39948
20 466
27177
THE PREPARATION AND SORTING OF FISH

Most of the fish is exported fully cured. The fully salted fish is
washed and then dried in the open air (sun-dried). Of late, however,
artificial curing has increased considerably, especially in the winter
nonths, and a number of up-to-date fish-curing houses have been built
'n Reykjavik and elsewhere.

In 1910 a law (cp. also law of 1922) established compulsory sort-
ing of all fish for export abroad. Under this law all fish cured for
export and all salted fish (whether cured or not) which is to be sold
'n the Mediterranean markets, shall be sorted into standard grades by
official fish sorters under the supervision of chief fish sorters, who,
moreover, shall superintend the stowing of the fish in the hold. Every
shipment of fish to the above mentioned markets must be furnished
with a certificate written on the back of the B/L and signed by a chief
fish sorter.
FISH-OIL
Up to 1900 shark-fishing was extensively carried on, and train-oil
constituted the chief portion of the oil export. Since the beginning of
the present century, however, the catching of sharks has been gradually
declining, until 1927 when only one vessel was engaged in this pur-
suit. The quantities of fish-liver landed have been as follows:

Cod-liver Shark-liver Total
7006 Hi, 16 982 HL. 23 988 HI.
10 683 — 13070 — 23 753 —
7152 - 10 096 — 27248 —
26108 ~ 4818 30 926 —
38179 — 5180 - 39 359 —
34282 — 1164 — 85446 —
80 716 — 563 — 81279 —
129 472 — 126 — 132 598 —

897-1900 average
1901-1905
906—1910
911—1915
1916—1920
921-1925

1926 . . .
927 .
        <pb n="84" />
        The following table shows the quantities of liver landed by decked
vessels and boats respectively, in 1927:

Trawlers . . . .
Other decked vessels
Motor boats . . .
Rowing-boats . . .

Cod-liver Shark-liver Total

91 369 HI. » HL 91 369 HI.

21 428 — 126 — 21 554 —

14913 — » —_ 14 913 —

4762 — r= 4762 —
Total 132 472 HI. 126 Hi. 132598 Hi.

Several kinds of oil are prepared from the liver, medicinal and in-
dustrial oils (crude or steamed) being the most important. Before the
oil is shipped for export abroad, it must be sorted bv authoritatively
appointed oil-sorters.

The total quantity of cod-liver oil exported in 1927 was 5 196 000
kilos, valued at 3620800 kr. Of other fish produce exported in that
year cod’s roe yielded 266000 kr.; swims 83000 kr.: and guano
on 810 000 Lr

THE HERRING FISHERIES

In spring small quantities of herring are caught in many places a-
long the coasts of Iceland. This herring is called spring herring. A-
bout the middle of July the seasonal herring fishing begins off the
north coast, and lasis about two months. In 1927 125 decked vessels
were engaged in this pursuit.

The following table summarizes the result of this fishery during the
last ten vears:

1918 , . 71335 HL 1923 325 392 HI.
1919 . . 140900 — 1924. | 236 768 —

i920 . . 160900 — 1925 . . 341054 —

921 . . 101000 — 1926 . . 208073 —

1922 280 600 1927 8597 247

The share of each of the various types of vessels in the total yield
of the herring fishery in 1927 was:

[rawlers . . . . . 165 514 Hl.
Other decked vessels. 399 203 —
Motor boats . . . 20 191 —
Rowing-boats . . . . . . . 2697 —
Caught bv means of land-seines . . . 9742 —

Total 597 347 HL.
        <pb n="85" />
        1

That year the average catch per trawler was 13793 HI, that of
other deck vessels 3533 HI. per ship.

Up to 1927 most of the herring caught used to be salted for export.
But that year such enormous quantities were landed, that a large por-
ion was sold to factories to be devoted to the preparation of herring-
oil and herring-guano.

All herring to be salted for export, must be sorted by authoritative-
ly appointed sorters; and if not exported within three weeks from
salting, a re-sorting must take place. The herring sent to foreign mar-
kets, or sold in Iceland with a view to export later on, must be fur-
nished with a certificate made out by a sorter appointed by the Ice-
landic government. The total export and value of salted herring during
1924—14927 will be seen from the following table:
Year Quantity in tons Value in kr.
924 . . . 9386 4 882 483
1925 . . . 1679 7397 094
to26 . . . 11465 5 075 245
1997 19 627 5769 609

Some of the herring is spiced. In 1927 this variety of cured herring
was exported to the value of 2442873 kr. Sweden is the chief market
tor Icelandic herring.

Of late factories have been established for the preparation of her-
ring-oil and herring-guano; and these commodities having a much wider
and surer market than the salted herring, there is every likelihood of
this industry developing strongly in the near future. The total export
of herring-oil in 1924—1927 will be seen from the following table:

Herring-oil Value
Year Tons Krénur
1924 2 568 1985 183
1925 2701 1731378
1926 . . . 2461 1 344 893
1997 6 3585 2947 313
In 1927 the export of herring-guano realized 2389 630 kr.
THE FISH EXPORT
The bulk of the fish is prepared with a view to foreign markets,
and mainly exported fully cured, though part of it is also sent on the
market half-cured or even wet-salted. From October to New Year or
sometimes even longer the trawlers pursue ice-fishing and sell their
catches in England. The total export of fish (excl. herring) has been:
        <pb n="86" />
        Year Fons Year Tons

1911—15, average . 27238 1924 63 839
1916—20, — . . 29137 1925 . 11979
1921—28, — , , 55574 1926 . . . 58707
1923 a + .« . . B9465 1927 75 783

The following figures show the fish export since 1920:
Salted fish Iced fish

Tons Tons
3923 2000
5458 6084
1654 8564
8094 9916
5943 5760
19932 5000
10 165 7743
16 341 9757
In 1926 and 1927 the export of the various kinds of clipfish was
(in tons) as follows:

Cod . .

Small cod
Haddock .

Ling . . .
Saithe. . .
Tusk . . . .
Not specified . .

1926 1927
3118 32318
2212 L717
579 675
409 313
1738 573
229 239
man 13820
Total 40799 49 655
The total quantity of fish exported in 1927 was 100 402 tons, valued
at 45.2 million krénur. For that year the distribution of the quantity and
value of the fish export on the various countries mav be gathered
from the following summary :

Spain . . . .
Great Britain

Italy . . .
Sweden . .
Denmark .

Russia
Norway . . . .
All other countries

Tons
35332
21593
16515
16 240
5 758
2250
! 396
Co (318 _
Total 100 402

Value in milion krénur
1.8
La
B.o
3.7
lo
0.6
0.5
0.5
485 nn
        <pb n="87" />
        3

PUBLIC MEASURES FOR THE ENCOURAGEMENT
OF SALTWATER FISHERIES

All matters connected with the fishing trade come under the Ministry
of Industrial Affairs and Communications, which has, among other
things, the supervision of the sea-worthiness of ships; the sorting of
ifsh and fish products; the construction of harbours; the improvement
of landing places; and all other activities of the State for the benefit
of the fishing industry. There has, moreover, of late years been done
a great deal to further the sale of fish products, and a representative
for Iceland resides in Spain, partly at the expense of the State, for
the purpose of procuring news of and extending the market for fish
in the Mediterranean countries.

Two special schools for sailors and fishermen are kept up by the
State, one for navigation, opened in 1891, and the other for marine
engineers, opened in 1915. Besides this, there are in various paris of
the country given short courses in handling and operating motors.

It is on the initiative of the State, too, that decked vessels and motor
boals are now insured, for in 1909 the Samibyrgd fslands was esta-
blished, a mutual insurance company with a sphere of activities com-
orising the insurance of decked vessels, boats, and their gear and calch.

Besides the annual grant in the Budget for the promotion of the
tisheries, there is also a Fishery Fund, established by an Act of
Althingi in 1905, with a capital stock of 1€0 000 krénur, a grant from
ihe treasury, and a further subsidy of 6000 krénur a year. At the end
of 1928 the Fund amounted to 620 thousand krénur. The govern-
ment has the management of this Fund, the aim of which is to en-
courage fishing and allied industries. Loans from it are granted for the
purchase of vessels and gear, and for any kind of improvements made
in the fishing trade. Part of the Fund's annual income may be de-
voted to the support of young men who desire to study the fishing
industry abroad, and to defray the expenses of the publication of peri-
odicals dealing with matters relative to fishing, and to reward excep-
tional ability and useful innovations in the methods af catching fish
and preparing it for the market.

[celand’s Sea-territorial Fund (Landhelgissjédur {slands) was esta-
blished by law of 1913 for the purpose of buying patrol boats to
protect the territorial waters of Iceland. The means at the disposal
of this Fund are the fines for illegal trawling in territorial waters and
the net proceeds of the sale of forfeited catch and gear.
        <pb n="88" />
        The Icelandic Association for the Promotion of the Fishing Trade
(Fiskifélag Islands) was established in 1911 with a view to encourag-
ing salt and fresh water fisheries. This association, in its various
activities for the benefit of the fishing industry, represents the govern-
ment and receives an annual State grant, which at present amounts to
75000 krénur. At the close of 1927 it had a membership of 1500
distributed among 45 local associations. In all matters coming within
the purview of the Association the highest authority is vested in the
Fishers’ Council, consisting of 12 members elected for a term of four
years and meeting annually in Reykjavik. Besides, ‘Fjérdungs things’,
or quarter meetings, one for each quarter of the country, are held
every second year by the representatives of the local associations. The
Fishers’ Council elect the president of the Association and two directors
for two years. It has an office in Reykjavik, publishes a monthly and
gives short courses in navigation and the handling and operating of
motors.
MARITIME JURISDICTION

The Maritime Jurisdiction of Iceland, so far as the fisheries are
concerned, is fixed by a treaty made between Denmark and Great
Britain on the 28th of March 1903 respecting the prosecution of fish-
ing outside the territorial waters round Iceland and The Faroe Islands.
According to § 2 of this treaty, Iceland’s territorial waters round the
whole coast of the island extend three nautical miles from the most
outlying islets and rocks visible at low water. In bays the three quarter-
miles’ limit is reckoned from a straight line drawn across the bay as
near its entrance as possible, at the first point where its width does not
exceed ten nautical miles.

The Maritime Jurisdiction is chiefly of importance for the fishing
and the fishermen’s operations in territorial waters. The main body of
laws respecting fishing in Icelandic territorial waters is comprised in
Act No. 33 of June 19th 1923, cp. also Act No. 4 of May 4th 1925 by
which various older provisions respecting this matter, are repealed; cp.
also Act No. 5 of May 18th 1920, prohibiting fishing by means of trawl.
Besides, there are to be found in various other acts provisions deal-
ing with the utilization of the territorial waters. Further, there have,
m accordance with the above-mentioned acts, been issued regulations
concerning certain coastal waters. At present the government has two
patrol boats to protect the territorial waters of the country.
        <pb n="89" />
        HANDICRAFTS AND INDUSTRIES

Industries in Iceland are on a very small scale, though some pro-
gress has been made during the last few years. Forty years ago they
provided a living for only aboul 2 per cent. of the population; accord-
ing to the census returns of 1920 they employed 12 per cent. of the
nation (see article on Population, page 17). Domestic industries
have, on the other hand, greatly declined of late. Formerly almost
all the wool production of the country was used in the home manu-
tacture of woollen goods (socks, mittens, knitted jackets, and vadmél
or wadmal, a kind of coarse woollen cloth), both for use at home and
for the foreign market. There was thus a considerable export trade in
knitted ware and wadmal, and some of these articles (e. g. socks and
mittens) are still exported, though in very small quantities, and almost
exclusively from one district. But the decrease in the sale of these
commodities abroad has been accompanied by an enormous increase
in the importation of foreign drapery, ready made clothes, and under-
wear. In recent years aitempts have been made at reviving the do-
mestic industries generally, and the societies formed for this purpose
throughout the country have organized themselves into a national union
{Samband islenzkra heimilisidnarfélaga). They enjov a State grant,
and have arranged courses in weaving etc.

By far the most common handicraft trades are tailoring and car-
pentry; then come black-smithing, shoemaking, bricklaying, stone ma-
sonry, printing and bakers’ trades; and net-making (braiding), of late.

Icelandic manufactures are still in their infancy, and the enormous
water power of the country (see article on Natural Resources, page 9)
is as yet for the most part unharnessed. During the last few years a
few factories have been established. Among the first of these were the
woollen cloth manufactories of which there are 3 at present, two em-
        <pb n="90" />
        76

ploying water power as their motive force. There are also a few fac-
lories which prepare fish oil, herring-quano and fish meal for export,
and a number of machine shops along the coasts. Of other factories
may here be mentioned those engaged in the manufacture of marga-
rine, soap, non-alcoholic beverages and sweets for the homemarket.

Reykjavik has a slipwav chiefly intended for repairs and the build-
ing of small vessels; and a gas-works and a power-plant supplying
gas and electricity.

In various parts of the country electrical plants have been erected,
most of them employing water power as their motive force.

{For fish-curing houses, see page 69).
        <pb n="91" />
        TRADE

ORGANIZATION

Though in olden times trade with Iceland was carried on equally by
[celanders and Norwegians, vet, as time went on the number of Ice-
landers engaging in the foreign trade gradually decreased, owing to
lack of ships; and, when Iceland, shortly after the middle of the 13th
century, became united with Norway, the Icelandic trade was wholly in
the hands of the Norwegians. After the union with Norway- Denmark
the kings began to make their influence felt by imposing various re-
strictions on the Iceland trade, with a view to granting the port of Bergen
in Norway a monopoly of it. But as these orders of the kings were
not rigorously enforced, the greater part of the Icelandic import and
export trade throughout the 14th and 15th centuries was in the hands
of the English and the Hamburghers. In 1602 a complete monopoly was
established in Iceland, a policy which was continued down to the end of
the year 1787. During this period the trade was generally either granted
as a monopoly fo commercial companies, or carried on by the govern-
ment for the king's account. But on the 1th of January 1788 it was
made free to all subjects of the Danish Crown, and finally, in 1855,
to all nations.

Since 1855 the number of permanent business houses in Iceland has
increased enormously. This increase, though at first gradual, has during
the last thirty years or so been very rapid, as may be gathered from
the following figures, giving the number of permanent concerns:

1855
1870
‘880
890
200
910
920
.207

58
62
78
137
208
122
303
332
        <pb n="92" />
        [3

According to the Act of Union belween Iceland and Denmark, a
Danish subject may establish a permanent business in Iceland and yet
reside in Denmark, whereas this is not allowed to the citizens of other
States, unless they are domiciled in Iceland, in which case their busi-
nesses are looked upon as native concerns. In 1855 more than one-half
(or 32) of the business houses in Iceland were foreign, i. e. owned
by persons residing in Denmark, while in 1927 they were but 15, or
1'2 per cent. of the total number of concerns. A comparatively few
foreigners have settled in Iceland for the purpose of carrying on busi-
ness there.

At first the Icelanders engaged only in retail business, while the
purchase of goods abroad as well as the sale of Icelandic products
in foreign markets were in the hands of alien (mostly Danish) whole-
sale dealers and commission agents; but of late years, especially dur-
ing and after the Great War, this branch is in an ever increasing
degree being taken charge of by native Icelanders. In 1912 there were
but 15 wholesale dealers and commission agents in Iceland; in 1927
their number had risen to 64.

A great deal of business is done by the Consumers’ Cooperative
Stores (kaupfélég) which began to be formed here in the eighties,
and are most widely disseminated among the rural population, though
a few have latterly been established by the working classes in the towns.
These societies handle the purchase of foreign goods and the sale
of farm produce for the members. In 1917 the cooperative stores
organized themselves into a Union of Cooperative Associations with a
head office in Reykjavik, where they carry on a wholesale import and
export business for the majority of the cooperative societies in the
country. In 1928 the Union embraced 39 cooperative concerns with a
membership numbering 7400 and a total turnover of 14 million krénur
(imports worth 51/2 millions; exports worth 812 millions).

During the latter stages of the Great War, when, owing to the world
conditions, trade became difficult, the State undertook for its own
account the purchase in the foreign market of some of the more
indispensable necessaries, which where then sold to merchants and
cooperative stores alike. This resulted in the Government Stores or
Landsverzlun, which during the last years of its existence traded only
in tobacco and petroleum. The State monopoly of tobacco and petro-
eum, established in 1922 and 1923 respectively and placed under the
Landsverzlun, ceased on the 31st af December 1925, from which date
only petroleum was sold bv the State in competition with other firms.
        <pb n="93" />
        7G

But in 1927 the Landsverzlun passed out of existence, wheras
Afengisverzlun rilisins (The State Monopoly of Wines and Spirits),
established in 1922, has the exclusive right to import all the wines and
spirits within the limits of the prohibition law.

In 1917 the merchants of Iceland established the Verziunarsd Is-
fands (Iceland’s.Chamber of Commerce) with head quarters in Reykjavik,
to act on their behalf abroad. It issues a Commercial Gazette (a monthly)
and has set up a court of arbitration in commercial and shipping affairs.

There are two commercial schools in the country, both in Reykjavile
and both partly supported by the State. One, having a three years course,
is under the control of the Chamber of Commerce; the other, with a two
years course, is managed by the Union of Cooperative Associations
for the special purpose of training ils pupils for cooperative business.

In 1928 an Industrial Council was established in Reykjavik, composed
of representatives for the various branches of industry, for the pur-
pose of protecting their common interests. But no general organization
of this kind, embracing the whole country, has as vet been formed.

DUTIES

The duties which have gradually been imposed on imported goods,
have been levied almost exclusively as a means of revenue, and not
for the purpose of protecting Icelandic produce. They have, therefore,
chiefly been run on such commodities as are more or less looked
upon as articles of luxury, as e. g. all wines and spirits, tobacco,
coffee, sugar, chocolate, and lozenges. When the law prohibiting the
importation of spirits became operative (1912), import duties were
levied on almost all kinds of imported goods (the Goods Tax), to make
good to the treasury the loss of the Spirit Tax. But these duties were
not heavy, and all taxable goods were divided into only 6 (later 7) groups.
Since then these duties, which are all weight duties, have been some-
what raised. In 1924, owing to the unfavourable rate of the kréna,
taxes on all imported goods (except grain) were increased by 25 per
cent., a measure which to some extent is fo remain in force till the close
of 1930. The same year an ad valorem duty of 20 per cent. was im-
posed on various articles on which a goods tax is payable. This duty
has since been repeatedly altered, either for the purpose of raising or
reducing it. But at present (to the close of 1930) it is in most cases
levied at the rate of 15 per cent., while in a few instances it rises to
as much as 30 per cent.

Though the Customs Act at present in force dates from 1911, most
        <pb n="94" />
        of the specific duties have since been increased. The more important of
these are the following (including the above-mentioned temporary 25 per
cent. increase, from which, however, the first 4 articles are exempted).

Raw coffee . . .

Coffee-substitutes .

Roasted coffee .

Sugar . . .

Tea. . . . . 7?
Chocolate . . 2
Cocoa . . . . . 3 63
Lozenges and other sweets 2°0
Tobacco . . . . . . . 500
Cigars and Cigarettes . . . . 5600
Ble « 4 2 + a 4% 4» 38
Claret and Fruit-juice . . . 125
Sherry, Portwine, and Malaga . 250
Cognac (50 per cent. of alcohol) 375
Spirits (100 per cent. of alcohol) 625

60 aurar per kilo
50 —
30

Hire

The Tax on Goods Act at present in force dates from 1926. All
goods comprised by this act are divided into the following 7 groups.
{The ad valorem duty is not included.)

I. Gr. Cement, Taretc. . . . . . . . .
3 Various kinds of hardware, barrels and
materials for barrels, cattle fodder,
glass ete. . . . . . . . .
Piece-goods, ready made clothes, foot-
wear and cofton thread . . . . .
a. Salt... . .
&gt;. Coals . . , . .
c. Petroleum . . . . . 100 kilos
limber, unwrought . . . . . . . 5 + cubic foot
Toys and articles of ornament . . . 100 — - kilo
All other dutiable goods . . . . . 60 — - 10 kilos

60 aurar per 100 kilos

a
v

Besides the taxes levied on imported goods, there is also an ad
valorem duty of 1!/2 per cent. on all Icelandic goods exporfed. Ex-
empted from ad valorem rates are only salted herring, fish-meal and
offal, on which a duty by weight is payable at the rate of 150 aurar
per barrel, 100 aurar per 100 kilos, and 50 or 100 aurar per 100
kilos respectively.
IMPORTS AND EXPORTS
The average annual value of imports and exports during the last 30
vears has been (in 1000 krénur):
        <pb n="95" />
        Total imports Export
imports and exports surplus
1896—1900 5 966 2 980 L 048
1901 —1905 3497 #921 1927
1906 1910 . [1531 25 38 2176
1911—1915 (8 112 10 £80 1256
1916~1920 . 33709 48453 102 162 5 256
1921-1925 , 56562 64 212 120 774 7 650
1926 . . . 57767 53070 110837  --4 697
1927 . . . 53162 63153 116 315 9 991

This summary shows that the exports have usually, though not al-
ways during the Great War and the years immediately succeeding, ex-
ceeded the imports in value.

Compared with the number of population the total foreign trade
(imports and exports) is larger than that of most other countries. This
is largely due to the fact, that a country like Iceland which has a very
limited range of products, must depend on foreign countries for a great
number of important goods and necessaries.

The import and export value per head of inhabitants may be seen
from the following summary:

1896—1900
1901—1905
1906—1910
1911—1915
1916—1920
1921—1925
i926 . . .
qQ27

Total

169 kr,

228 —
39 304 —
207 "63 —
3€3 - 9 —
580 - bo 1238
568 — 522 - 1090
515 — 611 — 1126

(mports
8 %&amp;r

Exports
Ng

It should be mentioned that the great increase in 1916—1920 is due sole-
ly to the enormous general rise in the price-level during the Great War.
The subjoined table roughly shows the value of the imports to Ice-
land, distributed over the following groups:
Total value
1000 kr. 1000 kr.
1926 1927
7821 7532
708 4811
2 - 502
7758
7617

1000 kr. Reckoned in percent.

1925 1925 1926 1927

Foodstuffs . . . . . . . 3651 3.7 25 14.2
Coffee, sugar, tobacco etc. . 5903 Bu 9 9.0
Other goods for consumption 4 537 6.6
Textiles and clothes. . . . 11590 14.6
Fuel and lighting materials . 9 334 14.3
Building materials . . . . 6009 * 851 9.1
Materials for the fishing trade 12178 ~ 111 18.2 15.3
Materials for farming . . , 136% 1220 1,9 2.0 2.3
Various materials for production 9 624 7760 137 163 14.6
Total 70191 57 767 53162 100.0 100.0 100.0
        <pb n="96" />
        13

Thus the imports for consumption account for about one-half of the
lotal import value, while the other half is represented by various goods
necessary for production, fuel and lighting materials being essentially
needed for that purpose.

The following are the chief groups of goods imported to Iceland:

1925 1926 1927
1000 ke. 1000 kr 1000 kr.
1058 "104 t 039
7127 5 645 5 408
t 771 aa7 1519
{ 380 ‘gn 1032
2238 1 976 2 042
1178 © 056

523 240
3 908 2102
5274 2 758
3 881 3 308
1 067 922
2423 1 607

Animal foodstuffs . . , .
Cereals . . . . .
Garden produce and fruits,
Coffee and coffee-substitutes .
Sugar . . . , . . .
Tobacco and cigars . . . .
Wines and spirits . . .
Yarn, thread, rope etc. .
Dry goods . . . .
Clothes . . . . .
Other textiles . . |
Footwear . , . . . . ,
Petroleum and other kinds of
mineral oil . , . . .
Timber, unwrought . , . .
Timber, wrought . . . . ,
Paper and manufactures of
paper . . . . . . ,
Coal . . . . . . . ..
Cement . , . . . . . .
Salt... LL,
Stone-, earthen-, and glass-
ware . . . . . . . . 1022 661
Iron and ironmongery . . . 4704 3627
Ships and boats . . . . . 1982 2294 1439
Vehicles and machines . . . 3419 3767 2601
Other goods . . . . . . 6640 6 645 1742
Total 70 191 57 767 53 162

3422
2 495
1 762

1 083
4 561

702
3014

0

The chief groups of commodities exported from Iceland were:
1925 1926 1927
000 kr. 1000 kr. 1000 kr,
69 988 44 958 55 080

7634 7 296 7 353

Fish and fish products . .
Farming produce . . . .
Eiderdown, ptarmigan, seal-
and fox-skins, and other
natural produce . . . 583 360 496
All other goods . . . . 435 456 224
Total 78 640 53 070 63 153
        <pb n="97" />
        33

Thus fish and fish products represent by far the greatest part of
the export value. Next in order comes farm produce. The other items
are immaterial, the chief being ptarmigan, eiderdown, seal- and fox-
skins.

The value of exported Icelandic goods for three years, distributed
over the most important commodities, may be seen from the follow-
ing summary:
1925 1926 1927
1000 kr.) (in 1000 kr.) (in 1000 kr.)
Clipfish . . . . 39 521 25 987 28 451
Saltfish, uncured . 3 609 3 556 4 667
Fresh fish (on ice) . 2140 3132 3 643
Salted herring « . . 7397 3075 5770
Spiced herring. . 292 2 090 2443
Fish and herringguano | 007 ‘014 2941
Cod-liver otf . . . 3833 2 415 3631
Herring oil . . . . 731 "345 2947
Horses . . . . . 205 3 165
Salted mutton . . . 3684 ES 2 004
Wool . . » . » : 1489 102 2434
Sheep-skins,green-salted 1 423 1 662 2045
Other products . . 2267 1393 1829
Foreign goods . . . 372 380 183
Total 78 640 B23 070 1h7

The following table shows the distribution of the value of the total
foreign trade (imports and exports) on the countries with which Iceland
carried on trade in 1927.

Absolute numbers in 1000 kr. Percentage distribution

‘mports Exports Total Imports Exports Total

Denmark . 18152 5 487 23 639 hl 20.3
Great Britain 16 481 9280 5 761 22.1
Norway . . 3362 5 485 [4] 10.2
Sweden . . 1780 389% 6.5
Germany . 5 992 ‘669 9.2
Holland . 1 023 11 10
Spain . . . "83 21 825 ? 708 20.4
[taly . . . 191 +6 930 1121 20 6.1
U.S. A... 9c” [1] 1439 0.7 1.2
Japan . . . * 109 1109 te 1.0
Other countries 1325 907 2232 2 1 1.9
Total 53 162 63 153 116 315 100.0 100.¢ 100.0

12°

Great Britain, Denmark and Spain are thus responsible for one-
fifth each, or all three countries together for 63% of the total foreign
        <pb n="98" />
        11

trade (i. e. 699/0 of the exports and 589 of the imports). But though the
shares of Great Britain and Denmark are now almost equal, such
was not the case in former days, when the bulk of the trade was with
Denmark. Imports from Denmark have not, however, materially de-
creased, whereas exports from Iceland to that country show a marked
decline. On the other hand, the trade with Spain and Italy has ex-
panded considerably, and by far the greater part of Iceland's staple
commodity, the saltfish, is bought by these countries, which formerly
used to obtain their supplies from Danish export firms, while now the
fish is in an ever increasing degree supplied to them directly by Ice-
'andic wholesale merchants.

As regards imports, Denmark is the country from which the greatest
part of the goods comes, (or about one-third of the total value). These
are commodities of various kinds; foodstuffs, as rye-meal and groceries,
constituting the largest items. From Great Britain comes almost one-
third of our imports, one-fourth of this being coal. Of other goods
bought from Great Britain the biggest items are petroleum and wheat-
flour. Third in order is Germany with something like one-eighth of
the imports, especially sugar, hardware and footwear; and then Norway
which is responsible for 10 per cent, chiefly wood and fishing gear.
Imports from Spain are almost exclusively salt; and from Sweden
mostly timber and articles of wood.

Spain alone takes about one-third of all Icelandic exports, the
greatest part of which is cured saltfish. Next comes Great Britain with
rather more than one-seventh, taking the whole fresh fish output and
the greater part of our uncured saltfish. Norway, Italy, Sweden and
Denmark account for about one-tenth each. The heaviest items ex-
ported to Norway are salted mutton, salted herring, and herring-oil,
while Italy mostly imports saltfish (chiefly half-cured); Sweden takes
mainly salted herring and herring-oil, whereas more or less of any
article of export goes to Denmark; and Japan, a country with which
Iceland had no direct dealings up to 1923, is now to some extent
a buyer of our herring-guano and herring-oil.
        <pb n="99" />
        FINANCIAL INSTITUTIONS

BANKS
It is but forty five years since the first bank was founded in Ice-
land. Up to that time money transactions were almost unknown in the
country, and merchants were the chief lenders. All trade was of the
nature of barter, and the people obtained foreign goods through ex-
change for home products, the merchants having to allow delay of
payment until these commodities were ready for the market. It was,
of course, understood that the customer should have cleared off all his
debts before the end of the year, but in practice this was by no means
always the fact. On the other hand, the customer not infrequently had
a balance at the merchant's on which he was usually allowed some
interest.

Almost all trade was in the hands of foreign (Danish) merchants
and carried on with foreign capital and credit. In 1874 Iceland ob-
tained financial independence, and about the same time a native mer-
chant class began to develop. Various measures were taken by the legis-
lature to stimulate productive effort and trade, the most important
being the founding of a bank. The bad years immediately following
after 1880 made this step so urgently necessary that in 1885 a law
was passed under which a National Bank was established. commenc-
ing business the following year.

About this time (1885) the population of Iceland numbered some
70 000, more than three-fifths of whom lived by farming, whereas
comparatively very few persons were permanently engaged in sea-fish-
ing which was still carried on exclusively in open boats. The revenue
of the Stale amounted to something less than half a million krénur,
while the imports and exports together were valued at ten million
krénur. But since that time there has been an enormous progress in
the ecenomic life of the nation, chiefly due to the great development
of the fisheries to which a new stimulus was given when just after
        <pb n="100" />
        A

1890 deck boats (smacks) began to be introduced. The number of
vessels of this kind steadily increased up to 1900, but they have since
been gradually replaced by motor boats and steam trawlers. The foreign
trade, too, has, in an ever increasing degree, been taken over by
native merchants. In 1928 the population was 105000, two-fifths of
them living in towns. The same year the revenue of the State amounted
to some fourteen million krénur; the export of fish products, to sixty
six million krénur; that of farm produce, to upwards of eight million
krénur, while the imports did not exceed sixty million krénur.

There are at present three banks in Iceland, viz. Landsbanki fslands
(The National Bank of Iceland), which commenced operations in 1886;
Utvegsbanki Islands (the Fishing Trade Bank of Iceland), and Buin-
adarbanki Islands (The Rural Bank of Iceland), both formed this
year (1930). Utvegsbanki [slands took over the assets and lizbilities
of [slandsbanki (The Bank of Iceland, established in 1905). All three
banks have their headquarters in Reykjavik, and the two first-men-
tioned four branches each in various parts of the country. All these
banks are established by special acts of ‘Allhingi under which they
enjoy certain privileges. Since 1923 (law of 20th June) banks and savings
banks are under the supervision of a Banks and Savings- Banks Inspector.

The following table gives a concise record of the development of
the banks +

Year 1886
m0
-pn

a

Current Accounts Deposits at Savings
Sundry Loans Bills Discounted Deposits Banks Interest

1000 kr 1000 kr. 1000 kr. 1000 kr.
353

562

1209

5126

30119

42 741

Landsbanki Islands (The National Bank of Iceland) was founded
by law of 18th September 1885 and commenced activities on the 1st of
July the following year. To this bank the government originally made
a grant of 500000 krénur in treasury notes, a sum which in 1900 was
increased to 750000 krénur. Pursuant to law of 1922 the National
Bank has, since 1924, been issuing treasury notes to replace those
withdrawn by fslandsbanki.

The issue of bank notes in Iceland was regulated by an act of Al-
thingi (of April 15th, 1928) granting the exclusive right of issue to
The National Bank of Iceland. But at the same time there were intro-
        <pb n="101" />
        37

duced -such changes into the organization of the bank as were
thought best adapted to fit it for this special mission.

Pursuant to this act the bank is an independent State-owned institu-
tion, operating through three financially separate departments, viz. the
Issue Department, the Savings Bank Department, and the Hypothec-
Mortgage Department. The national treasury is liable for all engage-
ments made by the bank.

The capital of the Issue Department is 3 million krénur, advanced
by the treasury and on which an interest of 6 per cent. per annum is
payable out of the annual profit of the Department. The total amount
of interest thus paid to the treasury must, however, never exceed
one-half of the yearly profit, the rest being passed to the reserve
fund of the Department.

Of the above-mentioned act the following are the most important
provisions respecting the note issue.

The Issue Department has the exclusive privilege of issuing bank notes
or other circulating medium capable of taking the place of metal money
and being current and legal tender instead of bank notes (see p. 89).

Moreover, the Issue Department is bound to pay its notes, when
presented, in legal tender and gold coin, provided the amount of notes
thus presented corresponds to whole denominations, while smaller
amounts are redeemable in change. Any person may take pure un-
coined gold to the Issue Department, which is compelled bv law to
buy it at 2480 krénur per kilo, less 1/2 per cent. for coinage.

The Issue Department issues notes to the extent required to satisfy
the need for circulating medium. To this, however, the following con-
ditions are attached, (1) that the gold reserve held by the Department
shall be equivalent to three-eighths of the notes in circulation at any
time, and never less than 2 million krénur; and (2) that the note cir-
culation not backed by gold be covered by easily convertible assets to
the extent of 125 kr. against every 100 kr. in notes.

In the gold reserves shall be reckoned: (a) legal current gold coin;
(b) uncoined gold and foreign gold currencies at the rate of 2480
krénur per kilo of pure gold; (c) a credit balance, payable on de-
mand, at such banks abroad as may be deemed thoroughly safe by the
board of governors and sanctioned by the minister concerned, — less
corresponding debts of the department. This kind of securities must,
however, in no case exceed one-fourth of the gold cover.

The supreme authority of The National Bank is vested in a Committee
and in the minister in charge of banking matters. The management of the
        <pb n="102" />
        IR

bank is entrusted to a board of governors, consisting of 5 members,
and a board of directors of 3 members who act as the executive of
the bank. The committee is composed of 15 members, elected by both
houses of Althingi for a term of 6 vears. The chairman of the board
of governors is appointed by the minister in charge of banking matters
for a term of years, while the remaining four are chosen by the
committee to serve for 4 years. The board of governors appoint the
managing directors, while the committee elect two auditors to audit the
accounts of the bank.

As the Banking Department of the National Bank is in the course
of the present year to be divided into two departments: an issue de-
partment and a savings bank department, the subjoined balance sheet
on the 31st of December 1928 refers to the banking department as
at present constituted :

I. The Banking

Department.
Assets.

Jold Reserves .
Loans . . , .
Discounts . . . . ,
3ank Bills discounted
3onds . . . . .
Real Estate . . .
Correspondents .
Divers Debtors .
Cash. . . .

» kr. 559 725.00
17 460 510.24

26 349 963.31

1 505 886.50

4770 261.85

2368 812.52

11 750 364.61

495 318.22

408 646.37

Kr. 65 669 488.62

&gt;
se
5,
7.
B.
J)

Liabilities:
Capital Stock
Notes . . . .
Government Loan . . , , | —
British Loan. . . . . . , —
3ank Bonds . . . . . , . —
Foreign Bank-Acceptances dis-
counted . . . . . , , , —
Deposits . . . . . , , . —
Hypothec-Mortgage Department
Correspondents . . . . .
Mortgages on the Banks Real
Estate . . . . . . . ,
11. Diverse Creditors . . . , .
12. Profit &amp; Loss Account , . .

. kr.

3 000 000.00
4 242 000.00
1806 223.23
3 544 000.00

500 000 00

3346 000.35
46 544 360.80
1730620.16
288 631 45

211 804.99
265 270.61
223577.03
Kr. 65669 488.62
        <pb n="103" />
        =

11. Hypothec-Mortgage Department.
Assets:
i, Loans . . . . . kr. 16730520.96
2. Interest and Payments to Re-

serve Fund Outstanding . . — 356 877.18

3. Bank-Deposits . . . - - 1730 620.16

Kr. 18818 018.30

Liabilities:

2,
3.

Bank Bonds . + « . . . . kr. 17718500.00
Coupons not redeemed . . . 530299 75
Reserve . « « « + « + + a 566 218.55

Kr. 18818018.30

Notes in circulation 1913—1929
National Bank of Iceland Bank of Iceland Total

krénur krénur krénur
750 000 691 050 2 441 050
750 000 1613115 2363 115
750 000 2 522 620 3 272 620
750 000 3 592 150 4 342 150
750 000 1 790 925 5 540 925
750 000 5 334 725 7 084 725
750 000 8 649 865 9 399 865
750 000 8 586 180 9 336 180
750 000 7 053 085 7 803 085
750 000 7759175 8 509 175
750 000 5457 175 6207 175

3250 000 5 371 000 8 621 000

1451 000 1.820 000 9 271 000
“60 00 4 800 000 7 264 000

2606 300 4 719 000 7 325 300

4 242 000 4 811 000 9 053 000

=111 000 334800) 10459 000

1913, December 3
1914,
1915,
1916,
1917,
1918,
1919,
1920,
1921,
1922,
(923,
1924,
1925,
1926,
1927,
1928,
1929
Utvegsbanki fslands - (the Fishing Trade Bank of Iceland) was
founded this year (by law of 11th March 1930), and commenced operations
at once. It is a joint-stock bank with a capital of 7 million krénur,
the majority of shares being held by the government. The general
meeting of shareholders elect a board of governors of 5 members who
appoint the managing directors of the bank. The main purpose or
scope of the bank is to support fishing, industry and commerce.

The bank took over the assets and liabilities of fslandsbanki,
which early in the present year got into financial difficulties, and
could not without help meet the demands made on it. [slandsbanki
        <pb n="104" />
        10

(The Bank of Iceland) was established by law of 1903, and commenced
ils activities two years later. For a term of 30 years it was granted
the sole right of issue in Iceland in excess of the 3/4 million krénur
which the National Bank of Iceland was entitled to issue on behalf of
the treasury. This right was retained by f[slandsbanki for a period
of 19 years (1904—1922). But in 1921 it was enacted by law that
its note-issuing privilege should lapse in 1933, and its note circulation
be reduced by fixed annual amounts. When [slandsbanki was taken
over by Otvegsbanki Islands the circulation had come down to 4
million krénur. This amount is (according to the act under which Ut-
vegsbanki fslands is founded) to be withdrawn at once and the sole right
of issue handed over to the National Bank. But while [slandsbanki
was thus withdrawing its notes the National Bank was by law ob-
liged to re-discount for it sound commercial bills on certain specified
terms, to an amount not exceeding 5 million krénur. The amount for
which the National Bank was legally bound to re-discount bills should,
however, be annually reduced until it was entirely discontinued. The
special terms thus enjoyed by [slandsbanki are now transferred to
Utvegsbanki fslands.

According to the Balance Sheet the assets and liabilities of [slands-
banki on 31. December 1928 were as follows:

Gold . . . . . .
Bonds &amp; Stocks . .
Loans . . . . . . . . . ..
Bills of Exchange kr. 24 632 680.88
less Net Profit — 583 003.16
Kr. 24 049 677.72
less estimated
loss according
to Bank Inspec-
tor’s estimate . — 1014 982.62 23 034 695.10
To balance (see Bills of Exchange) 1014 982.62
Banking Correspondents . , , 261 208.18
Foreign Currency . . . . . , — 7 184.93
Bank Premises and other real Estate — 2 034 809.09
Cash in Hand . . . . — 451 882.55
Kr. 38 774 962.51

Assets,
. . kr.

1 878 049.65
2 535 831.07
7 556 319.32

Capital Paid up . . . . .
Notes in Circulation . . ,
Bank Bonds . . . . . .

Liabilities,
. . kr. 4500 000.00
. - 4811 000.00
«0 o—- 706 000.00
Kr. 10 170 000.00
        <pb n="105" />
        ye

Re-discounted Bills . . . . . .

Deposits, Current Acc. &amp; other
Creditors Bal. . . .

Banking Correspondents

Rebate on Interest .

Unpaid Dividend .

Kr. 10 170 000.00
— 3391 257,08

— 20524 293.66
4 481 385.06

353 137.71

7 889.00
Kr. 38 774 962.51

Biinadarbanki Islands (The Rural Bank of Iceland), founded by law
of June 14th 1929, commenced activities this year (1930). The scope
of this bank is to support farming and facilitate the financial trans-
actions of those who are engaged in productive farming operations.

The bank is an independent State-owned institution, the national
treasury being liable for all its engagements. It operates through the
following six financially separate departments:
|. Sparisjéds- og rvekstrariinadeild (Savings Bank and Loan Of-

fice), where almost every kind of general banking and savings
banks business is transacted. The government is authorized to gua-
rantee a loan of up to 3 million krénur for this department.
Veddeild (Hypothec-Mortgage Department) which issues bonds
in series, backed by mortgage bonds received from borrowers, be-
sides various other securities of special nature. This department
chiefly grants loans on security of mortgages in landed property, to
be used for productive farming operations either for the benefit of
individual farmers or whole districts conjointly. The government is
empowered to negotiate a foreign loan not exceeding 2 million
krénur for the purpose of buving bonds issued bv the depart-
ment.

Buistotnslanadeild (Live-Stock Loan Department). This department
issues bonds, each series of which must be closed within 5
years from the date of issue and the redemption of the whole
series completed within 15 years from the same date. These bonds,
to the amount of 700 000 krénur, are backed by the treasury, either
with Viblagasjéds bonds or other securities equally sound. This
department grants loans to farmers and other persons engaged in
live-stock rearing, both for the purpose of stocking their farms and
buying additional stock as well as agricultural and farming im-
plements.

Raktunarsjédur (Agricultural Fund) was established by law of 1925,
its object being to promote agriculture and contribute to the im-
        <pb n="106" />
        provement of rural housing. The fund issues bonds, called Agri-

cultural Bonds, each series of which must be closed within eight

vears from the date of issue.

The means at the disposal of the Agricultural Fund are the
money realized by the sale of national estates since 1883. Other
moneys accruing to the fund are: 1) the rents payable by tenants
of national estates; moneys realized by future sales of national
estates; and the interest on the fund’s own capital; 2) the reserve
fund of the first series of the Landsbanki Hypothec-Mortgage De-
partment bonds, after all claims on this series have been cleared
off; 3) 1250000 krénur grant from the treasury once for all.
Lénadeild smébpla vid kaupstadi og kauptin (Loan Office for Small
Holders in the Compass of Towns and Villages). This department en-
joys an annual treasury grant of 50 000 krénur for 6 years. The
government is, moreover, authorized to negotiate a loan of up to
2 million krénur for the fund, from which loans are advanced to
small holders in the compass of towns and villages.

Byggingar- og landnémssjédur (The Building and Colonization

Fund) was established by law of 1928. The object for which this

department was formed was to increase the number of farms in

the land and maintain those already existing. This aim is 40 be
reached:

I. By granting loans (a) to rebuild dwelling houses on rural farms;
(b) to establish new farms on lands which are either private
property or owned by (civil) parishes or municipalities; (c) to
villages and municipalities that are conterminous with (civil)
parishes, for the erection of necessary buildings to run dairies
on the cultivated lands belonging to the villages or parishes.
By applying money according to the direction of the govern-
ment, to establish new farms on lands owned bv the State or
bought by it for that purpose.

This department enjoys a yearly grant of 200000 krénur from
the State, which is also authorized to take up a loan not exceeding
5 million krénur for the department.

The board of directors of BiinaBarbanki consists of three members,
viz. a manager and two controlling directors, all appointed by the
minister in charge of agricultural affairs, who also has the supervision
of the bank.

nN
        <pb n="107" />
        33

SAVINGS BANKS
The first savings banks in Iceland were founded in 1870. In 1910
they were 25, while in 1927 their number had increased to 50. -— The
number of savings banks, the total capital deposited in them, as well
as their reserve funds mav be seen from the following table:

Number of Total deposits Total reserves
savings banks 1000 krénur 1000 krénur
363 112
1 914 175
7915 558
7748 813
7515 [+]:73

911
1914 ,
[920 .
[925 50
1927 . 50

Thus on December 31st 1927 the total capital deposited in savings
banks amounted to 7.5 million krénur, the number of depositors (pass-
books) being 21 600. On the same date deposits in other banks at savings
banks interest totalled 38.0 million krénur, which shows that savings banks
do not as yet play a very important part in the economic life of Iceland.

The funds of the savings banks were invested in the following manner:

1911
1000 kr.

Vlortgages on real property
Advances on sureties . ,
Advances to municipalities
Advances on pawns . .
Bills . . . . . « . .
Bonds . . . . . . .
Deposits in banks . . .
Real property and other

effects. . . . . .
Sundry debtors . . .
~-ch in hand . .

&gt; ud

Krénur 1619

1914
000 Lr»

2200

1920
ADL re

8664

1925 1927
000 kr. 1000 kr

“tis 3075
"60 2158
52 338
“0h 161
1740
148
824

6

65
96
212
8817

ug
274
8821

Only such financial institutions as comply with the provisions of the
act of November 3rd 1915 respecting savings banks, and have had
their regulations ratified by the government, may call themselves sav-
ngs banks, and they must not commence business until this ratification
has been obtained. Though savings banks are now, since 1923, under
        <pb n="108" />
        J)

the supervision of a Savings Banks Inspector, there are no regulations

as to how they may or may not invest their funds.

Other financial institutions require a special authorization by law in
order to carry on savings banks business.

Séfnunarsjédur Islands (a special kind of Savings Bank) was esta-
blished in 1885, while its laws and regulations were embodied in an
Act of Althingi dating from 1888. The Séfnunarsiédur is divided into
four departments, viz:

I. The Head Department (Afaldeild} receives deposits on condition
that they shall never be wilhdrawn. Only the ownership of the in-
terest on such deposits can therefore change hands.

The Paying-out Department (Uthorgunardeild) receives deposits
which may be withdrawn together with the interest payable on
them at any time after they have stood there for 15 years.

The Equipment Department (Biistofnsdeild) receives deposits from
persons under 20 years of age, and pays the capital back to them
with interest when they have reached their 25th birthday.

The Old-Age Pension Department (Ellistyrktardeild) receives de-
posits from persons under 60 years of age, paying the amounts back
to them with interest after they have completed their 65th year.

The board of directors consists of three members, a manager, ap-
pointed by the United Althingi, and 2 controlling directors, one ap-
sointed by either House.

On the 31st of December 1928 the assets of the Séfnunarsjédur
amounted to 2273518 krénur, of which 2 147327 krénur were repre-
sented by mortgage bonds, i. e. loans granted on first mortgage on
real property. — On the same date its liabilities were:

3

Deposits in the Head Department . 1994 164 krénur
Deposits in the other Departments . 148063 —
Unpaid interest on deposits etc. . 14710 —
Qoagserve fund . . . 116 572

INSURANCE

Marine Insurance. When Samibyrgd [slands 4 fiskiskipum (The
Mutual Insurance of Icelandic Fishing Vessels) was established in
1909, Iceland did not possess any marine insurance companies of
native origin. The Samébyrgd began its operations in 1910, and is
a mutual company with a sphere of activities covering the insurance of
all kinds of fishing vessels and boats including their catch and gear.
In 1929 the company’s premiums totalled 219390 krénur.
        <pb n="109" />
        35

In 1918 was formed Sjévitrpggingarfélag Islands (The Icelandic
Maritime Insurance Company). This is a joint-stock company, insuring
against any maritime perils, and since 1925 it has also transacted fire
insurance business as well. In 1928 the takings of the company in the
form of premiums for these insurances were 480 218 krénur and 146 290
krénur respectively.

Samtrygging islenzkra botnvérpunga (The Icelandic Steam Trawlers
Mutual Insurance Association) was formed in 1923. It is a mutual
company, which insures steam trawlers and other steam ships engaged
in the fishing trade. In 1929 its premiums amounted to 528 000 krénur.

Fire Insurance. Brunabdtafélag [stands (The Icelandic Fire Insu-
rance Company) was established by an act of Althingi of 1915. It is
a mutual company, backed by the treasury fo an amount not exceeding
800 000 krénur, and undertakes the insurance of houses in towns (except
Reykjavik) and villages of 300 inhabitants and upwards, where insurance
upon houses is compulsory. The company may also extend its business to
include movable property as well. The insurances taken during the
year ending in 1929 amounted to 43 million krénur, and the premiums
to 266759 krénur.

Under an act of Althingi of 1905, 50 (out of some 200) parishes
have formed small fire insurance societies. A Common Fire In-
demnity Fund for Rural Farms, managed by the board of directors
of the Icelandic Fire Insurance Company, reinsures for the parish so-
cieties.

As regards Reykjavik, fire insurance on houses has been compulsory
since 1874. According to a contractual arrangement all houses in
Reykjavik are insured with a foreign fire insurance company. This in-
surance for the year ending in 1929 aggregated 75.8 million krénur,
while the premiums taken were 170 000 krénur.

Life Assurance. There is in Iceland no native company or in-
stitution, which transacts general life assurance business; but two
Funds have heen established to provide pensions to cfficials employed
in public service. In 1919, when an amendment to the act respecting
salaries to civil servants was passed by Althingi, the right to pensions
from the State was abolished. But at the same time the Civil Service
Pension Fund was formed, to which the State made a grant of 50
thousand krénur once for all. Every civil servant must pay to this
fund 700 of his annual salary to provide a pension for himself on re-
liring and assure the same advantage to his widow. The Fund is ad-
ministered by the government which is answerable for the payment of
        <pb n="110" />
        14

pensions. In 1921 was established, on approximately the same lines,
the Elementary School Teachers’ Pension Fund, which took over the
Elementary School Teachers’ Relief Fund that had been created in 1909.

Liability Insurance. Every motor vehicle proprietor must, pursuant
to law of 1926, effect an insurance with some insurance company or
institution considered as sound by the government; and the amount
he thus insures for shall be available solely to meet claims that are
made in consequence of accidents caused or damages done by his
vehicles.

Some 20 to 30 foreign insurance companies and institutions are at
present carrying on business in Iceland, chiefly fire, marine, and life
insurances. For further information respecting the conditions on which
they are allowed to start insurance operations here as well as their
liability to be taxed, see article on Foreigners in Iceland.

For social insurance, see article on Social Conditions.
        <pb n="111" />
        MONEY, WEIGHTS, AND MEASURES

MONEY

Iceland is in the Scandinavian Monetary Union. The monetary unit
's called kréna (pl. krénur), and divided into 100 aurar (singul. eprir).
The relation beiween krénur and English and American monetary
units is as follows (par exchange): £ 1 = 18.16 krénur; 1 dollar
— 3.73 kronur.

Exchange rates. The Great War occasioned differences in the ex-
change of Scandinavian currencies. The Icelandic kréna followed the
fluctuations of the Danish Krone up to the beginning of 1920, but
trom the latter half of that year to the middle of June 1922 it was
quoted (though not officially) independently of the Danish Krone and
at a lower rate. About the middle of June 1922, when foreign cur-
rencies began to be officially quoted in Reykjavtk, a pound sterling was
equivalent to 26.50 krénur, a United States dollar, to 6.03 kr., while
some three years later, in October 1925, their respective values had
come down to 22.15 kr. and 4.58 kr. And as the pound has remained
at this level to the present day, the gold value of the kréna has uni-
formly been about 82 per cent. of its face value during the last four
years.
WEIGHTS AND MEASURES
The infernational mefric system of weights and measures was intro-
duced in Iceland by law of 1907, and made compulsory from the 1s
of January 1912.
        <pb n="112" />
        COMMUNICATIONS

ROADS AND BRIDGES

Up to the end of last century all transport in the interior of Ice-
land had to be done by pack-horses; carts were almost unknown in
the country and the roads were mere bridlepaths. But in 1884 an
expert in road making was engaged from Norway to teach the Ice-
landers how to make carriageable roads, and ten years later it was
enacted by law, that carriage-ways should, at the expense of the State,
be built from the chief towns into the country, and the administration
of these matters placed in the hands of a civil engineer. From that
date road making has progressed at a rapid pace and the grants voted
for this purpose have increased every year.

According to the Roads Act, all roads are divided into the follow-
ing four classes: 1) National Roads, i. e. main roads through and be-
tween districts, built and maintained entirely at the expense of the
State. Of these Iceland now possesses some 2150 kilometres, whereof
rather more than 1400 kilometres have already been made carriage-
able; 2) District Roads which, though built through and between dis-
tricts where the traffic is greatest, are not national roads proper.
They are constructed at the expense of the districts concerned, except
in so far as they may be made carriageable, in which case grants
from the State are allowed of up to one-half of costs. To those
districts which levy a special roads tax on their inhabitants, according
to a law of 1923, a part of their total expenses of road making is refunded
by the State, and the higher the rate levied, the larger is the grant
from treasury; 3) Parish Roads are those lying through and between
parishes, and are neither national nor district roads; they are built at
the expense of the parishes; 4) Mountain Roads are called such roads
as are made across mountain tracts and upland regions, and do not
belong to any of the three foregoing classes: they are mostly bridle-
        <pb n="113" />
        3G

paths, constructed at the expense of the State, with stone cairns erected
along them.

The national roads which have been improved and made carriage-
able are from 3 to 4 metres across, with a superstructure, in most
cases, of unscreened gravel, though of late such parts of them as are
most frequented by motor cars have in some instances been macada-
mized.

To facilitate internal communication, there is yet another factor of
great importance, namely the construction of bridges. There are many
rivers in Iceland, and some of them almost, if not altogether, impass-
able. In order, therefore, to get the full benefit of the new roads,
bridges had to be made, but up to the last decade of the nineteenth
century they were few, except small wooden ones, thrown across narrow
streams. In 1890 the first suspension bridge was constructed across
the Olfuss, by English civil engineers; it was made of iron and is
about 75 metres long. Several other rivers were bridged in the same
manner; but this method was found to be foo expensive. Next in
order were the fixed bridges, also made of iron and supported on
piers of masonry; but since 1907 most bridges, whether long or short,
have been made of reinforced concrete. The longest bridge in the
country at present is the Lagarfljét bridge, some 300 metres long.

The common form of vehicle for transport in the rural districts is
the two-wheeled horse-drawn cart; and it is not uncommon to see one
man in charge of 2 or 3 carts of this type.

The first motor cars came to Iceland in 1913, but their number has
increased so rapidly, that in 1929 no less than 1151 had been registered
in the country, 636 for transport, the rest for passengers. The majority
of the cars are registered in Reykjavik and its néighbourhood, and a
regular automobile service is kept up between the capital and various
places in “its vicinage and in the southern lowlands. During summer
motor cars are also regularly run between the northern and southern
districts and various other places throughout the country.

There are no railways in Iceland, but preliminary surveys have
been made with a view to constructing a 65 kilometre line from
Reykjavik to the southern lowlands. The sanction of Althingi to carry
out this plan has not, however, been obtained. -

The subjoined table shows the State expenditure on roads and
bridges for fifty vears:
        <pb n="114" />
        31)

1876 —1893 average 23 thousand krénur
1894 —1903 107 sv
1904—1913 150

1914-1923 451

1924 —1928 - 789

In the budget for the present year (1930) the State expenditure on
roads and bridges is put at one million krénur, as follows: adminis-
tration of matters concerning roads, 46 thousand; national roads, 580
thousand; bridges, 200 thousand; mountain roads, 25 thousand; dis-
trict roads, 110 thousand; iools for road-making work, and sundry
other expenses, 41 thousand.

For particulars respecting parish and district expenditure on roads,
see article on State and Municipal Finance, ». 48.

SHIPPING AND NAVIGATION
The Icelandic mercantile marine is comparatively Jarge, and consisted
in 1929 of 69 steamers and motor ships of over 100 tons, aggregating
some 25000 tons gross register tonnage, or about 240 tons per every
1000 inhabitants. In 1928 (Lloyd's Register of Shipping) only Norway,
The United Kingdom, the Netherlands and Denmark had proportion-
ately larger merchant fleets, or respectively 1063, 502, 374 and 308
tons per every 1000 inhabitants. Besides ships of 100 tons and
upwards, there is also a great number of smaller craft, especially
motor boats, which are almost all engaged in the fisheries, as are also
the majority of the ships of over 100 tons (trawlers, herring boats,
and long-liners). For the fishing fleet, see p. 65.

Down to the Great War almost all transport to and from Iceland
as well as the majorily of the coastwise trade was carried on in for-
eign, mostly Danish or Norwegian, bottoms. From 1870 to 1875 the
mail service between Iceland and other countries was performed by
one single steamer, owned by the Danish government, and making 7
trips a year, generally touching at only one port in the country
t Reykjavik).

Since 1876 the United Steamship Company, Copenhagen {Det fore-
nede Dampskibsselskab) has kept up a regular steam service between
Iceland and Denmark, usually with a port of call in Scotland (Leith).
For many years, too, the coastal traffic was also in the hands of this
company which in consequence was subsidized by the Icelandic go-
vernment. At present the Company is running ships regularly every
fortnight both between Reykjavik and Leith in Scotland, and between
        <pb n="115" />
        101

Denmark and Iceland, touching at Reykjavik and many of the more
important ports on the western and northern coasts of the country.

For many years the United Steamship Company was the only com-
pany running ships regularly between Iceland and other countries;
but for the last thirty years other companies, either Danish or Nor-
wegian, have also kept up some sort of regular service to the country.
This, however, has not been without interruptions, and the , United“
has often been left alone in the field. When it began to be realized
that it might be awkward to depend almost solely on one foreign
company - for regular mail service with other countries, the Icelandic
Steamship Company Ltd. was formed in 1914 (Eimskipafélag [s-
lands). Participation was general in Iceland, for shares were issued
for small amounts. Icelanders in America also bought a great number
of shares, and even the Icelandic government took some. The company
started business in 1915 with two ships, and during the Great War
when communication with European countries became difficult and
dangerous, they sent their ships to America; but these voyages were
discontinued when peace was again restored. In spite of various diffi-
culties with which the young company has had to grapple, its progress
has been steady; it has now four steamers, and the fifth is soon to be
added to the number. The company’s ships are called by various
waterfalls or “forces” in Iceland (Gullfoss, Godafoss, Briarfoss, Sel-
foss, and Dettifoss). The Eimskipafélag keeps up a regular steam com-
munication between Iceland on the one hand and Denmark, Great
Britain and - Hamburg on the other. During the present year 61 re-
gular trips between Iceland and foreign countries are planned by the
company with many ports of call in Iceland.

Since 1908 the Bergen Steamship Company (Det Bergenske Damp-
skibsselskab) has had two steamers regularly running between Iceland
and Norway; one of them now makes fortnightly trips between Reykja-
vik and Bergen; the other 8 yearly trips, in each of which she calls
at a number of ports on the Icelandic coasts.

One steamer, run at the expense of the State, makes 17 yearly trips
round the coasts, calling at a number of ports not touched at by ships
engaged in the foreign trade. Besides this there are 10 other ships
and boats which enjoy government grants for keeping up the local
communication in various firths and bays.
        <pb n="116" />
        1062

HARBOURS AND LIGHTHOUSES

Iceland is rich in good natural harbours, especially her eastern and
western coasts, while the southern one, being remarkably free from
indentations, has no harbours worthy of the name. In several places
wharfs have been built where large ships can be accommodated, but
other modern facilities for loading and landing are generally wanting.
In various places the construciion of breakwaters gives good harbours.
During 1913—18 a harbour was constructed in Reykjavik, at the cost
of 2 million krénur; it has subsequently been greatly improved. And
at the Westman Islands large sums have been expended on a harbour
to accommodate the fishing fleet stationed there.

The first lighthouse in Iceland was erected in 1878, on the Reykja-
nes peninsula, a point which is passed by all ships on their way to
Reykjavik from abroad; and in 1897 three more were added around
the Faxi Bay. It may seem strange now how long this lack of light-
houses was put up with, as navigation around the coasts of Iceland is
in some places very dangerous. But it should be remembered that Ice-
landic waters were navigated almost exclusively during summer, when
there is so much light that artificial “sign-posts“ are not needed. But
as the fishing fleet increased and deep-sea fishing came to be pursued
mainly during the winter, and as navigation to the country developed,
also during the darker seasons of the year, the want of lighthouses be-
gan to be more keenly felt, and since 1900 the erection of lighthouses
has been in rapid progress, with the result that they are now (1930)
101 in number, 57 of which are kept up entirely by the State, the re-
maining 44 by municipalities and parishes.

The State expenditure towards lighthouses, including control and
salaries to keepers, amounted in 1928 to 246 thousand krénur, while
the light dues reached 449 thousand (see page 43); but it should be
borne in mind that during preceding years the State has expended
considerable sums towards the erection of lighthouses.
POST, TELEGRAPHS AND TELEPHONES
In Iceland the postal service has from the first been under State
management, and almost all the inter-provincial mail has, until quite
recently, been conveyed on horse-back. The chief mail-routes are tra-
versed regularly every month during the winter and more frequently
in summer, for the purpose of delivering and collecting letters, parcels
        <pb n="117" />
        103

etc. From the post-offices along these routes local posts are dispatched
to the various districts with the mail. But during summer the horse-
caravans are now rapidly being replaced by motor vehicles, which in
the vicinity of Reykjavik and in the southern lowlands are frequently
run all the year round.

As coasting has improved, the inter-provincial mail is in an ever
increasing degree being sent by sea to the various ports. The govern-
ment coaster, as already mentioned, now makes 17 trips a year round
the coasts (from the middle of February to the end of the year), and
many steamers, plying between Iceland and foreign countries, regular-
ly call at a number of ports to receive and deliver postal matter. But
the mail connexion between the ports and the interior is still unsatis-
factory, except where regular automobile service has been established.

In 1928 there were in Iceland 477 post offices open. During that
year 1339 thousand ordinary letters and postcards were dispatched;
1001 thousand newspaper packets and other printed matter; and 91
thousand other parcels. Furhermore, there were delivered 19 thousand
money-letters, to the amount of 6.6 million krénur; 7 thousand re-
gistered parcels, to a sum of 3.1 million krénur; 48 thousand trade
charge money orders; and 73 thousand postal orders, to the total value
of 9.6 million krénur.

In 1906 a submarine cable was laid from the Shetland Isles,
through the Faroes, to SeydisfjorBur on the east coast of Iceland. Det
store nordiske Telegrafselskab (The Great Northern Telegraph Com-
pany) in Denmark who laid the cable (with grants from the Icelandic
and Danish treasuries) secured the sole right of operating it for twen-
ty years. This privilege expired in 1926, but has now been extended
for another -eight years,

At the time when the cable was laid, there were no telegraphs or
telephones in the country, except the Reykjavik local exchange and a
line between Hafnarfjérdur and Reykjavik; but a telegraph line was
constructed from SeydisfjérOur to Reykjavik, and telephone lines
are steadily being added. All trunk lines are constructed by the
State, the local lines partly at the expense of the districts con-
cerned. The telegraph (excluding the submarine cable) and tele-
phone services, interprovincial as well as local, are carried on by the
State. On December 31st 1928 there were 260 ordinary telegraph
stations and 6. wireless ones. The telegraphs and telephones had a
total length of 3272 kilometres, the length of wires being 9738 kilo-
metres; during that year a total of 266 thousand telegrams were dealt
        <pb n="118" />
        104

with, of which 126 thousand were foreign correspondence; there were
4295 telephones (i. e. one to every 24 inhabitants) and the number of
calls amounted to some 519 thousands.

COMMUNICATION BY AIR

Though road-making in Iceland has of late made no little pro-
gress, our road system is as yet far from having attained to any de-
gree of completeness: and communication with the more out-of-the-
way lying districts is still, and for many years to come will be, very
unsatisfactory. Naturally, therefore, the tremendous progress made in
aviation during the last few years has attracted very great attention
in Iceland, and many people hope that the aeroplane will ultimately
provide the means of communication we are lacking.

In 1919 and 1920 some experiments were made here with a small-
sized aeroplane. These, however, proved no great success and were
dropped for a time. But in 1928 was founded Flugfélag [slands (The
Aeronautical Society of Iceland), and a 4-place monoplane (a sea-plane)
was hired for passenger transport between Reykjavik and various
places on the coast. During the summer 26 000 kilometres were covered
and 500 passengers carried. Nothing was done in the winter, for fly-
ing in Iceland is considered dangerous at that time of the year. But
the following spring (1929) two 4-place sea-planes were hired; a total
of 56 000 kilometres were travelled and 1100 passengers carried, be-
sides some mail.

In 1928 the aeroplane spent about a week’s time in looking for
herring and advising ships of the whereabouts of the shoals. This
experiment proved rather a success, and the following summer (1929)
one of the aeroplanes was engaged in these activities almost all the
herring season. The present year (1930) a law was passed respecting
the creation of Flugmaélasjédur Islands (the Icelandic Aircraft Fund),
providing, among other things, that, while aeroplanes are employed
for the purpose of looking for herring, every ship engaged in’ fishing
herring by means of a purse-net shall pay to this fund 10 aurar per
barrel of salted herring, while those fishing for the factories contri-
bute a proportional quota of their catches. The means of the fund are
employed for defraying the expenses of a plane regularly engaged in
searching for herring from the 15th of June to the 15th of September
every year, and for promoting aviation in Iceland.
        <pb n="119" />
        105

There has of late been some talk of establishing an air-line between
Europe and America with Iceland as a halting-place because of its
situation in the northern Atlantic. But though some trials have already
been made at crossing the Atlantic that way, the matter cannot yet
be said to have passed the experimental stage.
        <pb n="120" />
        SOCIAL CONDITIONS

WORKMEN AND EMPLOVYERS

Organized associations of workmen for the promotion of common
interests are of a very late date in Iceland, and it was not till 1894
that the first society of this kind came into being, when the Sailors’
Union was formed by deep-sea fishermen. During the first ten years
the movement made but slow progress and was exclusively confined
to Reykjavik. In 1897 the Printers’ Trade Union was formed, fol-
lowed, in 1906, by the combinalion of unskilled workers. Since then
development has been more rapid, and in 1916 was established the
Federation of Labour Unions (Althydusamband [slands), which at pre-
sent comprises 22 organizations of unskilled workers, 5 Sailors’ Uni-
ons, 3 trade unions, and 6 socialist bodies (political), 36 unions in all
with a total of about 5600 members (4900 males and 700 females),

Until quite recently, there have been no permanent employers’ or-
ganizations except among ship owners, the first being formed in 1894
by owners of decked fishing vessels. But this society was dissolved
when the smacks began to be replaced by steam trawlers, and in 1916
was formed the Steam Trawler Owner Association (Félag islenzkra
botnvdrpuskipaeigenda) which is the most important employers’ organi-
zation in the country. A few employers’ organizations have been started
(e. g. owners of printing establishments, bakeries, long-liners etc.), but
as yet there is no general federation of Icelandic employers. .

Strikes and lock-outs have been very rare in Iceland. But after
prices began to increase during the Great War, these weapons have
a few times been resorted to in wage disputes. The central authori-
ties have taken no action in connexion with these quarrels, except
that a bill was passed by Althingi in 1915 forbidding State officials
to strike. On rare occasions, too, the government has tried mediation
in labour disputes; but as these have during the last few years grown
more frequent and violent in character, another bill was passed in
        <pb n="121" />
        9) oe
Be: 78 5.71.
prtitot Hr West Achat sie

0

107

1925, providing for a public mediator being appointed (for three years
at a time). When conflicts of this kind arise, causing a stoppage of
work, or if there is a reason to fear that a stoppage may occur, the
public mediator shall, when negotiations for a private arrangement
have been broken off, and if the dispute, on account of its extent or
character, may be considered dangerous to the community, call before
him the representatives of both workers and employers, on whom it
is incumbent to obey the summons, and try to bring about a peaceful
settlement by inducing the parties to come to an agreement by mutual
abatement of differences.

PROTECTION OF WORKERS

As factory work of any description is still in its infancy in Iceland,
legislation providing for the protection of workers has, up to the pre-
sent day, moved very slowly indeed, except as regards the fishing
trade, where the need for legislation on this head first made itself felt.
The maritime law of 1914 contains special provisions aiming at ensur-
ing the payment of wages (hire) to seamen. Under the same act the
expenses of medical treating or lying in hospital etc. of any of the
crew is payable by the shipowner. A law of 1903 established the in-
spection of the condition and seaworthiness of ships. Various amend-
ments and supplements to this act were passed in 1922 and 1929, pro-
viding, among other things, for the appointment of a special inspector
who is to see to it that all Icelandic vessels are inspected and sur-
veyed. The maximum working dav on Icelandic steam trawlers was in
1921 limited to 18 hours (meal-times included). This again was shor-
tened to 16 hours in 1928.

In 1929 -an act was passed respecting the status of artisan appren-
tices, fixing their hours of labour per day, etc.

In various statutes from past times there may be found regulations
enforcing Sabbatarianism more or less strictly. And under an act of
1926 all indoor and outdoor work, causing noise, as well as keeping
shops open on sacred days of the established church are, with a few
exceptions, forbidden. But according to a law of 1917 municipal coun-
cils may decide as to the closing hours of shoos in their respective
municipalities.

Just after the beginning of the present century (law of 1902), the
cash-payment of wages was made compulsory, and according to law
of 1929 wages are now paid every Saturday. Under the same act it is
made easier for workers to sue employers for wages due.
        <pb n="122" />
        tee
oe

The inspection of facfories and machinery was established under an
act of Althingi 1928, containing various provisions respecting the ar-
rangement of work, to protect the lives and health of the workpeople,
and prescribing special care and inspection of steam-boilers and ma-
chinery, which without strict preventive measures might be dangerous
to life or detrimental to the health.
PRICES AND WAGES

As in other countries, there have in Iceland been enormous changes
in the level of prices since the outbreak of the Great War; but avail-
able statistics relate only to the fluctuations of prices in Reykjavik.
Data concerning retail prices quoted for 50—60 different articles of
food, fuel and light have, for a number of years, been collected once
every quarter (and since autumn 1925 once every month) by the Sta-
tistical Bureau. Index-numbers are then compiled illustrative of the
fluctuations in the prices of these goods. But another set of index-
numbers for total cost of living is prepared once a year, in October,
based on the retail prices ruling in Reykjavik in the beginning of
that month, and on several additional data respecting other items of
household expenditure.

A calculation has been made as fo how the expenditure of an a-
verage family (consisting of husband, wife and 3 children) with an
income, in 1914, of 1800 krénur,. was distributed over the various
commodities consumed. Then, on the basis of an unchanged standard
of living and guided by continuous statistical information on retail
prices, the cost of this consumption for the same family at different
times has been calculated. The household budget is divided into the
following 6 groups: 1) foodstuffs, 2) light and fuel, 3) clothing, 4) rent,
5) taxes, 6) sundries. Besides the general index-numbers, special in-
dex-numbers are worked out for each group. In the case of group 6,
which accounts for one-fifth of the expenditure, the index-number is
not based on independent investigations of the fluctuations’ in the
prices of the goods coming under this head, but the price is assumed
to have for this group increased proportionately to those of the goods
included in groups 1—4. According to these calculations the general
index-numbers, since 1914, have been as follows (July 1914 = 100):
        <pb n="123" />
        19

Autumn 1914
10415
16

21

UY

£46
291

Autumn

a22 291
“3 2m
24 321

we 283

N94 247

1 227
28 226
1920 225

It will be seen that after the outbreak of the Great War prices at
once began to rise considerably. The increase continued with great
rapidity in 1917 and 1918, while in 1919 it was more gradual; but
in 1920 the highest point is reached at 346 per cent; thereafter there
was some reduction which during 1924 gave way to a new and con-
siderable increase. In 1925, however, a decline again set in, and
since 1927 the price-level has remained practically unchanged, at some
125 per cent. above pre-war level.

During the war, wages, though rising preity sharply, were far from
keeping pace with the increase in prices. Tolerably reliable infor-
mations respecting wages are available only for unskilled workers
and seamen in Reykjavik, and they go to show that wages did not
till 1921 reach the same comparative level as the general percentage
of increase, while thenceforward there has been little decline propor-
tionately to the fall in prices. In settling questions of wages some re-
gard has, indeed, been had to the cost-of-living index which, however,
has never been allowed to regulate the wages automatically,

Salaries of State officials were fixed by an Act of Althingi in 1919
and on the whole raised somewhat above the pre-war level, though
not nearly to the same extent as prices had by then increased, for it
was believed that the enhancement would not be of long duration, and
that prices would gradually fall. In view of this it was decided that
officials should provisionally enjoy, over and above their statutory
salary, an annual allowance to be fixed according to calculations made
on the basis of the prices of certain specified goods in October
the preceding year. In the case of a salary exceeding 4500 krénur,
no allowance is granted on the portion exceeding the 4500 krénur
limit, and salary and allowance together must not, ‘as a rule, exceed
9500 krénur. According to this the allowance has been as follows:

1920 120 per cent. on salary
1921 1373

1922 91

1923 60

1924 52

19285 78
        <pb n="124" />
        110

This rule has not been followed for the last two years (1929 and
1930) and a 40 per cent. supplement allowed (as in 1928) though on
the basis mentioned above the grant would have been less.
POOR RELIEF

Poor relief in lceland is regulated by the Poor law of 1927, under
which those who, by reason of poverty, illness, lack of employment
or other causes,” are incapable of providing for themselves and de-
pendants (medical treatment and nursing in sickness included) must be
relieved by the respective parishes, either in their own homes (out-
door relief), or lodged in good private homes, charitable institutions
(indoor relief), or hospitals, if considered necessarv by a doctor. Work-
houses or poor-houses for the purpose of receiving the ablebodied
poor have not yet been built in this country.

Those who receive parochial relief are under the authority of the
parish (town) councils (poor law boards), and must, if capable of
work, perform such tasks as are assigned to them. Nor are they al-
together independent in the choice of home or abode. Those who have
received poor relief are liable to repay it to the parish, just as any
other debt, if they can, and those who are indebted for poor relief
lose the right of voting at parliamentary elections; and in case they have
come on the parish through laziness or carelessness, they are also
deprived of the right of voting at local elections. On the other hand,
some kinds of poor relief are not recoverable, and do not therefore
involve any civil disabilities; these are, e. g. State grants, made under
special circumstances, to pay the expenses for the care of sick persons
in hospitals. When a poor law board have afforded a relief to an
applicant, they shall, within three months, have decided that this relief
is not recoverable, if they find that the applicant deserves it because of
his high age, the largeness of the family he has to provide for, his
own ill health or that of his dependants, or for other reasons. Si-
milarly, a person, who for two years has not been dependent on poor
law for maintenance, may be excused from repaying the relief he
has already received. Relief granted to persons of sixty vears and
over shall not be looked upon as poor relief.

Poor relief rests with towns and parishes, while the expenses of
hospital treatment are partly defrayed by the State. During 1926 poor
relief expenses met by towns and parishes amounted to 1100 thousand
(see p. 48', whereas the contribution made by the State (excluding the
budget for tuberculosis, see p. 115) did not exceed 68 thousand krénur.
        <pb n="125" />
        SOCIAL INSURANCE

Though Social Insurance of any kind may be said to be still in its
infancy in Iceland, some activities have already been commenced in
that field.

Old Age Insurance. As early as 1890 relief funds were established
in all municipalities and parishes, the object being to give assistance
to poor people who by reason of old age were no longer able to
provide for themselves. The law prescribed for all domestics and
lausafélk (i. e. workers, not in service) belween 20 and 60 the lia-
bility to make small annual contributions to the funds which during
the first years were placed at interest. After a time pensions began
to be granted to poor persons (over 60) included in the insurance
scheme without its involving any civil disabilities for the recipients.
But as these pensions were so small as to be of practically no use
at all, an act was passed in 1909, under which conlribution was made
obligatory for all men and women between 18 and 60, the fee pay-
able by each person somewhat raised, and a State grant prescribed
for the funds corresponding to the number of those liable to pay.
Exempted from paying were those in receipt of poor relief; those
who had children or other dependants to provide for; those who were
unable to earn wages; and those who were otherwise insured (as
e. g. State officials). By a law of 1917 the contribution was increased
fo two krénur per every male and one kréna per every female in-
cluded in the scheme, while the government grant was fixed at one
kréna per every person liable to pay. The sums annually distributed
are: two-thirds of the premiums paid, one-half of the State grant, ‘and
half the interest. Pensions are granted on application to persons over
60 years of age who for the last five years have not been reci-
pients of poor relief and who by reason of old age cannot provide
for themselves. Under special circumstances pensions *may also be
granted to invalids under 60 years of age. The pensions granted range
in amount from 20 to 200 krénur.

At the end of 1927 the Old Age Insurance Funds amounted to 1028
thousand krénur; the number of persons covered by the insurance
was 45000, corresponding to about 44 per cent. of the population;
the number of pensions granted was some 2500: and the amount
distributed, 93 thousand krénur.

Accident Insurance. Accidents are very common in Iceland, espe-
cially deaths by drowning among fishermen (see page 16. It is there
        <pb n="126" />
        112
fore but natural that accident insurance for seamen should be first
established here. By a law of 1903 insuring against death by drown-
ing or as resulting from an accident was made compulsory for fisher-
men serving on decked vessels. In 1909 the scope of this insurance
was extended so as to comprise the crews of all Icelandic steamers,
sailing vessels, motor and rowing boats, except the smallest type (the
two-oared boats). In 1917 the compensation in the case of death was
increased, and at the same time it was made compulsory to secure
compensation to seamen for injuries incurred in work. By a law of
1925, which became operative from the 1st January 1926, accident in-
surance was given a much wider scope so as to include practically all
wage-earners, except farm labourers and such minor industries as nei-
ther employ mechanical motive power nor a greater number of workers
than four. Under the same act benefit is now allowed in the form of
daily payment during sickness resulting from injury sustained during
work, irrespective of whether the person injured will recover or re-
main more or less an invalid for the rest of his life. In 1928 the
compensation in case of death or disablement was considerably raised.
The insurance is effected with an institution called the State Acci-
dent Insurance Office (Slysatrygging rikisins), divided into two de-
partments, one for seamen, the other for industrial workers. The go-
vernment appoint the manager and defray the cost of administration.
All expenses in connexion with the insurance are defrayed from fees
paid by the employers, except in the case of fishermen on rowing
boats and motor boats of less than five tons, for whom the State pays 3/0
of the premiums, which is all the public support enjoyed by the institution.

The compensation is paid on the following basis:

1) In the case of death, a capital sum of 3000 krénur, paid out in
full at once to the survivor who, if a widow, receives a further
grant of 400 krénur for every child under 15 vears of age for
whom she has to provide.

In the case of complete disablement, a sum down once for all of
6000 krénur, and proportionately less for partial disablement.
Loss of capacity for work, estimated at less than 200/ of the
normal, gives no right to compensation.
Accidents are compensated at the rate of 5 krénur a day from
the 20th day inclusive, but in no case for a longer period than 6
(calendar) months.
In the event of death resulting from accident, compensation is pay-
able to the survivors who for that purpose are divided into the four

3)
        <pb n="127" />
        113

following classes: 1; widow; 2) children (legitimate, natural, and foster-
children); 3) parents and foster-parents; 4) brothers and sisters
whom the deceased supported. Each of these classes excludes the
following ones from the right to compensation, and if deceased leaves
no relatives belonging to anv of them. all liability for compensation
ceases.

In 1927 the premiums paid in to the Seamen's Department amounted
to 146 thousand krénur, besides a grant of 7600 krénur from the trea-
sury, paid for fishermen on small boats. The sums granted in com-
pensation during the year amounted in all to 83 thousand krénur (of
which 63000 kr. went to dependants of deceased persons; invalidity
compensations amounted to 6000 kr., while 14 000 kr. were paid out
in the form of sick-relief).

In the Industrial Department the premiums amounted to 53 000
krénur; compensations to 29 000 krénur (i.e. in case of death 12 000
krénur, invalidity compensations 1000 krénur, and 16 000 krénur by
way of sick-relief).

Sickness Insurance. Insurance against sickness did not begin in Ice-
land till 1909, when a Sickness Benefit Society was formed in
Reykjavik. Under an act passed in 1911 any sickness benefit so-
ciety has the right to be registered, if it is not affected with any
of the disabilities enumerated in the act; and it is only by registration
that a sickness benefit society becomes entitled to a financial support
from the State.

Into these societies (and enjoying all the privileges of members) people
are admissible at any age between 15 and 40 years, if they are
not suffering from any chronic diseases which reduce their working
capacity, and provided also their annual income (in towns and villages
with a resident doctor) does not exceed 4500 krénur, plus 500 krén-
ur for every child under 15 years. A further condition is that thev do
not own property exceeding 10000 krénur in value.

In the event of sickness the societies give free medical attendance
and medicines (of which latter the patient has however to pay one-
fourth), free hospital treatment, and a cash payment amounting per day
to at least 50 aurar and at the highest to fwo-thirds of the patient's
daily earnings. This daily cash payment is, however, restricted io mem-
bers of-18 years and over, and obligatory onlv in cases where illness
involves loss of employment.

The government grant to the societies is 2 krénur a year for every
member in towns and villages with a resident doctor; 2.25 krénur
        <pb n="128" />
        114

everywhere else. Of hospital charges met by the societies one-fourth
is refunded by the government up to an amount not exceeding 75
aurar for each member,

Sickness insurance in Iceland is voluntary, and each society fixes
for itself the annual premium payable by its members, which must,
however, be so large as together with the State grant to be considered
sufficient by the government to meet the expenses against which the
members are insured.

So far only eight sickness benefit societies have been formed (all
n towns and villages) with a total membership numbering 3700.
SANITATION

The Head of the Medical Profession, the landlaknir (surgeon-gen-
eral), has the general care of all matters of public health.

The country is divided into 48 medical districts with as many go-
vernment-paid doctors; but there is besides them a number of medi-
cal practitioners and specialists, especially in Reykjavik. The public
medical officers, besides practising as ordinary physicians, which is
their chief occupation, are also required to safeguard general hygiene;
take steps for the prevention of epidemic diseases; and keep the land-
leeknir informed concerning the sanitary conditions. In almost every
parish there is a trained midwife who, as a rule, is also entrusted
vith the work of vaccination,

Though the development of hospital service in Iceland has been
very slow, several districts (and municipalities) have now small gene-
ral hospitals, partly maintained by the State; but so far a private in-
stitution in Reykjavik, owned by the Sisters of St. Joseph, has had
to do duty for a State-owned hospital; this want will, however, soon
be redressed, for the erection of a public hospital, equipped for gene-
ral complaints, will be completed this year (1930).

Of hospitals for special diseases there are the following, all in the
neighbourhood of Reykjavik:

A hospital for lepers (60 beds), built in 1898, and donated to Ice-
‘and by the Danish 1.O.O.F. Leprosy was formerly a very common
disease in Iceland, and in 1896 there were 236 patients, while at pre-
sent there are but 30—40; an Asylum for mentally unsound persons,
a State institution, built in 1907 and greatly extended in 1929 (130
beds); a sanatorium for tuberculous patients (150 beds), erected by a
private society in 1910 and taken over by the State in 1916. A law
of 1921 concerning tuberculosis provides free nursing for tuberculous
        <pb n="129" />
        115
patients at sanatoria, hospitals, and nursing homes for children, in
case the patients themselves or those on whom they are dependent are
too poor to defray the expenses. Under these circumstances the ex-
penses are borne by the treasury, to which, in consequence, the dis-
fricts and towns concerned have to contribute 2 krénur per every re-
sident, or a lump sum not exceeding two-thirds of the expenditure in-
curred by the State in connexion with the treatment in consumptive
hospitals of the patients they are liable for.

A sanatorium (60 beds) was built in northern Iceland in 1927, part-
ly for private means and partly at the expense of the State. In the
neighbourhood of Reykjavik a small convalescent home for tubercu-
‘ous patients (built by a private society) was opened in 1926.

The following table will show the State budget for tuberculosis un-
der the act of 1921:

1922 . 131 thousand krénur 1926 . 492 thousand krénur
i923 . 281 —_ -_ 1927 . 861 —- Ls
1924 , 332 it] —_ 1928 . 912 — —
19256 , 503 — —

HOUSING
The Great War brought a very large increase in the costs of build-
ing houses and a consequent diminution in output. Therefore the de-
mand for housing accommodation, especially in Reykjavik, where the
population rose rapidly through influx from outside, was confronted
with a complete lack of eupply of free dwellings. The municipal au-
thorities of Reykjavik had a few houses built as an emergency mea-
sure, which, howcver, failed to bring any noticeable relief. And as
Reykjavik was most severely affected by the housing shortage, a special
act was passed in 1917 prohibiting all unnecessary raising of rents.
Under this act, too, the right of giving notice was legally restricted, and
made subject to the legitimate interest of the landlord (personal re-
quirement) or offences committed by the tenant (arrears in payment of
rent, disturbances of peace, etc.). A rent committee was set up, to which
landlords and tenants might apply for rent fixation. The act remained
in force till 1926, but in spite of all these restrictive measures, rents
went on rising steadily, though not at the same rate as the building
costs, which for Reykjavik were estimated to have increased five-fold
by 1920 as compared with the prices ruling at the outbreak of the
war, whereas the average rent had but trebled or scarcely even
that. Thenceforward there has on the whole been a gradual de-
        <pb n="130" />
        16

crease in building expenses. The rent, however, went on soaring for
some time yet, till it reached a level which made the construction of
new dwellings completely economic, and this again has resulted in ex-
tensive building activity. As, however, the population of Reykjavik has
increased enormously since the outbreak of the war (it numbered 13000
in 1913; 26000 in 1929) it will probably be long before the housing
shortage there vanishes from the order of the day.

As the housing shortage increased, the economic utilization of accom-
modation became more and more imperative. Even outhouses and cellars,
which had never been intended for human habitation, were changed into
places of residence. All these dwellings were more or less unfit to live
in, and the same may be said of some of the houses which were run up
at the top of the market. For this reason an act was passed by Al-
thingi in 1929, forbidding the utilization of cellars for human habita-
tion in all towns and villages of 100 inhabitants and upwards, un-
less they come up to a certain prescribed standard (e. g. the floor
must not be more than 1 m. below the surface of the ground; all the
rooms must face sunward; belween a street and the rooms facing it
‘here must be a garden three metres broad af least; the rooms must
not be damp). The cellars lived in when the act became operative may
for the present be allowed as dwellings, though not fulfilling the above
requirements. But every year the worst of these dwellings are gradu-
ally to be weeded out and closed until they have all been abolished
in the course of the next 20 years.

To promote building operations in towns and villages, another act
was passed in 1929, dealing with the housing of the working classes.
Under this act building funds are to be established in such towns and
villages as suffer most acutely from the housing shortage. Every fund
so established enjoys an annual State subsidy of 1 kréna per every
‘ndividual and an equal grant from the respective municipality or parish
fund. These funds are permitted to raise loans guaranteed by the State
and the respective municipality or parish funds. The ‘building funds then
grant loans to building associations on cooperative principles, for the
purpose of constructing dwellings for their members. The loans which
are granted on 1. mortgage of the dwellings, may under special circum-
stances amount to 85% of their value, and are redeemable in 42
years (amortisation and interest 6 per cent.).
        <pb n="131" />
        11

TEMPERANCE AND PROHIBITION

Though distillation of spirits has for centuries been an unknown
industry in Iceland, large quantities of alcoholic beverages have been
imported from abroad, especially the so-called Danish Brandy, the use
of which so increased in course of time that a little after the middle
of the nineteenth century the annual per capita consumption amounted
to about 6 litres (a 50 per cent. alcohol, while that of wines did not
exceed 0.7 of a litre.

A few total abstinence societies were formed here in the early fifties,
but the salutary influence exerted by them was very slight indeed;
and a powerful agitation in favour of temperance was not begun till
1884 when the International Order of Good Templars (I. O. G. T.)
was introduced in Iceland. In the years immediately following, in-
terest in temperance quickly spread over the country; a number of
lodges sprang up, and a Grand Lodge was established in 1886; in
1897 there were 2000 good templars in the country; in 1907 their
number had risen to 6700, which corresponds to rather more than 8
per cent. of the then population. The society has powerfully influenced
drink legislation in Iceland and since 1893 it enjoys a State grant to
promote temperance.

With the exception of a tax on all imported wines and spirits which
was imposed in 1872 and often since made subject to repealed and
heavy increases, little was done by the legislature to encourage the ef-
forts for the sobriety of the people. But in 1888 a law was passed,
according to which special permission had to be obtained to sell in-
toxicants for consumption on the premises. Licences (valid for 5 years
at most) were granted by the government; but no application was
considered unless supported by the local electorate and approved, in
towns, by the town council and, in rural districts, by the parish and
district councils. In 1899 further restrictions were imposed, and the
granting of licences to retail alcoholic drinks was made subiect to the
decision of the local authorities (see above).

These legislative measures and the work done bythe Good Templar
Lodges effected a great improvement; the number of retail and inn-
keepers’ licences diminished steadilv, and about 1907 many districts
were quite ‘dry’.

Just after the commencement of the present century the L.O.G.T. be-
gan to devote its efforts fo securing total prohibition of the importa-
        <pb n="132" />
        118

tion and sale of alcoholic liquors. The idea gained many adherents,
and at the general election to Althingi in 1908 the government also
arranged for a vote on the question of prohibition. Of the three-fifths
of the electorate who voted at this election, 60 per cent. were in fa-
vour of prohibition. In view of this Althingi found it necessary to
deal with the question, and this resulted in the act of 1909, prohibit-
ing the importation of any kind of liquor containing more than 2:
volume per cent. of alcohol, with the exception of that destined for
medical, technical, and scientific uses. The prohibition law became
operative from the 1st of Jan. 1912, but a period of three years was al-
lowed for dealers to sell their stocks, and on the 31st of December
1915 all bar and retail licences expired.

At the time of, and during the next following years after, the intro-
duction of prohibition in Iceland, no difficulties were raised by the
wine-producing countries; but when Norway and Finland also intro-
duced prohibition, dissatisfaction was rife, and in 1921 Spain denounced
her commercial treaty with Denmark-Iceland, refusing to renew it un-
less Iceland allowed the importation of Spainish wines containing up
to 21 volume per cent. of alcohol. As Spain buys by far the greatest
part of Iceland's staple export commodity, the fish, a non-rénewal of
the treaty would have entailed very serious consequences, for the
duty on Icelandic fish exported to Spain would have been greatly
raised. The Icelandic government and Althingi found it therefore ad-
visable to yield to the demands of Spain, and in 1922 a law was
passed allowing the importation of wines of not more than 21 volume
per cent. of alcohol. With regard fo ardent spirits and beer with 21/4
per cent. alcohol or more, the prohibition law is still in force. By an
act of 1921 the importation and sale of liquors was placed under the
Afengisverzlun rikisins (see p. 79). A wine shop has been set up in
every town, where light wines (with less than 21 volume per cent. al-
cohol) are retailed, while stronger wines and spirits are obtainable at
chemist’s shops, but only as medicines prescribed by physicians.

When the prohibition law had been passed in 1909, temperance agi-
tation greatly abated. The 1.0.G.T. had gained its aim and caused Bac-
chus to be permanently banished from the country. There now seemed
nothing more for the society to do, and the membership decreased so
rapidly that in 1918 it had come down to 2600. But before long it
became apparent that in spite of plebiscite and prohibition, the , Drain-
age“ of the couniry was anything but complete. The quantities of li-
quor imported for medicinal purposes proved larger than had been
        <pb n="133" />
        19

expected and were steadily increasing. Steps had therefore to be taken
lo restrict the issue of prescriptions for alcohol. Smuggling, too, was
pretly extensively carried on. Add to this the exemption made in fa-
vour of light wines, and it becomes evident that there was still a wide
field of action for the promoters of temperance; the I.O.G.T. has re-
awakened to a fresh life and its membership is again on the increase.
        <pb n="134" />
        CHURCH AND RELIGION

From the first the Icelanders have been an almost homogeneous
people as regards church and religion, and religious controversies may
be said to be unknown in the country. Most of the colonists were
heathens who brought with them the ancient Scandinavian faith, the
Asatri, as it was called, while a few of those who came from the
western islands were Christians. But even as early as the colonization,
doubt in the old northern deities had begun to reveal itself, and in
the year 1000 Christianity was established as the official religion in
Iceland and accepted by the general public without the least blood-
shed. Lutheranism, when introduced in the 16th century, was not sub-
mitted te quite so peacefully; neither was it universally accepted by the
people until the last catholic bishop in Iceland, Jén Arason, had, with
two of his sons, been beheaded (1550). But the new faith, though
forced upon the Icelanders, gradually took deep root.

The Evangelical Lutheran Church is the Established Church of Ice-
land. There has, however, during the last fifty years been full reli-
gious liberty. Sectarian bodies are few and inconsiderable, the total
number of dissenters at the census of 1920 being 463, or !/2 per cent.
of the population. Of these, 204 did not belong to any religious deno-
minations. Only the Roman Catholics and the Adventists have formed
congregations; their ministers have received recognition by the govern-
ment, and thus acquired the right to solemnize marriages and perform
other clerical offices which are valid according to Icelandic law. Be-
sides these there were in 1920 three free (Lutheran) congregations in
the country, with a total of 7243 members, or some 8 per cent.
of the whole population. Though holding the same doctrines as the
Established Church, they have separated themselves from it; they are
entirely self-governing bodies, having their own churches and paving
        <pb n="135" />
        '21

their own ministers, who must be recognized by the government, The
free church congregation in Reykjavik is by far the largest of the three.

Iceland forms one bishopric with its see in Reykjavik. Besides the
bishop there are two vice-bishops, one for each of the two dioceses
into which the country was divided of old. The vice-bishops ordain
clergymen in the absence of the bishop proper, and one of them can
consecrate an entering bishop, in case the one retiring cannot himself
perform the ceremony. The office of a vice-bishop is an honorary of-
fice, held by a clergyman doing ordinary clerical work besides. The
country is divided into 20 deaneries, each presided over by a dean.
The number of livings is 106, some of them including more than two
parishes. The total number of parishes is 272. :

Candidates for the priesthood must now, as a rule, have taken s
theological degree at the university of Iceland. Clergymen are chosen
by a secret voting on the part of such of the parishioners as are of
age (21 years old) and of blameless reputation. At a parochial election,
where more than one-half of the parishioners have voted, the candi-
date who gets more than one-half of the votes cast is called duly
elected. If, on the other hand, none of the candidates polls the re-
quired number of votes, the government may disregard the election,
and appoint to the office any candidate recommended by the bishop.
Deans and vice-bishops are appointed by the government under the
advice "of the clergy of the deanery or diocese in question, while a
bishop is chosen in the following manner: All the clergymen and the
theological professors in the university propose three candidates each
for the office, and the one who receives the greatest number of votes
is elected, provided at least three-fifths of the votes cast are given for
him. In the event of none of them obtaining the required number, the
Ministry of Church Affairs shall appoint to the see the one of the
three who polls the greatest number of votes.

The clergymen are paid out of the Prestlaunasiédur (Clergymen’s
Salaries Fund) which is made up partly of the income derived from
Church Rates, i. e. 1.5 krénur payable by every parishioner of 15 years
and over; partly of rents paid by tenants of church estates; and part-
ly of the interest of the Church Estates Fund, that is, of the inter-
est on the money realized by the sale of church lands. In so far as
the Funds own receipts do not suffice to cover the annual expen-
diture, they are supplemented by a grant from the State, which in
1928 amounted to 247 000 krénur.

Everv parish has its congregational council, composed of 3 or 5 mem-
        <pb n="136" />
        199

bers, elected by the parishioners. There is, moreover, another council
consisting of all the clergymen of the deanery and a lay member for
each parish. These two councils manage the ecclesiastical affairs within
their respective parishes and deaneries.

The Icelandic Church has always been liberal in her views, even
the so-called orthodox branch of it; and Pietism and other extreme
movements have never been much in vogue there, while, on the other
hand, spiritualism and the new theology have many atherents among
the younger clergy.

Besides their clerical duties, clergymen are also charged with the
annual public registration; they have, moreover, to record, formally
and exactly, all births, deaths, and marriages, as the church registers
are the only official records of these events.
        <pb n="137" />
        EDUCATION

ELEMENTARY EDUCATION

Though Iceland is thinly populated and schools few and far be-
ween in many of the rural districts, elementary education has been
brought within the reach of even the poorest, and there is no grown-
up person, male or female, but has learned to read and write, unless
he (or she) is mentally defective. Under the Public Elementary Edu-
cation Act of 1907 (revised in 1926) attendance at shool was made
compulsory on children between the ages of fen and fourteen, while
parents and guardians are required to provide for the instruction of
their children and wards up to that age; for, unless they are men-
tally defective, they must have acquired a certain amount of proficiency
in reading and writing before they enter school. The local education
authorities may on application be permitted to extend the compulsion
to children between seven and ten years of age; and this has already
been done in a number of districts.

All children are thus under a statutory obligation io attend school
between the ages of ten and fourteen; but they do not, as a matter
of fact, all receive their instruction at the elementary schools, for ex-
emptions from aftendance may be allowed, provided the arangements
made for their teaching are recognized as being satisfactory; and,
besides, this act has never been rigorously enforced. The average at-
tendance at the elementary schools is seven or eight children per
hundred of population.

For purposes of elementary education the country is divided into
school districts, the number of which is somewhat lower than that of
the parishes (municipalities), though, as a rule, a parish (municipality)
constitutes a school district.

Local elementary education is under the control of a board of edu-
cation. consisting of five (or three) members, acting for a term of
        <pb n="138" />
        124

three years at a time, the chairman being appointed by the govern-
ment, while the rest is elected (in towns) by the town council and
(in the rural parts) by the inhabitants of the school district.

In towns .and villages and in various rural districts, ‘stationary*
schools have been established where children within the prescribed
age are required to be taught for a period of six months in the year.
Where stationary schools have not been established, either ‘movable’
schools have been provided in which every child between the ages of
ten and fourteen receives instruction for at least two months a year,
or a teacher must be engaged to look after the education given in
the homes within each educational area. In 1924—1925 62 districts
had provided stationary schools; 119 districts had movable schools,
where the teaching was imparted in some 300 different localities; and
in 12 districts teachers had been engaged for the purpose of superin-
tending the home-teaching. In some of the stationary schools the annual
period of instruction exceeds six months. In the movable schools
the same teacher ‘ambulates’ between two, three (or, rarely, four or
more) localities at different seasons of the year. :

The chief subjects taught at the elementary schools are: Icelandic
{including writing), Religion, Arithmetic, Geography, Natural History,
and (in the stationary schools) also History. The first three of these
are obligatory on almost every child during its whole attendance at
school, whereas the last three are obligatory only part of the time
attendance is required. Besides the obligatory subjects it is usual in
the stationary schools to give instruction in Singing, Gymnastics,
Drawing, Sloyd (boys), and Needlework (girls).

While elementary education is entirely free for all children of school
age, a low fee is charged in a few districts for those who are not
bound to attend. The expenditure is defrayed partly by the State,
partly by the parishes (municipalities), the former paying one-third of
the salaries to all the teachers at the town schools, and one-half of
the salaries to those engaged at any other elementary school, whether
‘stationary’ or ‘movable’, in which teaching is imparted for a period
of six months at least per annum. In addition to this the State pays
all allowances in respect of the increased cost of living as well as
periodic increments for vears of service.
        <pb n="139" />
        125

SECONDARY EDUCATION

In various parts of the country there are ‘Schools for Youths’ (ungl-
ingaskélar), providing courses of study and further instruction in the
subjects taught at the elementary schools. These schools are either
municipal or private, with one or iwo years’ courses and supported
by grants from the State. In addition there are outside the capital
several People’s Schools with two or three years’ courses, one of them
State-owned, the others being foundation schools enjoying treasury grants.
There are also two State-owned coeducational Secondary Schools, one in
Reykjavik (Menntaskéli), the other at Akureyri, both comprising two
divisions or departments: a lower division (gagnfradadeild) consist-
ing of three “one-year classes, and providing a common citizens’
education of a wider scope than that of the elementary school; and
a higher division or department (lzrdémsdeild), also based on a three
years’ course, and beginning where the former ends. In the Reykja-
vik school this division has (wo “lines” or “sides“: modern languages
and mathematics-science, various subjects being common for both sides.
The Akureyri school has only a modern language side. The curriculum
of the higher divisions provides instruction in: the Icelandic language
and literature, Danish, English, German, French, Latin, Study of the
Classics through translations (fornaldarfradi), Religion, History, Mathe-
matics, Physics, Chemistry, Natural Science, Astronomy, Singing and
Gymnastics. The final examination or stfidentspréf (examen artium)
entitles those who have passed it to matriculation at the university, —
There is also a number of special (technical) schools, most of which
provide general as well as professional (technical) instruction. State
schools of this kind are: the kennaraskéli or training college for
teachers at elementary schools, with a three years’ course; the nauti-
cal school with a to years’ course; a school for marine engineers
with a two years’ course; two agricultural schools with two years’
courses, and a training school for midwives (one year’s course). Other
schools largely supported by the State are: the evening technical schools
for artisan apprentices in various towns; 2 commercial schools. and
2 secondary schools for girls.

In most of the schools here mentioned the period of instruction is
26 to 30 weeks per annum, or even less in some of the Schools for
Youths; but for the Menntasksli the school year begins on the 1st of
October and ends on the 30th of June. During the summer months
(July —September, and in some schools, May— September) all teaching
        <pb n="140" />
        126

is suspended. These long vacations enable the scholars to earn, at
least in part, the wherewithal to pay for their schooling.
THE UNIVERSITY
Down to 1847 the Grammar School in Reykjavik was the highest
educational establishment in Iceland, while for professional studies the
university in Copenhagen was the usual resort. But as the instruction
at the Grammar School was given, partly at least, with a view to pre-
paring the scholars for ihe Church, those who had passed examen ar-
tium (stddentspréf) could be ordained. But in 1847 a theological se-
minary was established in Reykjavik, followed by a medical college in
1876, and a law school in 1908. Finally, in 1911 the University of
Iceland was founded, and dedicated on the 17th of June the same year,
the hundredth anniversary of the eminent statesman and scholar Jén
Sigur®sson. The university has four faculties, viz. Theology, Medicine,
Law, and Philosophy, representing Icelandic philology and history. The
university is a State institution under the management of a Rector,
elected by the joint teaching staff from among themselves for a term
of one year, and supported by the Academical Consistory, composed
of the deans of the faculties.

The academical year is counted from the 1st of October to the 15th of Fe-
bruary and from the 15th of February to 30th of June. There is no fixed
time for the duration of courses of studies, but the minimum for theology
is assumed to be 32 years, for law 4 years, and for medicine 5 years.
In many cases, however, the time exceeds the periods here given.

The degrees conferred by the university are ‘“kandidat’, candidate,
in the three first-named faculties (candidatus theologi®, candidatus
medicinz et chirurgie, candidatus juris), and meistari (magister artium)
in the faculty of philosophy. Doctor's degrees may also be obtained,
but it is rather rare, and only acquired by those graduates who go in
for a scientific career.

Those who desire to study other branches of science than those taught
at the university of Iceland must still go abroad. The majority of Ice-
landic students who visit foreign universities go to Denmark and Ger-
many, while others proceed to France. England, etc.

LIBRARIES

The National Library (Landsbékasafn Isiands), founded in 1818, is
the largest library in Iceland, containing some 124 thousand printed
volumes and about 8000 MSS. lis collection of books on chess, be-
        <pb n="141" />
        {27

queathed by the late American professor, Mr. Willard Fiske, is among
the largest of its kind in Europe. The Library is entitled to receive
two copies of every publication printed in Iceland.

Of other collections of books in Reykjavik, the library of the Mennta-
skéli, that of Althingi and the People’s Library should be mentioned.

Outside Reykjavik there are four Amf-libraries, one for each quar-
ter of the country; they are entitled to a copy each of every book (of
two sheets and over) printed in Iceland. Almost every district (sysla)
has its public library, and circulating libraries are to be found in the
parishes, some of them possessing considerable collections of books.

The National Record Office (Thjédskjalasafnid), founded in 1889,
contains all the archives of the central and local official administra-
tion, the various departments having, as a rule, to hand in their ma-
terial as soon as it is 20 years old. It, moreover, comprises a great
number of old letters, some written on parchment, as e.g. Repkjaholts-
maldagi (a detailed list of goods, furniture etc. belonging to the church
of Revykjaholt), the oldest portion of which was written as early as 1200.

MUSEUMS

The nucleus of the Jcelandic National Museum is Forngripasafnid
(Collection of Icelandic Antiquities), founded in 1863. As the museum
has the right of pre emption of such ancient Icelandic relics as are
not vet in the collection, they have been entered in a catalogue kept
in the museum. The curator of the National Museum has also the
care of all old remains and ruins wherever found in the country. Be-
sides antiquities the museum includes various other smaller collections,
as e. g. that of photographs of men and women, and an art collec-
tion, chiefly paintings.

Einar Jdnson’s Museum. The museum contains a cemplete collec-
tion of the Icelandic sculptor Jénson’s (b. 1874) works, a gift from
him to his country. It is housed in a separate building erected at the
expense of the State. The sculptor, who lives in the building on a
pension granted him by Althingi, is himself the curator of the museum.

The Natural History Museum (Néttidrugripasafnid) was founded in
1889 by the Icelandic Natural History Society under whose man-
agement it stands, though its expenses are partly defrayed by the State.
It contains mainly specimens of Icelandic animals (its largest collec-
tion), plants, and stones.
        <pb n="142" />
        OTHER SCIENTIFIC INSTITUTIONS

The Chemical Laboratory, founded in 1906, gives instruction in
analytical (applied) chemistry to the medical students during their first
year at the university. It also undertakes chemical analysis for those
who desire it. In connexion with the medical college there is, more-
over, a Bacteriological and Pathological-Anatomical Laboratory.

The Réntgen Institute which was founded in 1914; is furnished
with an up-to-date equipment. In connexion with this institute a
Radium -Fund has been established by private munificence, and Radium
bought for part of its means.

The Meteorological Institute in Reykjavik was established in 1920.
Up to that time the Danish Meteorological Institute had had climato-
logical stations in Iceland. The Meteorological Institute in Reykjavik
gathers information on the weather conditions in various parts of Ice-
land and from a number of foreign stations. Weather reports are then
wired to all the principal telegraph offices in the country where they
may be obtained as well as the weather forecasts (for 24 hours) which
are broadcast (in Icelandic, English and German) two or three times
daily by the Reykjavik Radio. The Institute also issues a monthly re-
port on the weather conditions in Iceland together with various other
facts devendent thereon.

INSTITUTIONS AND SOCIETIES FOR THE
PROMOTION OF SCIENCE AND CULTURE
Séttmélasjédur (The Union Fund) was established in 1918 (cp.
p. 39). It has for its chief aims: to bring about and encourage scien-
tific research work; to support the publication of learned works and
text-books for the university; to grant pecuniary aid to laboratories,
the museums and the university library; to give prizes to those Icelan-
ders who produce scientific works deemed worthy of that distinction;
to grant travellina bursaries to professors and graduates from the uni-
versity fo enable them to go abroad for scientific research work and
further study.

Menningarsjédur (The Promotion of Culture Fund) was created
under an act passed in 1928 for the promotion of science and gen-
eral culture in the land. The means of the fund are: the fines paid
for the infringement of the prohibition law, the proceeds of the sale
of illegally imported alcohol and the moneys realized by the sale of
ships confiscated for illicit trade in spirituous liquors. Its income is
        <pb n="143" />
        [29
divided into three equal parts to be employed as follows: one part
in defraying the expenses of the publication of a popular science
series and standard works of fiction, both Icelandic compositions and
translations of foreign works; one part in supporting the scientific
study of the nature of Iceland and in the publication of works dealing
with the natural history of the country; and one part in purchasing
works of art for the art collection, and in prizes to those who publish
drawings of buildings, house furniture and patterns for home industries
on national lines. The menningarsjéBur is administered by the Mennta-
malardd Islands (The Promotion of Culture Council) created under
an act of 1928, and comprising 5 members, all elected by Althingi
for a term of four years. Besides administering the Menningarsjé8ur
the Council has been. entrusted with various other duties, as e. g. the
superintendence of the art collection and the purchase of works of art;
the distribution of the art budget and scholarships to Icelandic students
at foreign universities, etc.

In 1928 an act was passed under which a broadcasting station is
to be opened at Reykjavik in the course of the present year (1930),
The station is owned and worked by the State, the expenses defrayed
from a tax on listeners’ receiving sets. The broadcasting service is
managed by a Radio Council {titvarpsrad) of five members, elected
for two years at a time; one (the chairman) being appointed by the
government; one by the university; one by the synod; one by the
association of the People’s School teachers, while the listeners’ socie-
ty, if numerous enough, has an advisory right in the election of the
fifth member. There is also a government-naid managing director. act-
ing as executive officer.

There are also a few societies in Iceland which work for the diffusion
of general culture and science; they enjoy a financial support from
the State, but are mainly dependent on subscriptions for their reve-
nues and must in consequence be founded on a broad basis. The
subscription rates are comparatively low and the number of subscri-
bers (many of whom are to be found among the common people) is
very large in proportion to the population. This shows that culture is
not the exclusive property of the educated class. but is in no small
degree shared by the general public.

The oldest of these societies is: Hid islenzka Békmenntafélag (The
Icelandic Literary Society), founded in 1816. Besides an annual, con-
taining short articles on various cultural questions. contributions to dis.
        <pb n="144" />
        "30

cussions etc, it publishes scientific and learned works, chiefly dealing
with Icelandic history and literature. — Hid islenzka Thjédvinatélag
(The Society of the Icelandic People’s Friends), founded in 1869, was
originally political, but soon began to devote itself to the publication of
a kind of popular science series. It also publishes two annuals contain-
ing articles on a variety of subjects. — HJ islenzka Fornleifatélag
(The Icelandic Archzological Society), founded 1879 for the collection
and preservation of Icelandic antiquities, issues a Year-Book dealing
with archaological matters. — Hi3 islenzka Nittirufradistélag (The
Icelandic Natural History Society), founded in 1889 for the purpose
of collecting objects of natural history, publishes an annual report. —
Séqufélagid (The Icelandic Historical Society), founded 1902, publishes
texts dealing with the history of Iceland from about 1500 onwards. —
Fornritafélag Islands (The Early Icelandic Text Society) was founded
in 1928 for the purpose of bringing out a standard edition of the old
Icelandic classics, complete in 32 volumes, the first of which is to ap-
pear this year or in 1931; thenceforward one or two vols will be
published every year.

There are other associations of a more exclusive character, as e. g.
Stiidentafélag Reykjavikur (The University Men's Union in Reykia-
vik), founded in 1871. The union has for a number of years arranged
for courses of popular lectures to be given both in and outside
the capital. —- Visindafélag [slendinga (Iceland's Scientific Society),
founded 1918 by the professors in the university and a few other men
of science, works for the advancement of learning and science by giv-
ing lectures and publishing books. Mention should also be made of:
Laknafélag [stands (the Icelandic Medical Society); Kennarafélag
fstands (The Teachers’ Association of Iceland); Prestafélag Islands
(The Association of Icelandic Clergymen); and Verkfrazdingafélag fs-
lands (The -Association of Civil Engineers), each publishing a profes-
sional periodical.

Listvinafélagid (The Lovers of Art Society), founded 1916, works for
the promotion of the fine arts by arranging art exhibitions.

For physical culture, comprising gymnastics, swimming, ski-running,
skating, football, wrestling, etc, a number of clubs and unions has
been organized in the country. Wrestling (glima) is purely Icelandic
and quite different from the Greco-Roman style. It requires a tre-
mendous amount of practice, and the chance of winning depends on
suppleness more than strength or weight. — All these clubs and unions
        <pb n="145" />
        131

are now under the control of a central authority, The Icelandic Sport-
ing Union (/préttasamband Islands), founded in 1912.
BOOKS, NEWSPAPERS, AND PERIODICALS

The art of printing reached Iceland about 1530, when Jén Arason
(the last catholic bishop in Iceland) had a press established at Hélar,
where the Breviarium Nidarosiense was printed in 1534. The press
was not, however, much used till some time after the Reformation, and
up to the middle of the nineteenth century there was, as a rule, only
one press in the country; but since that time their number has been
gradually increasing, and at present there are several presses both in
the capital and in some of the other towns.

In a country with about 106 000 inhabitants, book production can
hardly be expected to be a very lucrative trade; vet there are not
a few publishers in Iceland, and the annual number of books is-
sued on various subjects is quite large when compared with the num-
ber of population.

The first Icelandic newspaper appeared about the middle of last
century; it was a fortnightly, but was soon changed to a weekly. The
first daily paper, started in 1896, was soon discontinued, but another
began to appear in 1911 and is still published.

The majority of Icelandic newspapers represent different shades of
political opinion, and can therefore be grouped according to political
parties.”) Papers supporting the Independent party are: Morgunbladid
and Visir (dailies), fsafold og Vordur and Stormur (weeklies), all pub-
lished in Reykjavik; Islendingur (a weekly, Akureyri); Vesturland (a
weekly, Isafisrour); Hanir (a weekly, Seydisfjordur); Siglfirdingur (a
weekly, Siglufiérdur); Vidir (a weekly, Vestmannaeyjar). Progressive
or agrarian papers are: Timinn and Ingélfur (weeklies, Reykjavik);
Dagur (a weekly, Akureyri). Labour or socialist papers are: Althydu-
bladid (a daily with a weekly edition, Reykjavik); Verkamadurinn (a
weekly, Akureyri); Skutull (a weekly, [safjsrdur); Mjslnir (a weekly,
SiglufjorBur); Vikan (a weekly, Vestmannaeyjar); and Jafnadarmadur-
inn (a fortnightly, Nes). Légrétta (a weekly, Reykjavik); and Briin
(a weekly, HafnarfisrOur) do not belong to any of the political parties.

*) At present the party distribution (in Althingi) is as follows: the progressive or
agrarian party 20 members, the independent party (an amalgamation of moderate con-
servatives and liberals) 17, and the socialist or labour party 5.
        <pb n="146" />
        132

Of periodical publications (monthlies, quarterlies etc.) there is at
present quite a number, some literary and general; others represent-
ing special interests (commercial, fishing, farming a. s. 0.) or profes-
sions (theology, medicine etc.). The first periodical in Iceland appeared
in 1773 (a monthly\.
        <pb n="147" />
        LITERATURE

Icelandic Literature is in some respects unique in the world literature.
It is almost as old as the nation that created it and covers a longer
period than any other liferature in any modern European language.
It is recorded in a tongue which has changed so little from that spo-
ken by the settlers a millennium ago, that any child can understand the
oldest Icelandic writings almost as easily ay if they had been written
yesterday. It forms a connected whole where one thing arises out of
another as naturally as boughs, branches, and leaves spring from a
tree; and though in form more strict than other literatures, it has al-
ways been the property of the common people, who have made no
small contribution to it. It is strictly national, but at the same time it
is a ‘look-out hill® where all Teutonic nations must make a halt to
understand their own origin and character. — This literature, though
created by Europe’s most isolated and most northerly nation, Europe’s
smallest and sparsest nation, has nevertheless its significant voice in
‘he great world choir of letters.

Only a very brief sketch of the whole field has been attempted in
the following pages.

POETRY

The earliest kind of Icelandic literature is poetry. It had already
made some progress in Norway by the time the settlers emigrated
to Iceland; but in Iceland it soon reached a high and peculiar stage
of development, and has never died out during subsequent centuries.
Old-Icelandic poetry falls under two heads: the Eddic lays and the
Court poetry. The bulk of the Eddic lays are of uncertain age, but
it is generally supposed that most of what has been preserved, dates
from between 850 and 1050, and more particularly from the latter
        <pb n="148" />
        Jd

part of that period. In spite of a long and learned controversy it has
never been definitely settled which of these lays were composed in
Iceland and which may have originated in Norway or in the Norse
colonies “West of the Main“. But however this may be, it is certain
that they have been the exclusive property of the Icelanders as far
back as written records go and that they bear a close affinitv to other
Old-Icelandic poetical compositions.

These lays reflect the life of the Viking Age in its varied manifes-
tations. We are made acquainted with our forefathers’ conception of
the world, of this life, of life to come, of the fates of gods and men;
they show us their moral ideas and their philosophy of Life, their
character and their customs. In them are preserved old stories of the
gods and heroes, not only of the Scandinavian peoples, but of the
whole Teutonic race as well. They are composed in simple metres;
the language is vigorous; the sentences are short, the words expres.
sive and often pregnant with inspiration.

The Drétthvadi (Poems in Court-Metre) are for the most part com-
posed on kings, earls or other great men and their exploits, and were
one of the surest ways fo gain the favour of foreign princes. By way
of reward the poet was granted a place at court, some post of ho-
nour, gold and costly presents. It is therefore not altogether without
reason to say, as has sometimes been done, that court-poetry was an
Icelandic export article; for, from the second half of the tenth century
and down to the end of the thirteenth, all the court-poets, whose names
have come down to us, are of Icelandic birth. The poets praise the
kings, especially for their munificence and bravery in war; and in
enumerating their warlike expeditions, their drapas (drapur, Burden-
Lays) are often nothing but descriptions of battles and bloodshed. But
though not chary of his praises, the poet does not lack frankness either,
as shown by Sigvafr Thordarson (ca. 995—1045) who had the cour-
age to address to king Magniis Olafsson a very out-spoken admoni-
tory poem, giving him advice which the king thought it proper to fol-
low. Sometimes a poet who had fallen into disfavour with a king
would compose an encomium on him to save his own neck (hifud-
fausn, i. e. Head-Ransom). There are genealogical lays; funeral poems
or verses made on old stories of the gods, the occasion sometimes
being a picture of these painted on a shield (shield poems) or carved
on the walls of a hall for the sake of ornament. Lastly there are in
the eleventh century and later made drapas on Christ and the Saints,
besides a great number of occasional verses called forth by particular
        <pb n="149" />
        135

incidents. We thus find love-ditties, humorous verses, satires, lam-
poons, dream-songs, verses on travels and so on; but the highest le-
vel is reached in descriptions of sea-voyages. Indeed, the sea and sea-
faring have been the constant themes of Icelandic poets from the co-
lonization down to the present day, and some of these songs are
justly claimed to be among the very finest poems in our language.

Most of these poems were made in Court-metre or some variety
thereof. As an example of this kind of poetry the following verse by
Sigvatr mav here be given:

* 2 3 6 9
Kiétr vask opt, bas ati
7 8 10 11
ordigt vedr a figrdum

15 14 4 5
visa segl, 1 vdsi,

13 12 16
vindblasid skof Strinda;
17 19 18 20 21
hestr 60 kafs at kostum

22 23 24 25
(kilir ristu men Lista)

31 26 29 27
at pars eisa lérum

30 28 32 33
undan skeidr at sundi

I was often blithe e-
nough in the wet when
a stiff breeze swept the
Strinder Kings's sail in
the firths. The sea-steed
waded gallantly on. The
keels ploughed the sea.
when we made the galley
speed towards the Sound.

This stanza consists of eight lines of six syllables each. Every two
lines (each couplet) are connecled by alliteration (staverime). The al-
literative letters (here printed in blacker type) must, if consonanis, be
the same, but can, if vocals, be different. There are two riming syl-
lables in every line (here printed in Italics). The arrangement of words
and sentences is here more intricate than in daily speech, and in or-
der to understand this verse, the words must be rearranged as indi-
cated by the figures.

The poets employed a great number of synonyms (heiti) which were
never heard except in poetry, as e. g. “visi“ == king; and circum-
locutions (kenningar = lkennings), as “hestr kafs® = sea-horse, a
ship; “men Lista = the sea. These periphrases or circumlocutions
are often exiremely complex and make the poems difficult to under-
stand; but not infrequently they are genuine masterpieces of inspiration
and deep thought,

In the twelfth and thirteenth centuries a much greater stress than
heretofore is laid on the grouping of the different kinds of metre ac-
cording to strict rules. About 1223 Snorri Sturluson composed his
        <pb n="150" />
        136
“Héttatal* (Tale of Metres, Melre-List) on king Hikon Hakonarson
and earl Skili BarBarson. This is a poem consisting of 102 stanzas
each of which is different in metre or style from all the others. Again
in the fifteenth century Loptur Guttormsson (d. 1432), one of the
greatest chiefs of that century as well as the greatest poet of his
time, made his “Hirtalykill“ (Key to Metres) on his lady-love; it is
a love poem of 90 verses in as many different metres. Since then so
many keys to metres (Haittalyklar) have been composed at different
periods, that they number several scores. This shows among other
things that the interest in the variations of metre has at all times been
very keen in Iceland.

When the court poetry comes to an end at the close of the thir-
leenth century, the poets apply themselves with so much the greater
energy to composing drapas (encomia) on the heavenly court: The
Virgin Mary, the Apostles, and other holy men. A great number of
Saints’ lays was composed down to the Reformation (1550), and even
later, similar in metre and diction to the court poetry of old. The
most famous of these lays is the poem “Lilja“ (The Lily) by the
greatest poet of the fourteenth century, Brother Epsteinn Asgrimsson,
some time officialis at Helgafell (d. 1361). It is a perfectly finished
poem of one hundred stanzas in an elaborate metre, and so full of
beauty and poetic inspiration that, “all bards would fain have sung
the Lily“. The themes of the poem are in brief as follows: The cre-
ation of the world and of man; the fall of man; the birth of Christ;
his teachings and miracles; his death on the cross; his resurrection
and ascension; and the last judgment; but at the same time the poem is
a song of praise to the Holy Virgin. The second best poet in this field,
and equally famous for his secular poetry, was Jon Arason, the last
catholic bishop in Iceland, a national hero and the greatest man of
his age. He was put to death in 1550.

In the latter part of the fourteenth century there arises a new
school of poetry, the so-called rimur, of which there is a continual
succession down to our own days. They are epic narrative poems and
have at first probably been sung and danced to as the dance-songs
(a kind of ballads) which are mentioned in the Sagas before the days
of the rimur and of which there are now extant but the merest frag-
ments. The rimur of which several hundred cycles have been com-
posed, are based on mythical or heroic tales, the Icelandic Sagas, or
most frequently, on translations or imitations of chivalric romances
and stories of adventure. As a general rule the rimur follow the tale
        <pb n="151" />
        137

pretty closely. The tale selected for conversion into this metrical form,
's almost without exception divided into several sections each of which
is worked into a separate rima (or fytte). Almost every rima begins.
with a certain number of introductory lines (a kind of exordium),
called “man-séngur® or maid-song, as the theme is in most cases
either love, a lady, or the poet's own private affairs. Kennings or
circumlocutions are extensively used after the style of the old scaldic
verse, but not always with as clear an understanding of their original
meaning. In the evening the rimur were sung century after century
in the homes of rich and poor alike, and have thus helped the people
to understand the ancient lays. The rimur chants are among the most
characteristic musical compositions produced in Iceland.

The usual number of lines in a rimur-stanza is four, but some-
limes only three or even two; they end in a rime of one syllable (or
more’, internal rimes are not infrequent, and alliteration after the
manner of the court-poetry. By varying the number and length of the
lines, and by shifting the position of the riming syllables, a great
variety was obtained, and the number of metres increased to an in-
credible extent. Scholars have recorded as many as 2267 metres. To
such a length was this artificial riming carried that the poets composed
even whole sets of rimur in such a way that every stanza could be
read, word for word, backward and forward without the least injury
to either thought, diction, alliteration or rime-syliables, as the follow-
ing quatrain will make clear:

Grundar déma, hvergi hann
hallar réttu méli,

stundar séma, aldrei ann
Srqu pretta tali.
This metre is called sléttubénd (= palindrome). By changing the
order of words and sentences we obtain four variations of this stanza,
sach of which can be read backward and forward, so that in reality
here are eight variations, all metrically correct and in natural style.
Now, by placing the commas in the first and third lines after ‘hvergi
ind ‘aldrei’ respectively, this verse is changed into a libellous ditty.
There are even instances of palindromes that may be changed in nine-
ty six different ways. Such playing upon words may seem useless and
excessive, but it shows the importance attached to the form, the metre,
by the Icelanders who have made of it an art for art’s sake, a pro-
ylem on which to exercise their ingenuity. In this way the language
has. in an ever increasing degree, been attuned to the most elaborate
        <pb n="152" />
        138

metres, and a long practice has enabled the Icelanders to detect at once
the least flaw in the alliteration and assonance of verse. Indeed, most
Icelanders may be said to have at one time or other of their life turned
a rima-verse as neatly as a Welshman an “englyn“; for the art of
verse-making is at present as high in reputation among the Icelanders
as ever. The greatest Icelandic poet now living, Mr. Einar Benedikts-
son, has rendered homage to the rima by composing one himself (a-
bout 160 stanzas) in the most intricate rima-metre (sléttubdnd, palin-
drome). And though the more complicated metrical forms have for the
second-rate poet proved so difficult to handle as sometimes to neces-
sitate the sacrifice of both thought and natural sequence of words,
it is none ihe less true that much of the finest and most vigorous
poetry in our language is composed in elaborate metres. — The forms
based on the old metrical rules have always been faithfully adhered
to, though foreign influences have now and then for a short space of
time dulled the ear and tempted to easier metre and a less polished
rime. This was the case with the Danish ballads introduced into Ice-
land in the fourteenth and fifteenth centuries. They were slipshod trans-
lations, which enjoyed some popularity for a time, but soon receded
into oblivion. The same fate awaited the Lutheran hymns (of foreign
origin) with which the country was flooded during, and some time
after, the Reformation. They were poor translations marred by ex-
tremely faulty rimes, though the metres themselves were for the most
part new and good. The national tendency soon asserted itself; the
hymns were gradually recast, and bishop Gudbrandur Thorliksson
(1542--1627), the great champion of Lutheranism in Iceland, even
went so far as to have certain portions of the Bible turned into met-
rical form (rimur) so as to make them current coin among the people.
But native hymns which soon arose, though poor enough at first, gra-
dually developed considerably, and reached their highest level in the
Passion-Hymns of the Rev. Hallgrimur Pétursson (1614— 1674) who
with his intensity of feeling, his inexhaustible wealth of imagery and
wise thought is by far the greatest religious poet Iceland ever
produced. But he is also great in his secular poetry, much of which
still lives on the lips of the people. His Passion-Hymns went into their
forty-sixth edition on the two hundred and fiftieth anniversary of the
poet's death. Every year, almost down to the present day, these hymns
have been sung at family worship in every Icelandic home, and have
thus been to the people an ever-flowing fountain of faith and wise
thoughts.
        <pb n="153" />
        139

Another great poet of the seventeenth century is Dean Stefin Ol-
afsson (1620—1688), a very prolific writer of poetry, both religious
and secular. Dean Stefan is a confirmed realist, and describes humble
life in all its forms, sometimes in a bitter vein; vet he is not lacking
in tender feeling. He employs a variety of metres, some of them very
elaborate.

Eighteenth century poets. Lawman Pall Jénsson Vidalin (1667-—
1727) wrote a number of single verses, remarkable for their sweet-
ness of flow and clear thought. Dean Gunnar Pilsson (1714—1768),
a man of vast erudition in antiquarian lore, is a genuine Icelan-
der both in thought and expression. Eggert Olafsson (1726—1768),
the great naturalist and pioneer of culture, studied abroad where he
acquired a great variety and amount of learning. His sincere patriotism
and desire to instruct his countrymen and show them the right way in
everything are apparent in all his poems, which, though remarkably
good for those days and sometimes reaching a high level, seem to
readers of our day more illustrative of the author's keen intellect and
profound learning than of any great poelical power.

In the nineteenth and twentieth centuries Iceland has produced
many first-class poets who have in the main followed the old traditions,
though with a wider range of subject and a greater variety of form.
Their poetry is on the whole intensely national in spirit, showing in
the first place the Icelander’s fondness for history, and secondly that
our history is for the most part biographical. Many of the noblest and
most beautiful poems in our language, from Egill Skallagrimsson’s
‘Sonatorrek® onward, are funeral dirges, composed in commemoration
of dead friends, and due to a need to understand and explain their
character, to show their attitude to the work and struggle of the na-
tion, and thus, as it were, to carve their names in marble. Funeral
poems have been made on persons in every walk of life, men and
women, young and old, and there is hardly an Icelandic poet who
has not tried his hand at this kind of poetry.

This period is also remarkable for no small number of poems on
famous men of the past, and on great events in our history past and
present. On the other hand, if we except the rimur, only two of our
sagas have been worked info metrical form, neither poem being of
any great merit. This might seem strange, but the reason is obvious:
to most Icelanders it would seem a lost endeavour fo weave into nar-
rative verse the events which have received an imperishable form in
        <pb n="154" />
        [40

the sagas themselves; that would be like recarving a perfect statuary

in order to produce something more than perfect.

The historical bent is also seen in our patriotic poetry, in which the
nineteenth century is particularly rich. Almost every poem on Iceland
teems with reflections on her history, sometimes expressing regret for
lost renown, sometimes predicting a bright future yet in store for the
nation. Even in poems picturing Icelandic scenery the historical ele-
ment is present, and the reason is not far to seek: almost every lo-
cal name has its history, every farm has been the scene of events
preserved in fradition and saga, so that the mind is unconscious-
ly attracted to the past as much as to the present. But these are not
the only themes our poets work on; they produce humorous verses,
satires, elegies, philosophical poems, and stanzas on all the workings
of the human heart; they present us with pictures of every phase of
Icelandic life, of the farmer with his scythe, and the shepherd with
his flock; of the sailor in his boat, and of travels across hill and
dale; there are poems on the weather, on the seasons, on our flora
and fauna. In this connexion one kind of Icelandic poetry may be
mentioned which can scarcely be paralleled in other literatures, viz.
the Pony Verses. The pony is the most useful servant of the Icelander,
and without the services of this excellent animal the country would have
been uninhabitable. Many an Icelandic steed has therefore had a fune-
ral poem which a prince might envy; and a selection of the best of
‘his poetry would fill a bulky volume. In a word, any and every in-
cident may call forth a poem, for making ditties has always been a
popular sport among the Icelanders, and some of our best poets have
been men in humble life.

During this period many foreign metres have been adopted in addi-
tion to the court and rimur metres which are stil as much in vogue
as ever, But the foreign metres have been changed so as to bring
them into accordance with Icelandic metrical rules, retaining the allitera-
tion, rime-syllables, etc.

I shall now proceed to mention the principal poets of this era.

The Rev. Jon Thorliksson (1743 —1819) partly belongs to the eigh-
teenth century; but with his translations of foreign works, e. g. Mil-
ton’s Paradise Lost, Kiopstock’s Messias, Pope’s Essay on Man, a.s.o0.,
he has had great influence on the poets who came after him. He is
also the author of hymns, occasional poems and witty verses which
to this day live on the lips of the people.

Bjarni Thorarensen {1786—1845) governor {amtmadur) wrote mostly
        <pb n="155" />
        141

occasional poetry. His poems were not published in book form till
after his death. Thorarensen seldom employs intricate metres, but his
best poems are replete with inspiration, profound wisdom. and weird
power akin to that of Eddic lays.

Sveinbjérn Egilsson, D.D. (1791—1852) head-master of the Grammar
School in Reykjavik, a renowned classical scholar, wrote some very
good poetry, though not of the highest order. But his brilliant prose
translations of Homer are of an unsurpassable beauty of style.

Hjslmar Jénsson (Bélu-Hjilmar) (1796—1875) is a remarkable ex-
ample of a great poetical talent, which even the worst fate cannot quell.
Born and bred in utter poverty and living for many years as a
farmer unpopular and misunderstood by his neighbours, he yet ma-
naged to acquire considerable culture; and his poetical genius, his com-
mand of language, and his stern and steely temper are such, that his
poems, which to a great extent consist of satirical verses and com-
plaints of his hard fate, are among the most powerful poetical com-
positions in our language.

Sigurdur Breidfiord (1798—1846), was another peasant bard whose
life was no bed of roses. He learned fo be cooper in Copenhagen
and followed that trade in Greenland for some time, but never settled
down permanently anywhere. Breidfjord was our greatest writer of
vimur, and, though sometimes a careless worker, many of his rimur
are really good. He has also written a great number of poems and
ditties remarkable for their sweetness and beauty, especially the pieces
descriptive of his country’s nature, which are inspired by a pure, ten-
der and almost child-like delight in natural scenery.

Jénas Hallgrimsson (1807 —1845), naturalist, is perhaps the most
popular and most influential of Icelandic poets of the nineteenth cen-
tury. This is due to his deep appreciation of the grandeur and beauty
of Icelandic scenery, his sincere patriotism. his tenderness of touch
and unrivalled beauty of language.

Grimur Thomsen (1820—1896) Ph.D., was for a number of years
in the Danish foreign office and diplomacy, but during the last thirty
years of his life he lived in Iceland, as a farmer at BessastaBir. In
spite of his cosmopolitan culture he was an Icelander to the core, both
in thought and expression, .and in his poetry he has given us power-
ful and vivid pictures of persons and events. drawn from our sagas
and tales.

Benedikt Gréndal (1826—1907), son of Sveinbjérn Eagilsson, was
a versatile writer, a man of brilliant parts, and a fertile but unre-
        <pb n="156" />
        42

strained imagination; extensively read, witty, and profoundly influenced
by foreign romanticists. But though much of what he wrote is second-
rate, there are not a few passages full of poetic fire, and some of his
'vrics are among the most finished in the language.

Pall Olafsson (1827—1905) a farmer. Of our peasant bards he is
the greatest artist in rime. His touch is light, lyrical; but he can also
be witty and at times bitter. Many of his improvisations were caught
up by the people as soon as they came from the author’s lips, and
spread far and wide over the country.

Steingrimur Thorsteinsson (1831--1913), some time head-master of
the Grammar School in Reykjavik, a classical scholar and a man of
learning and culture, is the author of many beautiful and touching
patriotic songs. He has given us noble pictures of Icelandic scenery
and rural life, poems on the philosophy of life, and a number of epi-
grams. He has also translated many foreign works, e. g. the Arabian
Nights, Andersen’s Fairy Tales, Shakespeare’s King Lear, Byron's
Mazeppa, The Prisoner of Chillon and many of his shorter poems,
Sesides a variety of lyrical pieces by different other authors.

The Rev. Matthias Jochumsson 1835 —1920 , Iceland's greatest poet for
half a century, lived for the last twenty years of his life on a literary
pension granted him by Althingi. He was honorary citizen of Ak-
ureyri (where he lived) and D. D. honoris causa at the university
of Reykjavik. Jochumsson is a voluminous writer of poetry, and
‘hough it is not all equally good, his genius when at its best is truly
wonderful and prophetic. His funeral poems are the greatest in our
language, and by his profound understanding of our history and his
rare gift of sympathy he can embrace and re-creale the most diverse

characters. To our religious poetry he has also contributed some of
its noblest and loftiest hymns. At his magical touch all distinction be-
fween the centuries .disappears, and he is in an equal degree Iceland's
most ancient and most modern poet. Of his many translations these
may be mentioned: four plays by Shakespeare, Byron’s Manfred,
Tegner’s Fridthjofs Saga, Ibsen's Brand, and a great number of short
soems by different authors, English, German and Scandinavian.

Stephan G. Stephansson (1853—1927) is among the most peculiar
phenomena in Icelandic literature. The son of a poor farmer and brought
up on a remote farm in Iceland, he never went to school, and, when
about twenty years of age, emigrated to America, where he three
limes took land for cultivation and always lived the strenuous life of
he settler. Yet his native culture stood him in such good stead
        <pb n="157" />
        143

that he, as it were, broke new ground in the realm of Icelandic
poetry. In vigorous Icelandic he depicts American life and scenery,
His poems contain meditations on many of the deepest questions of
modern life, — his latest achievement being a long poem on the Great
War —, and show an inexhaustible wealth of generous thought and
acute observation. His poems have now been published in five big
volumes. There is luxuriance and force in his style, and though his
diction may sometimes lack clearness and ease, yet the majority of
his works bears the hall-mark of a great poetical genius. In 1917 he
was invited to Iceland, and everywhere received with the greatest en-
thusiasm.

Thorsteinn Erlingsson (1858 —1914), studied at the university of
Copenhagen, which, however, he left without taking his degree. He
was for a time the editor of a newspaper, and then went in for teach-
ing English. Erlingsson first attracted attention with a few poems sa-
vouring of freethinking and socialism. He combines an almost un-
equalled mastery of words and ryithms, is witty, telling, and at times
bitter in his satire. But his lyre has also tender strings, and his simple
and heartfelt pieces in the old rimur-metre are the finest of their
kind in our literature.

Hannes Hafstein (1861 —1922), a lawyer and Minister of Iceland for
a number of years, began to write verse at a comparatively early age,
and most of his poetical work had been done before he was past his
prime. His poems are refreshing like the sea breeze, some giving
expression to his pleasure in rural scenery; others are full of the vi-
gour of youth, its fun and frolic; there are love-voems and verses on
conviviality; patriotic poems where he strikes a serious note; noble
commemorative pieces, and touching elegies.

Einar Benediktsson (1864—) a lawyer, was for a time the editor of
a newspaper; practised at the bar for a few years and then obtained
the post of a district judge. But for the last fwenty two years he has
mostly lived abroad. Benediktsson has published four volumes of
soetry besides a masterly translation of Ibsen's Peer Gynt. He now
ranks first among living Icelandic poets, and has extended the realm
of Icelandic. poetry more than any one else. He is the Viking who
on his raids and expeditions in many lands has boldly captured
tew and grand themes to sing. In his poems on such world-cities
as Rome and London, his descriptions are so vivid that the rea-
der sees these gigantic towns rise before his mind's eye in all
their majestic beauty and grandeur, with glimpses into their past and
        <pb n="158" />
        [44

future. He can depict with equal happiness the stir and bustle of the
great ship-yard and the graceful motion of the Spanish danseuse, the
orchestra of the concert hall and the racing speed of the clean-built
boat at a regatta. His descriptions of scenery, whether foreign or Ice-
landic, and his portraitures of men are instinct with individual life
and vigour. Every natural phenomenon, — the Echo, the Fata Mor-
gana, the Snow, the Polar lce — all receive a deeper meaning. Bene-
diktsson’s language is trenchant, his style imposing and stately, Had
he written in the language of a great nation and not in that of the
old Thor and Odin, he would certainly by this time be a world-fa-
mous poet,

Of religious poets of the nineteenth century the Rew. Valdimar
Briem (1848—), D.D. honoris causa at the university of Reykjavik,
and Vice-bishop of Skalholt diocese since 1909, must especially be
mentioned here. Besides his “Bibliuljé3“ (portions of the Bible worked
into metrical form) in two big volumes and some other smaller works,
he has given us a number of hymns, many of which are among the
most cherished of those contained in the hvmnal of the Established
Church of Iceland.

[ cannot within the space allowed me here mention all the younger
poets who are worthy of being mentioned. A few names must suffice
to show that Icelandic poetry is still flourishing and exuberant: Bjarni
Jénsson fra Vogi (7 1927); Thorsteinn Gislason; Gudm. Fridjénsson;
Gudm. Gudmundsson {7 1919); Sigfis Bléndal; Gum. Magnéisson
(t 1918); Jénas Gubdlaugsson (7 1916); SigurBur SigurDsson fra Arn-
arholti; Jakob Thorarensen; Stefan fra Huvitadal; Jakob Jéh. Smari;
David Stefdnsson frd Fagraskégi; Jén Magniisson; and Jéhannes ir
Kétlum. — Mrs. Olof Sigurdardéttir; Mrs. Th. Thoroddsen; the sisters
Miss Olina and Mrs. Herds Andrésdetur; and Mrs. Unnur Bjarklind
(Pseudonym Hulda), have all earned considerable reputation for their
poetry, and more especiallv for having revived and polished the old
rhapsodies.

Of Icelandic-American poets the following may be mentioned:
Kristinn Stefansson (1856—1916); Jéhann Magnis Bjarnason; Kristj-
in N. Jdlius; Guttormur J. Guitormsson; Porsteinn b. Porsteinsson;
Einar P. J6nsson; and Mrs. Jakobina Johnson.
PROSE
The most original literary achievements of the Icelanders are the
Sagas, the earliest written monuments of which date from about 1130;
        <pb n="159" />
        145

but in order to understand and explain this phenomenon, it is neces-
sary fo take a brief survey of the origin and character of the Ice-
landic people.

Iceland was colonized by the strong Norwegian race, and many of
the settlers were of high birth and independent spirit. They were men
of a wide horizon, had seen much of other lands, and, occupying an
uninhabited country, were hampered with no laws but those which the
natural conditions of the land, their own intellect, will and energy
prescribed. In 930 they founded an aristocratic republic with an or-
ganization in many respects unique and their own. Seventy years later
Christianity was established by law as the religion of the country. The
government of the church was, however, in many ways different from
that adopted in other catholic countries. In all their work there is a
creative force, which stamps it as their own. They had inherited such
culture as Norway had to offer and carried it with them to their new
home, where it blossomed forth into a new and original growth. The
old lore, preserved in tradition, saga, and poetry of times past, was
to them more valuable than gold, for in their view fame was the only
immortal thing: I know one thing alone that never dies: a dead
man’s fame.

And there were many things worthy of being remembered: The
old country which they had left with all that it held dear to them:
Their homesteads (68ul), their kinsmen and their friends. These re-
collections ever gained in force and fullness from the continual go-
ings abroad of the settlers, either fo see their friends and kindred, to
take possession when they fell heirs to properties, or to procure some
necessaries which were unobtainable in Iceland, or to seek wealth
and renown at the courts of kings. The family feeling was strong, the
family a kind of mutual insurance association, and kinsman avenged
kinsman, or took weregild for him, etc. A man’s position in the com-
munity depended in no small degree on the offensive and defensive
power of the family to which he belonged, and as most of the Ice-
landers were of high birth, it must naturally have been a source of
pride to them to recall and recount the names of their forefathers and
kinsmen both in Norway and Iceland. The spirit of rivalry among the
families made them keen to detect the characteristics and individual
qualities of persons, and by letting their thoughts roam between the
old country and the new one and over the events taking place in both,
their minds were kept awake and fertile. And, indeed, there was much,
worth remembering: the departure of the settlers from Norway, their

10
        <pb n="160" />
        [46

voyage to Iceland, the colonization of that country together with all
that happened there while the young nation was seitling down. Those
were stirring times, particularly the tenth century, the so-called Saga
Age, when most of the events, related in the Icelandic sagas (/slend-
inga sbgur) look place. Quarrels and skirmishes, manslaughter and
blood feuds were of almost daily occurrence, for the colonists were a
strong-willed, hardy, enterprising breed of men, who would brook
molestation or encroachment of no kind whatsoever, either in word
or deed, and would take terrible vengeance on those who offended
them. Stories of these events were in the first place told in the fa-
milies which were involved in them, but they doubtless had a wider
circulation, for the general assembly for the whole country (Althingi),
established in 930, was not only a meeting for the transaction of
legislative or judicial business, but an intellectual centre as well.
Every year all men of means and prominence from all over the coun-
try would go to Althingi, for all important matters were settled there.
Here was therefore an excellent place for the exchange of the latest
news. Newly returned travellers would naturally come to Althingi
and there relate their news from foreign parts. Here, then, was
a rare opportunity for the poet who was collecting materials for the
poem he was composing on the king he meant to visit when going
abroad. And so far did the Icelandic bards roam in those days, that
it does not sound strange at all when one of them says:

Lit ek of éxl til Kritar, i. e. ‘I look over my shoulder to Crete’.

Many of these scalds remained for years with foreign kings and
princes, not only in the Scandinavian countries, but also in the Ork-
neys, in Scotland, England, and Ireland; they even travelled as far as
Normandy, Rome, and Constantinople. And their poems would in due
time be carried back to Iceland and preserved there together with the
stories on which they were founded. Thus there were two main streams
into which this historical literature divided itself; on the one hand
there were the stories of events taking place in Iceland, on the other
those related about events happening in Scandinavia and other coun-
tries visited by the Icelanders.

During the greater part of the eleventh and twelfth centuries the
country was peaceful. The ascendancy of the church was growing,
though as yet gradually, but the church was national in its policy, for
the sons of many leading Icelanders took interest in learning and
scholarship and even studied sufficiently to be ordained as priests. In
the latter half, and towards the end, of the eleventh century, we hear
        <pb n="161" />
        147

of men who are termed learned (frédir); they are the men who
gathered together the traditions of the past; they collected genealogies
and stories of events in by-gone times and probably worked them
into more or less connected series, and were, most likely, the sources
of the saga writers.

The first matter that was reduced to writing in Icelandic was the
old laws of the country; this was done during the winter 1117—1118,
and soon after that were penned the genealogies which constitute one
of the chief elements of the written saga now about to take its rise.
Sazmundur the priest (the learned = fr6di) who had studied in Paris,
wrote an historical work in Latin, now lost. — Ari Thorgilsson the
learned (hinn fédi, 1067—1148) was the first man to write history
in the vernacular. This was the famous [slendingabék or Book of Ice-
landers. Of this booklet he made two recensions, the second and
shorter of which has come down to posterity. In this second recension
he has, he says, omitted, genealogies and Lives of Kings, which pro-
bably means a list of the kings of Norway down to his own time to-
gether with their regnal years and perhaps short sketches of their
lives. fslendingabék is a short history of Iceland from its colonization
in 874 down to 1120. It is a history of the Icelandic commonwealth
and church, briefly told, indeed, but in a lucid and vigorous language.
Ari’s method is strictly scientific: he relates nothing that may not be
considered as fully reliable, and gives his authorities for almost every
statement. Ari's book, therefore, became the great pattern for later
Icelandic history writers, to whom he points the way in the fol-
lowing words: ‘And as to whatever be misstated in this history, it is
right to hold rather that which shall be proved more true’. — Pro-
fessor Sig. Nordal has well described the development of historical
writing in Iceland as follows: ‘At first it combines a strictly scientific
method with simpleness and purity of style. But gradually it has to
yield more and more to the demands of the art of popular story-tell-
ing both in point of entertainment and artistic delineation of character.
In the clash and combination of these two tendencies historical writing
reaches its highest level. But then the informatory and entertaining
elements become more and more divergent, and soon decline sets in‘.

Aris work opened, as it were, the sluice-gates of historical writ-
ing which now pours forth with incredible force during the latter part
of the twelfth and the whole of the thirteenth century in two main cur-
rents, one relating stories of events which had occurred in Iceland,
the other those taking place abroad. In the great number of sagas,
        <pb n="162" />
        148
grouped under the name of ‘fslendinga ségur (Icelandic Sagas), the
action, as already mentioned, takes place in the tenth century and the
beginning of the eleventh. The last of these sagas, however, the
‘Bandamanna saga‘ (the Story of the Banded Men) is an exceplion in
so far as the events, it relates, took place about the middle of that
century. As the names of the sagas: Egils saga elc, imply, they are
mostly biographies of single persons where the fortunes of the hero,
from cradle to grave, are carefully recorded; but some of them are
much more comprehensive and give not only the saga of the family,
for several generations, but that of the whole district as well. Most of
the sagas relate to the north and west of Iceland; there are a few
short stories dealing with events in the eastern districts, and only two
have their plots laid in the south. But complemental to the sagas and
serving as a standard by which to test their reliability, stands that fa-
mous compilation, called the ‘Landnimabdék’ (Book of Settlement or
Land-take) which, quite unique of its kind and furnishing a detailed
account of the colonization of the country, gives the names of most
(if not all) the settlers with their genealogies and much historical mat-
ter besides. To the same period as the sagas proper belong a number
of short stories (Thaettir) of Icelanders, both poets, heroes, merchant
mariners, men out of the common a. s. 0. They are a kind of snap-
shots, taken of them while abroad with kings or great men, and show
in a masterly way not only the magnanimity and firmness characteriz-
ing our countrymen in those far-off days, their sagacity, daring and
recklessly emulative spirits, but also the culture of the age.

The Icelandic sagas are justly famous for their great literary merits:
their style, at once stately and homely, abounds in short pithy sen-
tences; every thought is expressed, every event related in the most suit-
able language; the author’s firm grip of things and his keen eye for
the individuality of his characters come by their own; there is in most
of the sagas a strong undercurrent of fate, sometimes faintly present
even in the opening chapters where the descent of the persons is
traced, and sometimes appearing in dreams, darkly foreshadowing the
whole course of events; we are struck with the noble tranquility of
the author, his moderation and sober impartiality; always remaining
behind the scene he lets his persons appear in words and deeds, as
on a stage, each with his own particular mode of expression, his tricks
of manner, his garb even. Nowhere is silence more eloquent, nowhere
such vistas opened up between the lines as in the Icelandic sagas.
        <pb n="163" />
        149

They show a mastery of the art of story-telling such as has perhaps
never since been equalled in any literature till the nineteenth century.

A separate saga (Kristni saga) was written about the introduction
of Christianity in Iceland and the formal acceptance of that religion
by the community, and another (Hungurvaka) relating the career of
the first five bishops who held the see of Skalholt. Hungurvaka and
Kristni saga are continued by separate sagas of some of the leading
bishops, two of which, both of considerable historical interest, date from
the fourteenth century. ‘The Lives of the Bishops‘ are veritable mines
of information, and for about two-thirds of the eleventh century they
are our chief authorities for the civil history of the country. From the
first quarter of the twelfth century onwards, almost to the close of
the thirteenth, we have a steadily increasing saga literature dealing
with secular chiefs and extending from 1117—1284. These sagas are
preserved in the great composite work known by the title of Sturl-
ungasaga or the history of the Sturlungs, written by different authors,
but the main part of it is the work of Sturla Thérdarson (1214—
1284), Smorri Sturluson’s nephew, and is called the /slendingasaga.
It is the general history of Iceland during Sturla’s own time, where
special prominence is given to the saga of the author's own family,
the Sturlungs, and it furnishes an admirable description of Icelandic
life and manners during this troubled period, when the factions of the
godar (chiefs) and their unremitting contentions for power exceeded
all bounds and ultimately led to the fall of the Icelandic republic. The
{slendingasaga is written with the utmost minuteness of detail and
such impartiality that the compiler of the Sturlunga says of Sturla:
‘and we trust him both as regards wisdom and frankness to tell the
story (truthfully), for we knew him to be the wisest and most mode-
rate of men’.

Now, turning to the other main branch of our historical literature,
Ari, as already stated, was the first man who wrote in Icelandic a
work on the kings of Norway. Others took up his work, and at first
stories of individual kings were written and certain periods of Nor-
wegian history dealt with. Some of the authors of these sagas are
known to us, as abbot Karl Jonsson who put together the Sverrir's
saga; others are anonymous works, now lost in their original shape
or embodied in compilations of Norwegian history which are still
extant and go down to the year 1177, when Sverrir’s saga begins. But
the most famous recension of the lives of the Norwegian kings and
earls is that written by Snorsi Sturluson (1178 —1241), the great chief
        <pb n="164" />
        150

and poet. He put the coping-stone, as it were, on Icelandic history
writing. His immortal work, the ‘Heimskringla‘, is the history of the
Kings of Norway from the earliest times to the fall of Eysteinn in
1177. In scientific exactness, in splendid stateliness and purity of
diction it far surpasses all other works on the Norwegian Kings.
Snorri makes copious use of the writings of his predecessors, some-
times embodying whole passages from them in his work, but polishing
them and rejecting all spurious matter and skilfully weaving them into
a connected saga, where one thing prepares and leads up to another.
His characters are drawn with masterly skill, and in profound under-
standing of all sorts of men, heathen and Christian, and their motives,
he stands almost unrivalled among historians. His style combines ease
and stateliness in a rare degree in its simple grace of movement.
Snorri is justlv numbered among the greatest historians of all times,
and ‘in dramatic conception of historv he surpasses even Thucydides’
(E. Mogk).

And later, when Snorri’s nephew, Sturla Thérdarson, had written
the sagas of King Héakon Héikonarson and his son, King Magnis
lagabatir (the Law-Mender), the Icelanders had succeeded in present-
ing an unbroken record of the Norwegian Kings from pre-historic times
down to the year 1280. But they did more. They wrote about the
colonization of Greenland by the Icelanders and of their life there;
about the discovery of Vinland (America) and the voyages thither;
lhey wrote the Farepinga saga (the Saga of the Faroese) about the
colonization of the Faroe Islands, the quarrels of the islanders, the
introduction of Christianity there, and how the isles came under Nor-
wegian rule; they put together the history of the Orkney Earls (Orkn-
epinga saga, Jarla saga), telling the story of these islands from their
colonization by the Norsemen down to about 1170; and finally, they
wrote a collection of stories of the Kings of Denmark (Knptlinga
saga), from Harald Gormsson, called Bluetooth, to the death of Knut
the Saint in 1186. The Vnglinga saga deals in the main with Sweden,
but, besides, the history of that country is often touched upon in the
lives of the Norwegian Kings.

Besides all these historical works the Icelanders, at the close of the
thirteenth century, began to write down those sagas which are known
under the title of Fornaldarségur Nordurlanda or sagas of olden times
in Scandinavia. For centuries many of them had, no doubt, been
handed down from generation to generation, and told for purposes of
entertainment. before they were deemed worthy of being reduced to
        <pb n="165" />
        151

writing, while the scientific tendency reigned supreme and historical
subjects had not vet been exhausted. Some of these sagas are doubtless
founded on genuine traditions, though the facts are now so inter-
mingled with fictitious elements as to make it impossible to separate
the one from the other. Others, on the other hand, are pure fiction,
mostly centring round some famous hero, possessed of rare magic
weapons and going through some stock adventures, such as fighting
trolls and monsters, and always in the end winning a glorious victory.
But these sagas are unlike the Icelandic sagas in one essential parti-
cular: they all end well.

In the twelfth and thirteenth centuries the Icelanders translated a
number of sagas from Latin, both of religious and secular character.
And in the fourteenth century they began to write novels, the heroes
of some of them being Icelanders who are known to have existed;
others were written in the style of the Fornaldarsgur, and yet others
after the manner of foreign chivalric romances.

As regards other branches of literature, mention should here be made
of the remarkable collection of laws (Grigés) from republican times; of
the two codes (Jdrnsifa and Jénsbok) which came with the union with
Norway; of Snorri Sturluson’s Edda, which contains the Scandinavian
mythology and Skéldskaparmél, i. e. a scientific treatise giving a com-
plete analysis of Scaldic versification (a kind of poetic gradus); of four
articles on linguistics, the first of which, dating from about 1140, dis-
cusses Icelandic phonetics, and how the Latin alphabet should be ad-
apted for the requirements of the Icelandic language. The author
of this article proves himself an able phonetician. Translations were
also made of a great many homilies, and a number of articles written
on geography, on natural history, on mathematics, on chronology, etc.
The Icelanders of that age could have said of themselves: “Nothing
of what is human do I account foreign to myself (Humani nihil a
me alienum puto).

Thus, at the end of the thirteenth century, the small Icelandic na-
tion had created a wonderful literature which has ever since been
her vital nerve and an ever-flowing fountain of strength. This litera-
ture she has preserved by diligently copying the manuscripts and
handing them down from generation to generation until the time of
collecting (by Arni Magnusson, 1663—1730) and printing them began,
But not content with the mere custodianship of these literary treasures,
the Icelanders have to the best of their ability tried to increase and
        <pb n="166" />
        152

enrich them with fresh contributions of their own, in spite of all the
dreadful calamities that have poured in upon them.

Historical writing has never wholly died out in Iceland. From the
end of the thirteenth and well into the nineteenth century we have
an unbroken succession of annals, of which there are now no less
than 5060 different collections written by as many authors; and as
it not infrequently happens that two or more of these annals cover
the same period of time, they are complementary, and contain an
enormous mass of information about the history of our country. From
them as the main source professor Thoroddsen has, for instance, com-
piled a book on the weather conditions in Iceland during a thousand
years (900—1900), showing that more or less is kown about the
weather for 525 of these 1000 years (of the first 500 years 31 per
cent. are known; of the latter 500, 74 per cent). But our greatest
annalistic writer is district judge Jon Espélin (1769 —1836). His histori-
cal Annals of Iceland (fslands Arbzkur i séguformi) in twelve large
volumes (published 1821-—1855) contain a brief history of Iceland
from 1262—1832. But besides the annals there has been a steady
flow of biographies from the Reformation onwards. Dean jin Hall-
dérsson (1665—1736) wrote the Lives of the Schoolmasters at Skil-
holt (Skélameistarar i Skilholti); the Annals of the Governors of
Iceland (Hirdstjdraannéll), etc. Bogi Benediktsson (1771—1849) wrote
the Lives of the District Judges (Syslumannaafir). In addition to this
there is a number of individual ‘Lives’, some of the best of which
are autobiographies. Many of our peasants have, both in the past and
the present, made no small contributions to our historical literature.
Genealogy has gone hand in hand with history, so that almost every-
body can have his pedigree traced into the eighteenth century, and
many much farther back, even to the first colonists of the country, The
Icelanders have also composed remarkable historical works in Latin
for the benefit of foreign scholars. First among these is Arngrimur
Jénsson the “learned” (1568—1648) who wrote a number of books
about Iceland and its history; Thormdédur Torfason (Torfaeus, 1636—
1719) wrote Historia rerum Norvegicarum and many other works.
Bishop Finnur Jénsson (1704—1789) is the author of Historia ec-
clesiastica Islandiz, in 4 vols. Of those who have devoted themselves
to historical research in the 19th and 20th centuries, we should mention
Jén Sigurdsson, Jén Thorkelsson, Thorvaldur Thoroddsen, Valtyr
Gudmundsson, Bogi Th. Melsted, Hannes Thorsteinsson, Jon J. Adils,
and Pall Eggert Olason.
        <pb n="167" />
        153

In connexion with historical writing it may not be out of place to
mention the Icelandic Folk-Tales, perhaps the most remarkable branch
of our literature. These are: stories of elves; stories of trolls; ghost
stories; stories of magic; legends; stories of outlaws; fairy-tales, etc.
etc. During the nineteenth and twentieth centuries they have been
collected, and several volumes have already been published; but the
subject is by no means exhausted yet. They are a good mirror of the
nation’s imaginative power and art of story-telling, for they have been
told and written down by men of all classes, and show the influence
which the reading of the Icelandic sagas by generation after generation
has exercised on the popular style and form.

From the 17th century onwards many eminent Icelandic scholars,
both at home and abroad, have devoted themselves to the scientific
study of the Icelandic language and literature, to the compiling of
dictionaries, and to editing and elucidating Old-Icelandic texts. Some
of the most prominent among these are Magniis Olafsson, Gudmundur
Andrésson, Hilfddn Einarsson, Bjérn Halldérsson, Sveinbjérn Egils-
son, Finnur Magnisson, Konr4d Gislason, rector Jén Thorkelsson,
Gudbrandur Vigfisson, Bjérn M. Olsen, Finnur Jénsson, Sigfis
Bléndal, Halldér Hermannsson. SigurBur Nordal. Alexander Téhann-
esson,

Much has been written on Icelandic laws, ancient and modern, and
something also on medical science. A great deal of Theological litera-
ture, for the most part translations, dates from the Reformation period.
Icelandic translations of the New Testament and the Bible were prin-
ted in 1540 and 1584 respectively. Of the many books of sermons
which in course of time have appeared in Iceland, mention should
be made of bishop Jén Vidalin’s Hiispostilla (Book of Family Ser-
mons), first published 1718—20 (13th edition in 1838). Bishop
Vidalin is the greatest pulpit orator Iceland has ever produced. His
language is rich and racy and his sermons distinguished by religious
fervor, eloquence, and profound observations of life.

In the field of Natural science Eggert Olafsson did great research
work, the most imporfant results of which are contained in his Travel-
Book (Itinerary) in two large 4to volumes, published in Copenhagen
in 1772. In the nineteenth and twentieth centuries the geology of Ice-
land has been made the subject of scientific study by Jénas Hallgrims-
son, Th. Thoroddsen, H. Pjeturss, and Gudmundur Béirdarson. The
study of the botany of Iceland has been pursued by Stefin Stefénsson
and Helgi Jénsson. In zoology Bjarni Semundsson has made inde-
        <pb n="168" />
        154

pendent researches of great consequence. The first good map of Ice-
land was made by the great mathematician Bjérn Gunnlaugsson (1788
—1876), and based upon his own surveying.

On most of the principal branches of science something has been
written in Icelandic, both for schools and for purposes of general in-
struction; but a characteristic feature of it all is that it has been ad-
apted to the public at large, who read almost everything that comes
in their way. And the Icelandic peasantry’s love of reading is proved
by the fact that single impressions of most books number 1000—2000
copies, and sometimes even more.

The novel. As already mentioned, the Icelandic sagas ended in the
fourteenth century in fiction pure and simple; and the style and
technique of the best Icelandic sagas left very little to be learned
from the modern novel. There was therefore no need for the Ice-
landers to invent a new form in the nineteenth century in order to be
able to write a novel; the form was there ready to hand.

Jonas Hallgrimsson is ‘the father‘ of the modern novel in Iceland,
though he wrote but one, the ‘Grasaferdin, an exquisite little story, de-
picting rural life, This was followed by district judge Jén Thoroddsen’s
(1819—1868, also a lyric poet of some note) ‘D4litil ferdasaga‘ (A Short
Sketch of a Travel), showing marked ability. His other works in this
field are the popular ‘Piltur og stiilka‘ (Lad and Lass) and ‘Madur og
kona’ (Man and Wife, unfinished), his masterpiece, published after
his death. Thoroddsen’s subject is the life of the common people,
and his characters, especially the more peculiar ones, are drawn with
such skill that they haunt the mind of every Icelander, and his scenes
of rural life bear the stamp of reality. He has an abundance of tender
humour, and his purity of style and spontaneity of expression combine
to make him one of the great masters of modern Icelandic prose.
Benedikt Gréndal wrote witty, humorous stories in the style of the
chivalric saga. Gestur Pélsson (1852—1891), the editor of a news-
paper, while studying at the university of Copenhagen, came under the
influence of the realistic literary movement, which about that time had
its flourishing period in Denmark. He wrote a few short stories in
the spirit of that school. He is a close observer and depicts his
characters with great force and clearness, but is often bitter in his
satire. The Rev. Jonas Jonasson (1856—1918) who wrote mostly short
stories, describes peasant life with severe realism, dwelling especially
on its shady side. Einar Hjérleifsson Kvaran (1859—) studied at
the university of Copenhagen, and was then for a number of years
        <pb n="169" />
        155

the editor of newspapers, first in America (Canada) and then in Ice-
land. Kvaran, who is the greatest now living artist among Icelandic
novelists, has written a number of long novels descriptive of fown life,
and a series of brilliant short stories dealing chiefly with the strug-
gles and miseries of the poor whom he depicts with keen understand-
ing and profound sympathy. He has for years been the champion
of psychic research and spiritualism in Iceland, and his view of life
as well as his faith in the power of mercy, brotherhood, and forgive-
ness are plainly apparent in his novels. Kvaran is also a fine lyric poet,
and has published a small volume of verse. Jon Sfefinsson (pseudo-
nym: Thorgils gjallandi, 1854—1915) who was a farmer, first published
a small volume of short stories, written under the influence of foreign
realism, and then brought out his best novel ‘Upp vid fossa‘ (By the
Falls) dealing with country life. Later he published a volume of stories
of animals displaying his close sympathy with, and thorough under-
standing of, these dumb servants of man. Jdhann Magmis Bjarnason
(1866—) went to America (Canada) in his ninth year, and was edu-
cated there. He has written two long novels, and many short stories.
Bjarnason has an exuberant imagination, and his sketches of the life
and hardships of his countrymen during their first years in the New
World are ably executed. Gudmundur Fridjénsson (1869 —), a farmer,
is a versatile writer who has already published several volumes of
short stories dealing almost exclusively with country life. His characters
are perhaps confined within a limited range, but they are skilfully
drawn, many of them with a master's hand, and his style, peculiarly
his own, is both vigorous and full of metaphor. The author's view of
life, his dislike to new-fangledness of any kind, and his faith in, and
sturdy adherence to, those old virtues which have proved of lasting
worth to the nation in past centuries, are plainly discernible in all his
works. Fridjénsson has also published three volumes of vigorous and
original poetry. Gudmundur Magmisson (pseudonym: Jon Trausti, 1873
—1918), a printer, the most voluminous of all Icelandic novelists, has
in a series of novels, long and short, painted Icelandic life past and
present. He is a keen observer with a rare richness of imagination,
and though some of his stories are loose and his style at times faulty,
there can, on the whole, be no question of his high qualities as story-
teller, and several of his short stories must be placed very high in
the rank of Icelandic fiction. Trausti knows better than anyone else
the life and struggle of the common people. Professor Sigurdur Nor-
dal (1886—) has in a volume of short stories and prose-poems, some
        <pb n="170" />
        56

of which are admirably executed, struck a new and peculiar note.
Jakob Thorarensen (1886) has published a volume of very good
short stories. Gudm. G. Hagalin (1898—) has in a series of long and
short novels mainly depicted the life of seamen and farmers in western
Iceland. Halldér "Kiljan Laxness (1902—) has written a few short
stories and two long novels chiefly dealing with the struggle of the
spirit against the ‘devil and the flesh’. Gunnar Gunnarsson (1889-)a
well known author, also autside of Scandinavia, has written most of
his novels in Danish — only a few in Icelandic. Kristmann Gudmunds-
son (1901—) is already an author of some note. His novels, descrip-
live of Icelandic country life, are all written in Norwegian. Authores-
ses of some note are: Theodora Thoroddsen (Short Stories), Unnur
Bjarklind (Short Stories), and Kristin Sigfisdéttir (Short Stories.
novels and plays).

Of American-Icelanders who have written short stories, the follow-
ing deserve to be mentioned: Thorsteinh Th. Thorsteinsson, Jéhannes.
P. Palsson, and Mrs. Gudrin H. Finnsdéttir.

The Drama. Dramatic literature in Iceland has necessarily had few
representatives, for play-acting in small towns with no national theatre
has had many difficulties to contend with, Yet a good beginning has
already been made. The first attempt in this field dates from the be-
ginning of the nineteenth century. Of later play-wrights we may here
mention Matthias Jochumsson, Indridi Einarsson (1851—), Einar
Kvaran, Jéhann Sigurjénsson (1880—1919), all choosing their subjects
from Icelandic history and folk-tales or from modern Icelandic life;
and Gudmundur Kamban (1888--) who has worked on modern sub-
jects only. The two last-named dramatists have written their plays
both in Icelandic -and Danish and attained to considerable fame a-
road, especially Sigurjénsson by his brilliant drama “Fialla- Eyvindur®
(Eyvindur of the Hills).

Of Icelandic playwrights in Canada, Guttormur J. Guitormsson and
Jéhannes P. Pilsson should be mentioned, both having written a few
pieces, chiefly one-act plays.
        <pb n="171" />
        FINE ARTS

The fine arts of painting and sculpture in Iceland do not afford a
fruitful field for their historian; for in a country with only 106 000
inhabitants, mostly farmers, scattered over a large area, these arts can-
not be expected to thrive; they can only develop where there is a
large class of wealthy people able and willing to spend money on
works of art. But various branches of art industry show that the ar-
listic talent has not been lacking, though at times such activities have
declined, owing to the poverty and misery of the people, especially
during the seventeenth and eighteenth centuries.

Wood-carving has been practised in Iceland from the earliest times,
for the" purpose of decorating temples, churches, . articles of furniture,
etc. Of special interest in this respect is the door from the church of
Valthjéfsstadur, now in the National Museum, Copenhagen; but ne-
gotiations have recently been opened for the restoration of this and
other Icelandic articles of art to the National Museum, Reykjavik.

Tapestry-weaving which was much in vogue in the olden time is
now being revived; and the beautiful initials in many of our old MSS
show that the art of drawing must have been known in Iceland at a
:omparatively early date. The festival costumes, especially those worn by
females, used to be richly embroidered and ornamented with gold and
silver; hence arfistic needlework and skilled metal-workers were in
great demand. — A tolerably representative collection of all these ar-
ticles is to be found in the National Museum, Reykjavik.

Painting. Almost down to the end of the nineteenth century the art
of painting was very little cultivated in Iceland. There had, indeed,
during the last three centuries appeared a few portrait-painters; but
those of them who did not make their homes abroad were clergymen,
who could only apply themselves to painting in their leisure hours, be-
        <pb n="172" />
        58

ween onerous duties, and their art suffered proportionately. The lives
of these old artists have recently been written and published in two
handy volumes (Islenzkir lislamenn, i. e. Icelandic Artists, by M.
ThérBdarson).

In the present century the two best known painlers are Théravinn
Thorliksson (1867—1924) and Asgrimur Jénsson (b. 1876), both espe-
cially noteworthy as painters of Icelandic landscapes, in which branch
they are pioneers.

In 1928 paintings by Icelandic artists were exhibited in Copenhagen,
Berlin, Hamburg, Liibeck and elsewhere, and highly praised by art
critics. The works exhibited were by the following artists: Asgr. Jéns-
son, Finnur Jénsson, Gudmundur Einarsson, Gudmundur Thorsteins-
son, Gunnlaugur Bléndal, Johs. S. Kjarval, Jén Stef4nsson, J6n Thor-
‘eifsson, Miss Jiliana Sveinsdéitir, and Mrs. Kristin Jénsdéttir.

Sculpture. Einar Jonsson (1874—) is Iceland's first and greatest
sculptor. He has — inter alia — made monuments of Jénas Hall-
grimsson, Jén SigurBsson, and Ingélfur Arnarson (the first colonist of
Iceland), all in Reykjavik. A statue by him of Thorfinnur Karlsefni,
an [celander, the first white man who came to America with a view
to settling there, was unveiled in Philadelphia in 1920. A book con-
taining fine reproductions of Jénsson's works together with an ap-
preciation of the principles of his art has recently been published in
[celand.

Noteworthy among the younger sculptors are: Asmundur Sveinsson,
Gudmundur Einarsson (also a painter), RikharBur Jénsson, and Miss
Nina Samundsson.

Music. Singing was found in Iceland in the earliest times, and
sometimes, when the scalds recited their poems, they are said to have
sung them,

In the ninth century or about the time when Iceland began to be
colonized, we hear of the first attempts made at polyphonic song; the
melody was, sung in consecutive or parallel fifths and octaves. The
theory of harmony which arose from these experiments has now alto-
gether discarded parallel fifths, but in Iceland this system has been
preserved almost down to the present dav in the so-called duef- or
yuint-song.

During the Roman Catholic era candidates for orders had to be
rained in music, i. e. the Gregorian Chant of the Roman Catholic
Church. After the Reformation this instruction was, indeed, continued
under the name of Grallara-séngur (from: Graduale), but it soon fell
        <pb n="173" />
        159

nto a state of disorder, and church-music and singing generally were
jradually reduced to a most unedifying condition. The melodies were-
most frequently in the plain-song, but the duet- or quint-song was
often used both in church, at family worship, and on other occasions,
though it has now been almost completely ousted bv the harmonic
song of the major-minor mode.

[celandic folk melodies are constructed in one or the other of the.
old church-modes, but the one most frequently met with in these po-
pular. pieces is the Lydian mode, as it is best suited to the quint-song.
{On Icelandic folk melodies see: Bj. Thorsteinsson: fslenzk Thiéblég,
published in Copenhagen 1906—1909).

Progress towards modern music, vocal as well as instrumental, did
not begin till the nineteenth century. This was partly owing to the
isolation of the country, but doubtless more to the lack of suitable
instruments on which to play the foreign melodies that found their
way to the country. Of native musical instruments only two are known.
They were very primitive, a kind of oblong boxes, one a form of the
fiddle, having 2—4 strings, the other was the so-called /angspil, with
three strings. Both these instruments were placed on a table and
played with a bow. The melody was played on one string, and the
others were scraped with the bow to produce harmonic sounds.

In the nineteenth century the old melodies to which the church
hymns had been sung for centuries, were gradually replaced by mo-
dern ones, mostly of foreign origin. Pioneers in this field were Péfur
Gudjohnsen (1812—1877) and Jonas Helgason (1839—1903), organists
in the cathedral in Reykjavik, who did much to create interest in church
and secular music, both vocal and instrumental. In the late ‘fifties
three-part and four-part singing began to be practised, and about 1860
‘he first chorus was formed. Now choral unions are to be found all
aver the country, and every church has its harmonium.

Though musical life in Iceland developed very late, great progress
nas been made during the last fifty years or so. Musical instruments,
as the harmonium, the pianoforte, the guitar, the violin, are now in
common use. Windbands have been formed in all the larger towns
and a symphony-orchestra in Reykjavik. Of late years, too, Icelandic
composers (mostly of vocal music) have appeared, as Sveinbjérn Svein-
bjérnsson (1847-1927) who resided for a number of years in Edin-
burgh, Scotland, where most of his works were published; Sigfiis
Einarsson (b. 1877) the present organist in the cathedral in Reykja-
vik has, besides original compositions, published various Icelandic folk.
        <pb n="174" />
        160

melodies, arranged in modern manner, which are known and appre-
ciated outside Iceland. }

Of other now living composers who have won appreciation within
‘he country’s frontiers the following may be mentioned: Bjarni Thor-
steinsson, Arni Thorsteinsson, Sigvaldi Kaldaléns, and Pill {sélfsson
(the composer of a caniata for the millennial festivities 1930). — J6n
Leifs has for a number of years lived in Germany. He has made a
close study of Icelandic folk melodies, on which he has written a good
deal. He has also composed a few orchestral pieces.

Dramatic Art. About dramatic art in Iceland there is not much to
say, for up to the present day it has only existed in school and ama-
‘eur theatricals. The first play, so far as known, was acted by the boys
of the Reykjavik Grammar School about 1791. These activities of the
school boys came to an end some len or fifteen years later, and
were not resumed till about the middle of last century, from which
time and to the close of the century it was usual for them to per-
form some piece or other in the Christmas holidays. From about the
fifties comedies began to be acted by the younger members of society
in Reykjavik, and in 1897 the Leikfélag Repkjavikur (the Reykjavik
Dramatic Society) was formed. The society has during the greater
part of its existence enjoyed some pecuniary support both from the
State and the municipality. It has laid great stress on producing plays
of acknowledged literary merit, and on the whole done good work,
considering the difficulties with which it has had to grapple.

There is no national theatre in Iceland; but since 1923 a 10 - 20
per cent. tax has been placed on entertainments, and set aside as
fund for which a theatre is to be built in the near future. At the be-
ginning of the present year this fund amounted to some 400000 kr
        <pb n="175" />
        FOREIGNERS IN ICELAND

THE ADMISSION OF FOREIGNERS TO ICELAND
Though not necessary at present, it is safer for every foreigner who
intends coming to Iceland to be in possession of a valid passport, to
prove his identity, if required. But there is for the time being no
obligation for the subjects of any country to have their passports
r1séd.
Aaccording to Law No. 10, May 18th, 1920, respecting the con-
trol of aliens, the government can forbid foreigners to settle in lce-
land or reside there:

If they cannot prove or make it appear probable that they are
capable of procuring the means of livelihood for themselves and
heir dependants without receiving poor relief during the first two
years of their stay in Iceland;
if they are suffering from a contagious disease, in consequence
of which the Head of the Medical Profession (the Landleknir)
may consider it advisable to forbid them to settle in the country;
if they do not state or if they misstate the business that brought
them to Iceland ;
if they have come to Iceland for the purpose of engaging in ac-
tivities which by the Minister of Justice are considered unlawful,
dishonourable, or dangerous to the State or the public, or if their
business is at all of such a nature that their stay in the country
may be looked upon os dangerous or detrimental to the interests
of the State or the public;
if they have been expelled from another country for reasons
mentioned under 4;
if, in the country where they resided before, they have been found
guilty of some act regarded as dishonourable by the general public,
or if they are wanted by the police there for breaking the law.

3

of
y
        <pb n="176" />
        162
A foreigner who has settled in Iceland shall be expelled: :

If he is in need of poor relief while in Iceland;

if, before having resided in the country for five consecutive years,
he is proved guilty of an offence which is considered dishonour-
able by the general public and for which he has been sentenced,
at least, to imprisonment on bread and water. Under special cir-
cumstances the Minister of Justice may, however, make an excep-
tion from this rule and permit the person in question to remain
in the country.

A foreigner who has settled in Iceland, can be expelled by the
Minister of Justice, if he has intentionally returned incorrect answers
to the questions implied in 1 to 6, or if he proves or can be proved
to come under 2 and 4 to 6.
FOREIGNERS’ TRADING RIGHTS

Icelandic Law distinguishes between foreigners who gain their
‘ivelihood in Iceland as wage-earners in other people’s service, and
hose who follow a trade or other pursuit in Iceland on their own
account. — Similarly, the rules now in force respecting the right of
a foreign company to engage in business or activities of any kind,
are somewhat different from those obtaining in the case of a foreign
individual.

1. Foreigners in the service of others. As a general rule employ-
ers in Iceland may not take foreigners into their service for any
other remuneration than food and lodging. — And in this sense
any person domiciled abroad is deemed a foreigner, unless he (or
she) has the right to reside in Iceland according to the law of the
land or the law of nations. This rule does not, however, apply to:

a) foreign specialists employed in any kind of industry;

b) other foreign experts, in so far as qualified native Icelanders are
not available;
employer’s descendants in direct male line; his adoptive and foster
children; his brothers and sisters;
foreign workers engaged as farmhands for a period of two months
or more;
foreign seamen on board Icelandic ships, except fishing vessels
where at least one-half of the crew must be Icelandic subjects.
Before, however, a foreigner can be employed on board an Ice-
landic fishing vessel, it is necessary to obtain permission from
the Minister of Industrial Affairs. This rule does not apply fo

1]
        <pb n="177" />
        163

herring boats, which may carry foreign crews without having pre-
viously applied for permission.

Under special circumstances the Minister of Industrial Affairs may
grant exceptions, as e. g. if labour is scarce, or if it is found im-
possible to start a business or run it without engaging foreign workers.
Any foreigners who have come to Iceland for the purpose of seeking
work or have already obtained some employment there in violation
of the law of the land, may be expelled from the country (Act No. 13,
May 31st, 1927).

2. Foreign employers. The general rule is that foreigners and Ice-
landers are on an equal footing as regards the right to follow a trade
or other pursuit in Iceland; but in a number of cases this right is,
however, made conditional on domiciliation in the country. Thus a
foreigner living in Iceland has the same right to follow a certain trade
or pursuit as an Icelandic subject there residing, while a native Ice-
lander does not enjoy this privilege, if he lives abroad. In order to
engage in commerce in Iceland (whether wholesale, retail or commis-
sion business) a trading licence is required, the granting of which is,
among other things, made conditional on the applicant's having resided
one year in the country and being still permanently residing there
when the application is made (Law No. 52, June 27th, 1925). The
same rule applies to those who wish to carry on industrial activities
'n Iceland (Law No. 18, May 31st, 1927). Commercial travellers and
commission agents, non-resident in Iceland, may carry on their busi-
ness in the country, provided they take out a licence; but such a li-
cence is limited to not more than one year at a time (Law No. 78, Nov.
22nd, 1907). As regards industrial activities, it should be mentioned,
that special rules apply in cases where water power is to be used as
molive force. To harness a waterfall of more than 500 natural H.P.
a special permission is required (Law No. 15, June 20th, 1923), In
granting such a permission, different rules are followed according as
lhe applicant is a native or a foreigner, but in this connexion all Ice-
andic subjects residing in Iceland are deemed native Icelanders, where-
as Icelandic subjects living abroad and foreign subjects domiciled in
[celand are looked upon as foreigners. Foreigners can therefore only
obtain this permission with the sanction of Althingi, while the Minister
concerned may grant it to Icelanders without previously having sub-
mitted the question to the legislature, provided the waterfall to be
harnessed is not more than 25 000 H.P. (Law No. 46, June 27th, 1925).

Foreigners and Icelanders are on an equal footing as regards the
        <pb n="178" />
        164

right to run farms and engage in handicrafts. A permission is, however,
required from the Minister concerned before a non-resident can obtain
the right of utilizing a real property for a longer period than three
vears, or in case this right is made subject fo a notice exceeding
iwelve months (Act. No. 63, November 28th, 1919).

None but Icelandic subjects (whether living in the country or not)
may carry on fishing in territorial waters, and the ships so employed
mist be the exclusive property of Icelandic subjects. Foreign ships are
forbidden to land their catches in Iceland for the purpose of curing
them there; nor may they apply any curing process to their fish, either
inside the limits or in Icelandic harbours. The Minister concerned
may, however, grant the owner of a herring oil or herring meal factory,
or any other factory of similar description, permission to employ a for-
eign vessel in fishing, provided the catch is to be utilized in the fac-
tory {Act No. 33, Tune 19th, 1929)
FOREIGNERS’ PRIVILEGES AND THEIR RIGHT TO ACQUIRE
REAL ESTATE IN ICELAND
Only those resident in Iceland may acquire real estate there. Yet,
the Minister concerned may in certain cases grant exceptions from this
rule, and permit non-residents fo own real property in the country
(Act No. 63, November 28th, 1919),

Shipping. In order to be able to have a vessel registered in lce-
land as an Icelandic vessel, the owner must, if an Icelandic subject,
have been permanently resident in Iceland for at least the year im-
mediately preceding, while a foreign subject, in order to acquire this
right, is required to have been uninterruptedly domiciled in Iceland
for not less than five years previous to obtaining the same privilege
{Act No. 29, June 27th, 1925),

Trade Marks. Any person, having the right to conduct a trade or
business in Iceland, may obtain the sole right of using a special trade
mark by having it duly registered. In the same manner, legal protection
for trade marks may be enjoyed by subjects of foreign States who have
not the right of following a trade or pursuit in Iceland, provided Icelandic
subjects are granted reciprocity in the countries concerned. A foreigner
who wishes to have his trade mark registered in Iceland, must, how-
ever, have an agent residing there, to represent him in the event of
a lawsuit arising in connexion with his trade mark, as all such cases
must be pleaded in Icelandic courts (Act No. 43, Nov. 13th, 1903).
        <pb n="179" />
        165

Patents. Foreigners and Icelanders enjoy the same right as regards
aking out patents for their inventions (Act No. 12, June 20th, 1923).
THE RIGHTS OF FOREIGN COMPANIES AND OF
COMPANIES EMPLOYING FOREIGN CAPITAL
In cases where the right of a person to follow a trade or pursuit
in Iceland, to own real estate there, or enjoy other privileges, is made
conditional on domiciliation, — a company, in order to acquire the
same right, must, besides complying with the above stipulation, have
a venue in Iceland, and all its directors are generally required to be
domiciled there. In joint stock companies, engaging in commerce, in-
dustrial activities or trade, more than half the share capital must be
in the hands of persons residing in Iceland. None but Icelandic sub-
jects may be the founders of companies purposing to carry on fish-
curing business in territorial waters; and in the case of a company
intending to pursue fishing inside the limits, more than half the shares
shall be held by Icelandic subjects.

A foreign joint stock company, which, though domiciled abroad, has
the right to engage in activities in Iceland, requires registration ere it
can commence operations there. But before such a company can be
filed in the Companies’ Registry, certificates must be produced to show
‘hat it has observed the provisions of the laws by which such companies
are governed in their home country. In all its dealings the company
shall be guided by Icelandic law to which, if necessary, it may be
made a menable. Further, the company is required to engage the ser-
vices of some person entitled to carry on the same kind of business
that the company itself intends to start. In addition to this, it must own
a property in Iceland to the value of at least 10 000 krénur, as securi-
ty for any engagements it mav make in the country (Act No. 77, June
27th 1921).

FOREIGNERS’ LIABILITY TO TAXATION IN ICELAND

Foreigners residing in Iceland are liable to be taxed according
io the same rules as apply to Icelanders. On the other hand, non-
residents, foreign or native, are faxed by the State on income derived
rom capital owned or business done in Iceland; on salary or other
income of similar nature received from the State or any public insti-
‘ution; and on dividend paid on shares held in Icelandic joint stock
ompanies or other business enterprises. A further tax is pavable to
        <pb n="180" />
        166

the State on property owned by them in the country (property tax)
(Act No. 74, June 27th, 1921).

For municipal and country communal purposes, rates are levied on
non-residents under the following circumstances: if they have stayed
in Iceland at least three months of the financial year; if they have
deen engaged in some pursuit there or on board ship either registered
in Iceland or working from that country as a basis, for the same length
of time; if they carry on any kind of business in the country or in
lerritorial waters in the course of the financial year; and if they own
any profit-yielding property in the country (Act No. 46, June 15th,
1926).
POLITICAL RIGHTS

Suffrage and eligibility to Althingi are enjoyed only by Icelandic
subjects, who have been living in the country for the last five years
immediately preceding an election. Similarly, a situation under the
government can only be held by Icelandic subjects (Constitutional Law,
May 18th, 1920). Eligibility and the right of voting at local elections
s also made conditional on Icelandic citizenship (Act No. 59, June
[4th 1929),

ACQUISITION OF ICELANDIC NATIONALITY

Foreigners can acquire Icelandic. nationality. Foreign women who
marry Icelandic subjects thereby acquire Icelandic nationality. General-
ly a law, passed by Althingi and signed by the king in each separate
instance, is required when Icelandic nationality is conferred. There are
at present no special stipulations on the fulfilment of which the grant-
ing of Icelandic nationality is made conditional, but in most cases it
will be required that the applicant has been permanently resident in
Iceland for several years, and that he produces evidence to show that
there is nothing in his conduct to prevent his being naturalized. A
foreigner who becomes the servant of the Icelandic State in Iceland
will by law be granted Icelandic nationality, even though he has not
been residing there for any great number of vears.
        <pb n="181" />
        ICELAND FOR TOURISTS

Iceland has many things which atiract the ordinary tourist, as pic-
luresque mountain views, fine waterfalls, boiling springs, and peculiar
geological formations. However, the number of tourists visiting the
country is almost insignificant, compared to the multitude coming every
year to Norway and Switzerland. This may, no doubt, be ascribed to
the fact that Iceland is very little known to the world in general; that
it takes a long time to get there; that extensive trips inland are ra-
ther expensive; and that, a most places, the accommodation is not what
'uxurious persons wish for. Yet those who are ready to rough it and
can afford to spend time and money, may find it worth while to visit
‘his land of frost and fire.
PLACES OF INTEREST
REYKJAVIK
he capital has a population of rather more than 26 000, or !/s of the
copulation of the whole island.

For most tourists one day is quite sufficient for seeing the town,
visiting the Natural History Museum, the National Museum and the
Library, which are all housed in the same building. The museum con-
iaining the sculptures by Einar Jjénsson, the Icel. sculptor, is also
worth a visit, and the Althingishiis (House of Parliament) where there
is a collection of paintings. The marble font in the Cathedral is made
oy Albert Thorvaldsen (whose father was an Icelander) and given by
him to Iceland.

Reykjavik is the seat of the government; here is also the Icel. Uni-
versity and many of the principal schools of the country; some of the
hospitals; The General Post Office; the Telegraph station and the two
sanks, Landsbanki [slands (National Bank) and Utvegsbanki Islands.
        <pb n="182" />
        168

Of hotels there are: Hotel Island, Skjaldbreid, Hétel Hekla, and
the modern Hétel Borg, opened in 1929,

Electricity for the town is obtained from a plant driven by water
power.

THINGVELLIR

For sight seeing, Thingvellir is quite unique and presents one of
the finest sceneries in Iceland with all its varied formations of lava,
rift — Almannagji being the chief among them all, — the little
waterfall of Oxar4, the grand mountain view, the beautiful lake Thing-
vallavatn, etc. etc. But the historical interest of the place is even still
greater, as from the year 930 to 1798 Althingi or the Parliament of
Iceland met here every summer, in the open air. People from all parts
of the country came here during the session, the number of visitors
often running up to several thousands.

Besides being a legislative assembly, Althingi also possessed judicia
powers and all important matters that could not be settled by the local
authorities in the country, were brought before this general meeting.
Skirmishes and even big battles often took place here, when riotous
chiefs did not like the verdict of the jury.

During the session, which lasted about 2 weeks, the whole place
was studded with tents as all the visitors had to camp, but the more
powerful leaders had their so-called booths (Icelandic: biidir), where
they stayed with their favourite attendants. The booths were built up of
turf and stone and covered with Icelandic vadmal or homespun; many
of the ruins of these booths are still to be seen.

On the eastern wall of the Almannagjs is the place where the
taw-speaker had to proclaim all the existing laws. Here also were
announced all important declarations. The name of this place is Liégbera.

REVYKJAHOLT

Reykjaholt was the residence of Snorri Sturluson, and here he was
treacherously murdered in 1241 by order of the king of Norway. His
bathing place still remains here and is called Snorralaug (Snorri’s
Bath). It is circular in form and about 4 metres in diameter, buill
up of split stones and cemented. There is a stone bench all around
its inside, with the wall for a back, and it is supplied with water
from one of the many hot springs in the neighbourhood, conveyed
underground for a distance of more than 100 meires.

It is evident from the life of Snorri, written by his contemporaries,
        <pb n="183" />
        169

that it was one of his hobbies to enjoy the luxury of hot baths in the
company of his friends and favourites, discussing politics, history, etc.,
and thus making of this primitive little bath place a miniature of an
ancient Roman Bath Club. There is still existent an ominous verse,
composed by one of his friends, as the conclusion of a conversation
‘aking place at one of these Bath Club meetings.

About 4 km. away from Reykjaholt, down the valley, there is an
interesting freak of nature, called Arhver, This is a rock more than 2
metres high, standing in the middle of a cold river and having at its
top several boiling springs.

ASBYRGI

Asbyrgi is some 25 km. north of Dettifoss. It is a semi-circular
formed cleft or ravine of great dimensions and, except on the north
side, it is enclosed by very high vertical cliffs, having in the middle a
large perpendicular rock or island, corresponding to the frog of a
horse’s hoof. Hence the comparison of this place with a horse’s hoof
and the poetic legend of its being the hoofmark of Sleipnir, the steed
of the god Odinn.

VOLCANOES

Of Icelandic volcanoes the destructive M¢ Hekla is by far the most
renowned and credited with eighteen eruptions since 1104; its last
outbreak took place in 1845, but in 1878 and again in 1913 there
were volcanic disturbances in its vicinity.

M¢ Hekla has the altitude of 1446 metres above sea level. On a
perfectly clear day the view from the top is one of the grandest and
most varied to be found in the island; and owing to the renowned
clearness of the Icelandic atmosphere, one can see mountains lying
more than 150 km. away. Most of the glaciers in the country are
visible and the south lowland lies at the feet of the spectator, with
all its rivers, lakes, farms and mountains. The rugged lava all round
the mountain and the two big craters at the top of it, give ample evi.
dence of the fact that this is a mighty volcano.

Askja is a crater of the immense dimension of more than 50 square
km. It is encircled by a ring of mountains called Dyngjufjsil, situated
near the eastern skirt of the large lava desert Odadahraun, in the in-
terior of Iceland. It is chiefly renowned for its terrible eruption in 1875,
In the last few years this crater has also had two or three minor eruptions.

The craters of Mf Laki number over one hundred, extending in
        <pb n="184" />
        [70

a row from the S.W. corner of Vatnajskull for a distance of about
30 km. These were caused by the eruption of 1783, the one which
holds the record of being the greatest and the most destructive out-
break ever witnessed in Iceland.

CAVES
Surtshellir and Vidgelmir. These two caves lie some 8 km. apart
(see p. 174) and are very similar in size. Each being more than 1500
m. long, over 10 m. high and some 12 m. wide on an average. As to
the formation of stalactites and stalagmites, pillars of ice etc. Vidgelmir
will probably be found the most interesting of the two.
HOT SPRINGS

The hot springs in Iceland, or fountains, both of boiling and warm
water, are quite innumerable and are found at every possible altitude
up to 1500 metres above sea level, among the icefields and down
on the coast, where some of them are visible only at low-tide. They
are, practically speaking, spread all over the island; at some places
there may be seen a solitary spring issuing its vapours, but at other
places a whole group, consisting of no less than fifty.

At some of the hot springs there are found fairly extensive sulphur
deposits, but all such places are situated at a great distance from any
good harbour.

Neither Great Gepsir nor Strokkur have been active for several
years now, but a small geysir called Smidur, lying close by, can al-
most invariably be made active if baited with soap, each spout reach-
ing the height of 6 to 8 m. Blesi is the name of one of the springs
in the Great Geysir group. It is a big twin pool almost boiling and
always brimful of transparent blue water of great depth.

The hot springs at Repkir, Olfus, are very varied as to form, colour
and size, and present quite an interesting sight. Of the geysirs there,
the one called Gryla is the most powerful, and spouts occasionally to
the height of several metres.

RIVERS
Several of the Iceland rivers rank among the very best in Europe
for salmon fishing. Some of them are also fairly good for char and
trout fishing, but many of the lakes are particularly good for these
last two. (See Angling pp. 174—176).

According to the latest calculations the total amount of water power
        <pb n="185" />
        171

in Iceland is about 4 000 000 H.P., but so far, very little of this is used.
Four of the greatest rivers in the island are credited with having more
than half of this power.

Thiérsd. . . . . . 940000 H.P.

Southern Hvita. . . 600000 — —

Jokulsd 4 Fisllum . . 510000 — —

Skialfandafliét . . . 200000 —

WATERFALLS

Dettifoss lies 35—40 km. north-east of the lake Mgvatn and about
125 km. from Akureyri.

This waterfall is formed by one of the mightiest rivers in Iceland,
Jokulsé 4 Fjsllum, where it plunges over a brink into a chasm a-
bout 60 metres in depth, and is said to have the capacity of nearly
half a million H.P.

Gullfoss (river Southern Hvits) is one of the greatest waterfalls in
Iceland; in grandeur it is second only to Dettifoss.

At the top it comes down in a broad fall, some 6 or 7 meires high
and then swirls on, forming lively rapids, till it takes the main plunge
into the deep rift below. This main fall is at least 60 m. wide and 20
m. high, and the volume of water is very great.

Skégafoss is one of the very finest waterfalls in Iceland; its environ-
ments are lovely; steep grassy slopes on either side, the silver dome
of Epjafiallajékull behind it, and in front the blue ocean, from which,
in the extreme south-west, rise the Westman Islands. The river is
rather a small one, but the fall is an even, unbroken sheet of water
over 60 m. high and about 25 m. broad.

This waterfall lies about 160 km. to the east of Reykjavik, most
of which distance can be accomplished by motoring. The scenery is
fine and lwo smaller falls, Selialandsfoss and Glnifrafoss will be
passed on the way.

Godafoss (river Skjélfandafljét) is situated 46 km. to the east of
Akureyri, on the way to Myvatn. It hardly exceeds 12 m. in height,
but its volume of water is great and the environments very charac-
teristic. As to shape, it has often been called a miniature of the
Niagara falls.

Barnafoss lies some 15 km. from Revykjaholi. Here the river
Western Hvitd tears its way through a narrow lava rift, making great
rapids, or almost a fall. But what is of greatest interest here, is the
clear water from some subterranean stream, pouring out from under
        <pb n="186" />
        [72

the topmost layer of lava and forming a series of waterfalls, as it finds
its way down the northern wall of the rift, into the foaming river.

Glymur has a very small volume of water, but its height is a good
deal more than 100 metres, where it leaps into a narrow chasm of
proportional depth, and the scenery from here is most magnificent.
It is about 5 km. away from the head of Hvalfisr8ur, one of the
finest firths in Iceland. The quickest way to reach it from Reykjavik
is to take a motor boat (4 or 5 hours).
LAKES
Hvitirvatn. This lake covers an area of rather more than 50 sq.
kilometres and is situated about 435 metres above sea level, under
the south-western rampart of the great glacier regions of Langjékull.
From the shore of the lake a very steep mountain, Skridufell, rises
to about 1000 m. above the lake surface. At each end of Skridufell a
glacier comes down with a sweep into the lake, presenting the ap-
pearance from a distance of two gigantic waterfalls. Every now and
then huge icebergs break off from the glaciers and are seen floating
all over the lake. On the eastern shore of the lake is a very rich pasture
land, stretching over an area of about 30 sq. km., where big flocks of
wild geese, swans and sea-gulls are seen all the summer. The lake is
also said to be teeming with char. The river Hvit4 drains the lake
and is already a big river up there.

Mpvatn lies some 100 km. from Akureyri and covers an area of
about 30 sq. km. The lake itself and its environments present one of
the most beautiful views obtainable in Iceland, and the peculiar forma-
tion of the lava and the countless craters here, are said to be a fair
representation of the landscape in the moon as viewed through a
powerful telescope. The solfataras at Reykiahlid. near the north-eastern
end of the lake, are also very interesting.

As to Thingvallavatn see pn. 175—176.
EXCURSIONS
The best time for touring in Iceland is from the middle of June
ill late in September.
Revkiavik is by far the best starting point for tourists in Iceland.

MOTORING
Until quite recently the pony has been the only means of inland
communication, but during the last 30 years or so, a good manv roads
        <pb n="187" />
        173

have been made, and at present there are some 1100 motor cars and
motor lorries in Reykjavik and its vicinity. However, for all journeys,
taken into the interior of the country, ponies must still be used.
The chief places of interest, approachable from Reykjavik by motor
car are the following:
1. Thingvellir, 50 kilometres.
2. Hot springs at Repkir, Mosfellssveit, and wool mills at Alafoss,
about 20 km.
Sogsfossar (waterfalls) 75—80 km., visiting “en route” hot springs
and geysirs at Repkir, Olfus, (45 km.).
The Great Gepsir and Gulilfoss, 135 km., seeing on the way the hot
springs and geysirs at Repkir, Olfus, the crater Kerhéll and passing
Sogsfossar at the distance of 10 km.
Fellsmiili near Mt Hekla, 115—120 km. Seeing on the way hot
springs and geysirs at Repkir, Olfus.
Teigur, Fljétshlid, about 125 km. Up to 90 km. of this way being
the same as the one to Mt Hekla. Teigur lies within 30 km.
of Thorsmérk, a very wild and picturesque place near the base
of Eyjafjallajokull.
Hafnarfjérdur (town) 10 km.
Grindavik 55 km. and Hafnir 55 km. Either village being within
17 km. of the hot springs and silica deposits at Cape Repkjanes.
Between Grindavik and these hot springs there is also one of the
smallest lava domes in Iceland, Héleygjabunga, being less than
1000 metres in diameter, with a very peculiar and comparatively
big crater at the top.
The distance from Grindavik to the solfataras at Krisuvik is
about 25 km.

R

EXCURSIONS FROM THE CAPITAL BOTH MOTORING
AND RIDING ON PONIES
1. Seven to nine days’ tour to Hvitdrvatn.
2. Three days’ tour to Mt Hekla.
3. Six days’ tour to Thérsmirk, Skégafoss etc.
4. One or two days tour to the solfataras at Krisuvik.
5. One days’ tour to Cape Reykjanes.
6 Reykjavik to Repkjaholt and back, can be done in a day or two,
by taking the mail boat to Borgarnes (4 hours). From there 45
km. motoring will bring the tourist to Revkiaholt, allowing some
        <pb n="188" />
        time there, and then catch the boat at Borgarnes going back to
Reykjavik.

But instead of going back to Borgarnes, the tourist can also
stay over night at Reykjaholt, hire some ponies there, and on the
following day visit Barnafoss, either one of the two caves, Vid-
gelmir or Surtshellir, passing the night at Ka/manstunga or Hisa-
fell, and on the third day ride 65 km. to Thingvellir.

Quite recently, the way between Thingvellir and Hisafell has
been improved to such an extent as to make it practicable for
motor cars in the middle of summer, and from Hisafell, one can
proceed motoring all the way to Repkjaholf. If it is intended to
visit the caves and the waterfalls, Hiisafell will be found the best
suited place for hiring ponies.
ANGLING
SALMON RIVERS
Of the many hundreds of rivers found in Iceland, there are not
over forty where salmon are caught, owing to the fact that so many
of the Icelandic rivers are fed by glacier water, almost entirely. In
some rivers, the salmon have been utterly exterminated by netting.
However, these last named are very few. For the last five years, the
annual catch of salmon in Iceland, has been about 17000 fish, on an
average.

The river Ellidai, lying about 6 kilometres away from Reykjavik,
has for many years been considered the very best salmon river in Ice-
land, but since 1921, when the electric power station was erected there,
it can scarcely hold its own against either the Lax4, draining Mpvatn
and falling into Skjélfandafléi in the north part of Iceland, or the
two best rivers in the district of Borgarfiérdur, viz. the Thveri and
the Nordurd, both of which are among the half a dozen tributaries
to the Western Hvitid. It is however safe to say that 1000 salmon a
year is not a bad average for a comparatively small river, like the
Ellidai. During the earlier part of September there is generally an
abundance of sea trout in the estuary of this river.

Two other rivers, both rather small and of little account may be
mentioned here, just for the fact that they are so near the capital;
these are the Korpélfsstadai and Leirvogsd; their distances from
Reykjavik being respectively 10 and 18 kilometres.

Lax4 in Kjés, falling into Hvalfiordur, 54 kilometres distant from
the capital, is in some seasons fairly well stocked with salmon.
        <pb n="189" />
        175

Grimsi is one of the previously mentioned tributaries to the Western
Huiti. It does not, indeed, rank with the two others, viz. the Thverd
and NorBurd; nevertheless it affords fairly good sport. At all these
three rivers there are good bungalows and there has been no netting
there for many years.

The Western Hvyits drains glaciers and is netted pretty efficiently at
some places, but this does not affect its tributaries as much as might
be expected.

About 10 kilometres away from the village Borgarnes, and falling
into the firth Borgarfjor8ur, is the river Langd, a well known salmon
river with a good bungalow. Farther on, in the same district, there
are some other rivers where rod fishing might be successful, if the
nets were bought off, as has already been proved in the case of one
of them, viz. the Haffjar8ara.

Laxs i Délum, falling into Hvammsfiordur. This river has a good
reputation as being well stocked with salmon and the proprietor keeps
a good hotel for anglers.

The rvivers falling into Hiinaflsi. Some of these are good-sized
rivers and used to be well stocked with salmon, but having been net-
ted very much of late, they cannot be recommended at present.

Lax3 draining Mpvatn, has already been noted as one of the very
best salmon rivers in Iceland.

On the east and south-east coasts of Iceland there are hardly any
salmon rivers worth mentioning, except, perhaps, the river Hofs4, with
ane or two of its tributaries, falling into Vopnafjsrdur.

The Southern Hviti is to a great extent fed by glaciers, and also
netted a good deal, so it is hardly any good for rod fishing. It re-
ceives four big tributaries: the Sog, which is the outlet of the great
lake Thingvallavatn, the Briard, the greater Laxd and the lesser
Lax, but although salmon is fished in all these rivers, chiefly in the
month of August, none of them can really be recommended as good
salmon rivers.

TROUT AND CHAR
Of the many rivers and streams in Iceland where trout and char
may be caught, the river Sog, previously mentioned, and the upper
oart of the Lax4 draining Mpvatn, are considered to be the best.
There are hundreds of lakes all over the island, and a great many
of them are very good for fishing. The Thingvallavatn which is by
far the largest of them, having an area of about 100 square kilo-
        <pb n="190" />
        176

metres, is no doubt the one best stocked with fish, and besides char
and trout there are thought to be two other species, called locally
“Murta“ and “Depla“. Up to the present, however, these two varieties
have not been definitely classified. Some experts think they may prove
to be no more than char at immature state of development. From
80000 up to 200000 fish are taken out of the Thingvallavatn every
year, while the annual catch of fresh water fish, over the whole
country, rarely exceeds half a million,

Arnarvatn, which is the largest of the group of lakes called West
ern Fiskivétn, is a great deal beiter for rod fishing than the Thing-
vallavatn, although it is much smaller and not half so well stocked
with fish as the other.

The Eastern Fiskivstn or VeiBivstn are also said to afford very
good fishing, but they are more difficult of approach than most other
lakes in Iceland; nevertheless, some of the farmers from the nearest
districts net several of them.

During the last few years about 40 hatcheries, both for salmon and
char, have been put up in various places.
        <pb n="191" />
        SOME FACTS IN THE HISTORY
OF ICELAND

A.D.
871 The Norwegian chiefs Ing6lfur and Hjdrleifur land in Iceland

for permanent settling.
Hijérleifur is killed by his Irish slaves. Ingélfur avenges him.
High seat pillars of Ingélfur found drifted ashore at Reykija-
vik, where he finally settles.
Skallagrimur comes to Iceland, settles at Borg.
His son, Egill Skallagrimsson, the great poet and viking, b.
Egill Skallagrimsson and his brother Thérélfur visit king Ae-
thelstan of England.
Althingi (the Icel. Parliament) established at Thingvellir and the
Icelandic Commonwealth organized.
Eirikur the Red (one of the settlers of Iceland) colonizes
Greenland.
The noble hero Gunnar of Hliidarendi slain.
Grettir the outlaw b.
Gizur the White and Hjalti Skeggjason go to Norway.
They return to Iceland and at Althingi succeed in introducing the
Christian Faith. All Icelanders baptized.

Leifur, son of Eirikur the Red, discovers “Wineland the
Good*, alias North-America.
The Fifth Court or Supreme Court established.
Duels abolished. Bishop Isleifur, son of Gizur the White, b.
Thorfinnur Karlsefni attempts to colonize America.
Thorfinnur Karlsefni returns from America.

Burning at Bergthérshvoll; the wise chief Njall, his wife
Bergthdra, and their three sons perish in the fire.
Battle at Althingi, many of the Burners killed in revenge for
Niill and his familv.
        <pb n="192" />
        TL

A.D.
1014 HallfreBur, an Icelander, the scald of king Olafur Tryggvason, d.
Battle of Clontarf or Brian's battle where many Icelanders
were engaged.
St, Olafur, king of Norway, makes an unsuccessful attempt to
gain possession of Iceland.
Snorri godi (chief) d. and Grettir, the outlaw killed, these two
being the last notable personages of the saga period or heroic
age.
{sleifur Gizurarson first native consecrated as bishop of Ice-
land by order of the Pope.
Ari frédi, the historian, b.
Bishop f[sleifur Gizurarson d.
Bishop fsleifur succeeded by his son Gizur, of whom “it can
be truthfully said that he was both king and bishop of the is-
land until his death“ (1118).
System of tithes introduced by bishop Gizur and others.
Laws committed to writing. Beginning of literary period.
Death of Ari fr60i, ‘the father of Icel. history writing.
The greatest Icel. historian, Snorri Sturluson, b.
Jon Loftsson, the great chief and peace-maker, d. .
Civil war of the Sturlunga period (1200—1264) begins.
Snorri Sturluson persuades Hakon king of Norway and duke
5kili to abandon their plan of a military expedition to Iceland.
Battle of Orlygsstadir, where many of the Sturlunga family
were killed.
Snorri Sturluson treacherously assassinated by order of king
Hékon of Norway (Sept. 22).
Sea-battle of Hiinabay (June 25.).
Death of ThérBur Kakali, a great chief of the Sturlunga family.
Gizur Thorvaldsson illegally created earl or governor of Ice-
land by the king of Norway.
End of the Commonwealth, the Icelanders become the subjects
of the king of Norway.
1268 Gizur Thorvaldsson d.
1271-3 The Jé4rnsida code of law adopted.
1281 Jénsbék, a new code of law, adopted.
1284 Sturla Thérdarson, the historian, d.
1286 The Icelanders refuse conscription.
        <pb n="193" />
        A.D.

1302 The king of Norway forbids every one except Norwegian mer-
chants to trade with Iceland.

The Icelanders protest against having Norwegian “lawmen®.

1306 Althingi decides that the people shall resist the king's unjust
demands.

1380 Iceland with Norway comes under Danish rule.

1402 The Black Death.

1433 The Swede, Jén Gerreksson, probably the most vicious of all
the worthless foreign bishops Iceland had in those days, cap-
tured by two native chiefs, tied in a sack and drowned in the
river Briard near Skalholt.

1484 Jén Arason b.

1524 J6n Arason becomes bishop of the northern diocese of Iceland.

1530 Bishop Jén Arason puts up a printing press.

1534 The first book printed in Iceland.

1540 Oddur Gottskélksson publishes the New Testament in Icelandic.

1548 Bishop Jén Arason takes decisive steps to defend the Catholic
religion and the freedom of the country. Civil war.

Overthrow of the Catholic party. Bishop Jén Arason and his
sons, Bjorn and Ari, beheaded at Skalholt (Nov. 7.).

The Lutheran bishop, Gudbrandur Thorldksson, publishes the
first bible in Iceland.

Danish Trade Monopoly introduced.

Hallgrimur Pétursson, the great poet, author of the Passion
Hymns, b.

1627 Algerian pirates make raids on the coasts of Iceland.

1662 Absolutism established in Iceland. Oath of allegiance sworn to
king Frederick III.

Hallgrimur Pétursson d.

Burning for witchcraft abolished by law.

Arni Magniisson and P4ll Vidalin take census.

Skili Magnisson causes different factories to be built at Reykjavik.
First Icelandic periodical published (a monthly).

Volcanic eruption of Laki, the most terrible and destructive
eruption in the history of Iceland.

1787 Trade Monopoly abolished.

1794 Skili Magniisson d.

1798 Althingi held for the last time at Thingvellir, where if had met
svery vear since A. D. 930.
        <pb n="194" />
        0

A.D.
1800

1811

1843
1848
1854
1874

1879
1885

1896
1902
1904
1906
1911
1914
1915
1918
1918

1929

1930

The Danish adventurer, Jérgen J6rgensen, aided by some Eng-
ish merchants, makes himself “king“ of Iceland. Rules for six
weeks, and at the end of that time is dethroned by an English
R. N. Captain and brought to England.

Jon Sigurdsson, the great Statesman, scholar and patriot, b.
{June 17.).

Restoration of Althingi in Reykjavik.

The first weekly paper issued (The Thjsdélfur).

Free Trade adopted.

Millennial anniversary of the first settlement of Iceland cele-
brated. King Christian 1X visits Iceland. Iceland gets its first
Constitution.

Death of J6n SigurBsson.

The National Bank of Iceland established by law of Sept. 18th.
Starts business July 1st, 1886.

First daily paper issued (The Dagskra).

The Islandsbanki established by law. Starts business 1904,
[celand gets Home Rule,

Telegraphic cable laid between Iceland and Europe.

University founded in Reykjavik (June 17.).

(celandic Steamship Company Ltd. established (Jan. 17.).
[celand gets a local flag.

The Iceland Marine-Insurance Co., Ltd. established.

{celand becomes a sovereign kingdom in union with Denmark
(Dec. 1.).
The Rural Bank of Iceland established by Jaw, Commences
operations Jan. 1st, 1930.
(tvegsbanki {slands established. Takes over the assets and lia-
silities of Islandsbanki.

Millennial anniversary of the establishment of Althingi and the
foundation of the Icelandic Commonwealth.
        <pb n="195" />
        SOME BOOKS ON ICELAND
IN FOREIGN LANGUAGES

BIBLIOGRAPHY
Hermannsson, Halldér: Catalogue of the Icelandic Collection be-
queathed by Willard Fiske, Ithaca N. Y. 1914 and 1927 (contains
the bulk of Icelandic literature concerning Iceland).
Islandica. An Annual relating to Iceland and the Fiske Icelandic
collection in Cornell University Library. Ithaca N. Y. 1908 ff.
GENERAL INFORMATIONS
Jénsson, Snzbjérn: The Iceland Year-Book 1927. Reykjavik 1927.
Stefansson, Stefan: leceland. Revkiavik 1911.

Hagskgrslur Islands. Statistique de I'Islande. Publié par le Bureau de
Statistique de 'lslande. Les en-tétes en francais. Revkiavik 1914 ff.

Gudmundsson, Valtyr: Island am Beginn des 20. Jahrhunderts. Kat-
towitz 1904.

Herrmann, Paul: Island. Das Land und das Volk. Leipzig u. Berlin
1914. (Aus Natur und Geisteswelt 461).

Mitteilungen der Islandfreunde. [Vierteljahrsschrift] Organ der Verei-
nigung der Islandfreunde. Jena 1913 ff.

Poestion, J. C.: Island. Das Land und seine Bewohner. Wien 1885.

Schweitzer, Ph.: Island. Land und Leute, Geschichte, Literatur und
Sprache. Leipzig s. a.
Dyring, Joh.: Island. Folk og land, neringsliv og samfundsinnret-
ninger. Porsgrund 1928.

Fra Islands Neringsliv. Kristiania 1914.

Gudmundsson, Valtyr: Islands Kultur ved Aarhundredskiftet 1900.
Kbhavn 1902.
        <pb n="196" />
        32

Island. Strejflys over Land og Folk. Kobenhavn 1917.
Islands Adressebog. Handels- og Industrikalender. Directory of Ice-
land. Revkiavik 1917 f§.

TRAVELS
Baring-Gould, S.: Iceland. Its Scenes and Sagas. London 1863.
Bisiker, William: Across Iceland. London 1902.
Bruun, Daniel: Iceland. Routes over the Highlands. Copenhagen 1907.
Brvce, James: Impressions of Iceland (1872). In his Memories of
Travel. London 1923.
Burton, R. F.: Ultima Thule; or a Summer in Iceland. Vols. I-11.
London and Edinburgh 1875.
Coles, John: Summer Travel in Iceland. London 1882.
Collingwood, W. G. and Jén Stefinsson: A Pilgrimage to the Saga
Steads of Iceland. Ulverston 1899,
Dufferin, Lord: Letters from High Latitudes. 11th ed. London 1908.
Hall, J. N.: On the stream of travel. Boston 1926.
Henderson, E.: Iceland; or the Journal of a Residence in that Island
during the Years 1814—1815. Vols. I—II. Edinburgh 1818.
Hooker, William Jackson: Journal of a Tour in Iceland in the Sum-
mer of 1809. Vols. [—1I, 2nd ed. London 1813.
Howell, Frederick W. W.: Icelandic Pictures drawn with Pen and
Pencil. London 1893.
Mackenzie, George Stewart: Travels in the Island of Iceland during
the Summer 1810. 2nd ed, Edinburgh 1812.
Memorials of Willard Fiske. Vols. 1—Iil. London 1920; passim.
Morris, William: Journal of Travels in Iceland 1871, 1873 in the
Collected Works of William Morris. London 1911, vol. VIII.
Oswald, Miss E. J.: By Fell and Fjord or Scenes and Studies in
, Iceland. London 1882.
Russel, W. S, C.: Iceland. Horseback Tours in Saga Land. Boston 1914.
Shepherd, C. N.: The North-West Peninsula of Iceland. London 1867,
Svmington, Andrew James: Pen and Pencil Sketches of Faroe and
Iceland. London 1862.
Taylor, Bayard: Egypt and Iceland in the Year 1874. 2rd ed. New York 1902.
Watts, W. L.: Across the Vatna Jokull. London 1876.

Gaimard, Paul: Voyage en Islande et au Groénland exdcutd pendant
les années 1835 et 1836. I—IX. Paris 1838—52.
Groote, Eugéne de: Island. Paris 1889.
        <pb n="197" />
        1 83

Baumgartner, Alexander: Island und die Firder. 3. Aufl. Freiburg im
Breisgau 1902.

Grumbkow, Ina von: {safold. Reisebilder aus Island. Berlin 1909.

Herrmann, Paul: Island in Vergangenheit und Gegenwart [—IIL.
Leipzig 1907, 1910.

Heusler, A.: Bilder aus Island. Berlin 1896. (Deutsche Rundschau).

Kahle, B.: Ein Sommer auf Island. Berlin 1900.

Kiichler, Carl: In Lavawiisten und Zauberwelten auf Island. Berlin 1911.

— Unter der Mitternachtssonne durch Island. Leipzig 1906.

— Waiistenritte und Vulkanbesteigungen auf Island. Altenburg 1909.

Preyer, W. &amp; F. Zirkel: Reise nach Island im Sommer 1860. Leipzig
1862.

Svensson, Jon: Zwischen Eis und Feuer. Ein Ritt durch Island.
Breslau 1911.

Winkler, Gustav Georg: Island. Seine Bewohner, Landesbildung und
vulkanische Natur. Braunschweig 1861.

Bruun, Daniel: Fortidsminder og Nutidshjem paa Island. 2. Udg. Ké-
benhavn 1928.
Turistruter paa Island I—III. 2. Udg. Koébenhavn 1921—24, IV,
—V. Kébenhavn 1925-—27.

Det danske Studentertog til Faerderne og Island Sommeren 1900.
Kbhavn 1902.

Engstrom, Albert: At Hicklefidll. Minnen fran en Islandsfird. Stock-
holm 1913.

Feddersen, Arthur: Paa islandsk Grund. Kbhavn 1885.

Feilberg, P.: Et Bestg paa Island. Kbhavn 1897.

Gulbranson, C.: Paa Hesteryggen gjennem Island. Oslo 1926.

Klinckowstrém, A.: Blandt vulkaner och fagelberg. I—II. Stockholm 1911.

Paulsen, Sven og Holger Rosenberg: Islandsfeerden 1907. Kében-
havn 1907.

Svensson, Jon: Et ridt gennem Island. Kbhavn 1908.

GEOGRAPHY, NATURAL HISTORY AND ECONOMY
Anderson, Tempest: Volcanic Studies in many Lands. London 1903.
Kolderup-Rosenvinge, L. &amp; E. Warming: The Botany of Iceland.

Copenhagen and London 1914 ff.
Slater, Henry H.: Manual of the Birds of Iceland. Edinburgh 1901.
        <pb n="198" />
        84

Semundsson, Bjarni: Synopsis of the Fishes of Iceland. Reykjavik 1927,
Thorkelsson, Thorkell: The Hot Springs in Iceland. Kbhavn 1910.

Erkes, Heinrich: Aus dem unbewohnten Innern Islands. Dortmund 1909.

Griiner, Max: Die Bodenkultur Islands. Berlin 1912.

Hantzsch, Bernhard: Beitrag zur Kenntnis der Vogelwelt Islands.
Berlin 1905.
Knebel, W. &amp; H. Reck: Island. Eine naturwissenschaftliche Studie.
Stuttgart 1912.

Olafsen, Eggert &amp; Biarne Povelsen: Reise durch Island. Kopenhagen
u. Leipzig 1774—75.

Pieturss, Helgi: Island. Heidelberg 1910 (Handbuch der regionalen
Geographie VI. B. | Abteil))

Spethmann, Hans: Islands grésster Vulkan, Die Dyngjufjsll mit der
Askja. Leipzig 1913.

FThoroddsen, Th.: Geschichte der islindischen Geographie [—I[. Leip-
zig 1897—98.

— Die Geschichte der islindischen Vulkane. Kopenhagen 1925.

— Island, Grundriss der Geographie und Geologie. Gotha 1905.

J.

Bruun, Daniel: Det héje Nord. Fardernes, Islands og Grénlands Ud-
forskning. Kébenhavn 1902.

De Danske Atlanterhavséer. En orienterende Oversigt. Kbhavn 1904
(Afsnit 1: Island. Naturforhold, Befolkning, Hjzlpekilder og Ne-
ringsveje).

Jensen, N. P.: Kongeriget Island. Kbhavn 1924.

Jonsson, Helgi: Islands Geografi. Kristiania 1924.

— Om Algevegetationen ved Islands Kyster. Kbhavn 1910.

Kélund, P. E. Kristian: Bidrag fil en historisk-topografisk Beskrivelse
af Island I—II. Kbhavn 1877—82.

Olafsen, Eggert &amp; Biarne Povelsen: Reise igjennem Island I--1I.
Sorée 1772—74.

Olavius, Olaus: Qeconomisk Reise igiennem Island. Kbhavn 1780.

Pjetursson, Helgi: Om Islands Geologi. Kbhavn 1906.

Risting, Sigurd: Av Hvalfangstens Historie. Kristiania 1922 (Deri:
Island S. 168—193).

Schmidt, Johs.: Fiskeriunderségelser ved Island og Feréerne i Som-
meren 1903. Kbhavn 1904.

Stefdnsson, Stefin &amp; H. G. Soéderbaum: Islands foder- og betesvix-
ter. I—I1. Stockholm 1902, 1904.
        <pb n="199" />
        185

Stefansson, Valtyr: Det islandske Landbrug. Kbhavn 1920 (Dansk-
isl. Samf. Smaaskr. Nr. 6—7).

Semundsson, Bjarni: Oversigi over Islands Fiske, med Oplysning om
deres Forekomst, vigtigste biologiske Forhold og ékonomiske Be-
tydning. Kbhavn 1909.

Thoroddsen, Th. Oversigt over de islandske Vulkaners Historie.
Kbhavn 1882.

Vulkaner og Jordskielv paa Island. Kbhavn 1897.
HISTORY

Bryce, James: Primitive Iceland in Studies in History and Jurispru-
dence. I. London 1901.

Gjerset, Knut: History of Iceland. New York 1924.

McGill, Alexander: The Independence of Iceland. Glasgow 1921.

Stefansson, Jén: Denmark and Sweden with Iceland and Finland.
London 1916.

Sweden, Norway,
Haven 1930.

Thérdarson, Matthfas: The Althing, Iceland's Thousand Year old Parlia-
ment 930—1930. Revkijavik 1930.

Viaurer, Konrad: Island von seiner ersten Entdeckung bis zum Unter-
gange des Freistaates. Miinchen 1874.

Niedner, F.: Islands Kultur zur Wikingerzeit, Jena 1913 (Thule. Ein-
leitungsband). 3
ABils, Jén J.: Den danske Monopolhandel 1602—1787. Kbhavn 1926 —27.
Benedictsen, Age Meyer: Oversigt over det islandske Folks Historie.
3. Oplag. Kbhavn 1923.
Blondal, Sigfis: Islandske Kulturbilleder. Kébenhavn 1923—24.
Blondal, Sigfts &amp; SigurDur Sigtryggsson: Gammel islandsk Kultur i
Billeder. Kébenhavn 1929.
Finsen, V.: Den islandske Fristats Institutioner. Kbhavn 1888.
Gudmundsson, Valtyr: Island i Fristatstiden. Kbhavn 1925.
Helgason, Jén: Fra Islands Demringstid. Kobenhavn 1918.
Islands Kirke fra dens Grundlaggelse til Reformationen. Kében-
havn 1925.
— Islands Kirke fra Reformationen til vore Dage. Kobenhavn 1922.
Olason, Pall Eggert: Grunndrag af Islands Historie. Oslo 1927.
Paasche, Frederik: Snorre Sturlason og Sturlungerne. Kristiania 1920.
        <pb n="200" />
        | 86

Stephensen, Magnis: Island i det attende Aarhundrede. Kbhavn 1808.
Thorsteinsson, Thorsteinn: Island under og efter Verdenskrigen. Kb-
benhavn 1928.

LANGUAGE
Buckhurst, H. M.: An Elementary Grammar of Old Icelandic. London
1925,
(Garmonsway, G. N.: An early Norse Reader. Cambridge 1928.
Gordon, E. V.: An Introduction to Old Norse. Oxford 1927.
J6nsson. Snzbjérn: A Primer of Modern Icelandic. Oxford 1927.
Sweet, H.: An Icelandic Primer with Grammar, Notes and Glossary.
Oxford 1886.
Vigfiisson, G. and F. Y. Powell: An Icelandic Prose Reader. Oxford
1870

Thorkelsson, P4ll: Samtalsb6k islenzk-fronsk. Guide Islandais-Francais.
2 ed. Revkiavik 1913.

Erkes, Heinrich: Kurzer Deutsch-Neuislindischer Sprachfiihrer mit
Grammatik- und Wérterverzeichnis. Dortmund 1906,

Heusler, A.: Altislindisches Elementarbuch. Heidelberg 1913.

Noreen, A.: Alfislindische und altnorwegische Grammatik. 4. Aufl.
Halle 1923.

Poestion, J. C.: Einleitung in das Studium des Altnordischen I.—II.
Hagen in W. &amp; Leipzia 1882—1887.
Gudmundsson, Valtr: Islandsk Grammatik. Islandsk Nutidssprog.
K&amp;ébenhavn 1922,

Jonsson, Finnur: Det islandske Sprogs Historie i kort Omrids. Ké-
benhavn 1918 (Dansk-isl. Samf. Smaaskr.).
Grammatik for det islandske Oldsprog. Kbhavn 1925.
Islandske Lmsestvkker med Forklaringer og Ordsamling I. Kbhavn
1918.

~ Omrids af det islandske Sprogs Formlare i Nutiden. Kbhavn 1905.

Kock, E. A.: Kort islindsk grammatik. Lund 1898.
DICTIONARIES
Vigfiisson, Gudbrand: An Icelandic-English Dictionary, based on the
MS. Collection of the late Richard Cleasby. Oxford 1874.
Zoéga. G. T.: A Concise Dictionary of Old Icelandic. Oxford 1910.
        <pb n="201" />
        {87

Zogga, G. T.. Ensk-islenzk orBabék. English-Icelandic Dictionary. 2nd
ed. Reykjavik 1911.
fslenzk-ensk orBdabék. Icelandic-English Dictionary. 2nd ed. Reykja-
vik 1922.

Thorkelsson, Pall: Dictionnaire Francais-islandais. Reykjavik 1914.

Ambrosoli, S.. Breve saggio di un vocabolario lialiano-islandese.
Como 1882.

Egilsson, Sveinbjérn: Lexicon poéticum antiqua linguz septentrionalis.
Hafniz 1860. Second edition, with Danish translations by Finnur
Jénsson. Kébenhavn 1913—16.
Mobius, Th.: Altnordisches Glossar. Leipzig 1866.
Blondal, Sigfds: Islandsk-Dansk Ordbog. Reykjavik 1920—24.

Fritzner, J.: Ordbog over det gamle norske Sprog I.—Ill. Kria
1886—96.

Gunnarsson, Freysteinn: Donsk orBabék med islenzkum b¢dingum
[Dansk-Islandsk Ordbog]. Reykjavik 1926.

Hagstad, M. &amp; A. Torp: Gamalnorsk ordbok 1909.

J6nsson, Erik: Oldnordisk Ordboa. Kbhavn 1863.

IL.ITERATURE
Craigie, W. A.: The Icelandic Sagas. Cambridge 1913.
Hermannsson, Halldér: The Periodical Literature of Iceland down to
the Year 1874. Ithaca N. Y. 1918 (Islandica XI).
{celandic Authors of To-day. Ithaca N. Y. 1913. (Islandica VI).
— Icelandic Manuscripts. Ithaca N. Y. 1929. (Islandica XIX).
Ker, W. P.: Epic and Romance. London 1908.
— The Dark Ages. New York 1904.

Golther, W.: Nordische Litteraturgeschichte I. Leipzig 1905. (Sammlung
Géschen 254).

Mogk, E.: Geschichte der Norwegisch-Islindischen Litteratur. 2. Aufl.
Strassburg 1904.

Poestion, J. C.: Eislandbliiten. Ein Sammelbuch neuislandischer Lyrik
Leipzig u. Miinchen 1905.
Istindische Dichter der Neuzeit. Leipzig 1897.
        <pb n="202" />
        188
Poestion, J. C.: Steingrimur Thorsteinsson, ein islindischer Dichter
und Kulturbringer. Miinchen u. Leipzig 1912,
Zur Geschichte des Islindischen Dramas und Teaterwesens. Wien
1903.

Schweitzer, P.: Geschichte der Skandinavischen Litteratur. Leipzig
[1886 —88).

Thule, Altnordische Dichtung und Prosa. Jena 1912—25. 24 Binde
{Ubersetzungen von Islindischen Sagas mit lehrreichen Einleitun-
gen betreffend Islands Litteraturgeschichte etc.].
Hansen, Olaf: Islandsk Renassance. Kébenhavn 1907.

— Ny-islandsk Lyrik, Overs=ttelser og Studier Kbhavn 1901.

Jénsson, Finnur: Den oldnorske og oldislandske Litteraturs Historie.
2. Udg. I-III. Kbhavn 1920—24.

Méller, Arne: Hallgrimur Pjeturssons Passionssalmer. En Studie over
islandsk Salmedigtning i det 16. og 17. Aarhundrede. Kbhavn 1922.
Islandsk Digtning i nyeste Tid og Danmark. Kbhavn 1920.

— Islands Lovsang gennem Tusind Aar. Kbhavn 1923.

Nordal, Sigurbur: Udsigt over Islands litteratur i det 19. og 20. ar-
hundrede. Oslo 1927.

Paasche, Frederik: Norges og Islands litteratur indtil utgangen af
middelalderen (i Bull &amp; Paasche: Norsk litteraturhistorie 1. bd.).
Kria 1924,

Rosenberg, Carl: Nordboernes Aandsliv fra Oldtiden til vore Dage.
[—III. Kbhavn 1878—85.

Svensson, Jon: Islandsblomster. Kbhavn 1906.

Thorkelsson, Jon: Om Digtningen pa Island i det 15. og 16. Arhun-
drede. Kbhavn 1888.
        <pb n="203" />
        INDEX

Accident insurance 111—113
Accidents, cause of death 16
Administration 34-35
mt , expenditure 40-41, 44,

48—49
Admission fo Iceland 161-162
Age distribution 14
Agricultural population 17-18, 51

schools 63
societies 59, 60, 62—63
Agriculture 51—64
Air communication 104—105
Althingi, constitution 27—30
, expenditure 40—41, 44
, history 19—22, 161
America, discovery of, 177
Angling 174 —176
Area of Iceland 1
- inhabited land 51

Art industry 157
Arts 157—160
Assets, municipal 49

— , State 45
Aviation 104—105

Banks 85-92

Birds 8

Births 15

Bridges 99

Broadcasting 129
Budget 30-31

Business houses 77-78
Butter production 58, 59

Cattle 54—56
Causes of death 16

Caves 170
Census 12—13
Ceniral Administration 34—35
ok —_— , expenditure 44
Chamber of commerce 79
Char 8
— , angling 175—176
Chemical Laboratory 128
Chess, collection of books on, 126—127
Church; expenditure 40—41, 45
— , organization 31, 120—122
Climate 5—6
Coal, importation of, 81—82, 84
— , import duty on, 80
Coasts 1
Cod fisheries 67
Coffee, importation of, 82
— , import duty on, 80
Colonization of Greenland 177
_—— - Iceland 11, 19, 177
Commerce 77—84
—— , population 17
Commercial Schools 79
—— Travellers 163
Commission Agents 163
Communications 98—105
, expenditure 40—41, 44
—45, 48—49
, population 17
Conjugal condition 14
Constitution 26—34
, history 19-23
Cooperative societies, agricultural 59-640
— yy , consumers 78
Council of State 26—27
Court poetry 133—136
        <pb n="204" />
        190

Crops 53—54
Customs 40—41, 43-44, 79—80

Dairies 59
Deaths 1516
Debt, national 46
~— , local 49—50
Districts, finance 47—50
—— , jurisdiction 33
—~— , local government 35
Domestic industries 75
Dramatic art 160
—~— literature 156
Drowning 16
Duties 79—80

Earthquakes 3

Eddic lays 133—134

Education, elementary 123—124
—— , expenditure on, 40—41, 45, 48
—~— , secondary 125—126
—— , University 126

Elementary schools 123—124

Emigration 13

Employers’ organizations 106

Eruptions, volcanic 2

Zstates 52-53
— , improvements of, 60—61

Exchange rates 97

Executive power 31—32

Expenditure, municipal 48—49
—— , State 40—41, 44-45

Export duties 80

Synorts 80—84

Farmers 51, 53
Farming population 17—18, 51
Farm produce 58—59
Fauna 7—9
Finance, Municipal 47—50
~ , State 39—47
Financial Institutions 85—96
Fine Arts 157—160
Fire insurance 95
Fisheries, Foreigners’ rights 164
—— , inspection 24, 74
—-— , in Lakes and Rivers 9, 167—169
—— , population 17, 67
—— , Sea 9, 65—74
Fishermen 66

Fish export 71—72, 83—84
Fishing fleet 65—66

— Fund 73

— seasons 66
Fish-oil 69-70

— , export 83
Fish-sorting and curing 69
Flora 6—7
Folk melodies 159
Folk-Tales 153
Foodplants 7
Foreign affairs 24
— , expenditure 44
Foreign companies 165
Foreigners in Iceland 161—166
Forests 6, 54
— , area 52
— , planting of, 63
Foxes 7=-8

Geography 1—10

Geological Formation 4—5
Geysir 3, 170, 173

Glaciers 2

Goats 54, 57

Government Stores 78
Greenland, colonization of, 177
Gulf Stream 6
Habitable land 9
Handicraft, population 17
-—— trades 75

Harbours 102
Hay, production of, 53
Hekla 2, 169, 173
Herring, fisheries 70-71

—-— , export 83, 84
Historical literature 144 —150, 152
History of Iceland 19-23, 177—180
Horses 54, 5657

-- , exportation of, 57, 81
Hospitals 114-115
Hot springs 2-3, 170

— — , sources of energy 10
Housing 115116
Hypothec-Mortgage Department 87, 8%

[celandic Steamship Company 101
.celand moss 7
enar 9
        <pb n="205" />
        ng |

import duties 79—80
Imports 80—84
Improvement of Estates 60-62
index-numbers 109
Industry 75—76
, population 17
International Status of Iceland 23—25
'nsurance 94, 96
—— of fishing vessels 73
—— , foreign companies 96, 156, 159
-— , social 111—114
trrigation works 62
islands 1
issue of notes 87—90
Justice 32-33
Jokulls 2

King 26—27, 31-32

Labour disputes 106—107
Lakes 4, 172, 175—176
Laws 30—31

— , historical 36--38
Language 11-12
Legislative power 30—31
Liabilities, municipal 49-50

—— , State 45—46

Libraries 126—127
Life assurance 95--96
Lighthouses 102
Literature 133-156
Live stock 54—58
[.ocal government 35

Manufactures 75—76
Marine insurance 94-95
Maritime jurisdiction 74
Marriages 14
Mediation in labour disputes 107
Mercantile marine 100
Meteorological Institute 128

-_— —- expenditure 45
Milk production 58
Vines 9—10
Ministers 26—27
Ministries 34--35
Money 97
Monopolies 44, 78-79, 118
Motor cars 99

Mountains 1

Municipal finance 47—50

Museums 127

Music 158—160

Mutton, salted, exportation of, 58—59, 83

National Bank 86-89
Debt 46—47
Estates 52—53
Library 126—127
Museum 127
Record office 127
Theatre 160

Nationality 11
—— , acquisition of, 166
Natural Resources 9—10
Navigation 100—101
Newspapers 131
Notes, issue of, 87—90
Novels 154 —156

Occupations 17—18
Old Age Insurance 111

Painting 157—158
Parishes 35, 121

—— , finance 47—50
Parliament = Althingi
?arties, political 131
Patents 164
Peat 5, 54
Periodicals 132
Petroleum, importation of, 82, 84

—— , import duty on, 80
~— , monopoly 78
Joetry 133—144
Political parties 131
Political rights of foreigners 166
Poor relief, expenditure 48
— , organization 110
— , receivers of, 17
Population 11—18
Postal Service 102—103
— , revenue and expenditure

40—41, 44
Potatoes 7, 54
Poultry 54, 57
vices 108—110
Jrinting 131

vohibition 117—119
        <pb n="206" />
        192

Protection of workers 107—108
Public health 114—115
. expenditure 40—41, 44, 48

Race 11
Real estate, Foreigners’ rights 164
Registration of vessels 157-158
Reindeer 7
Religion 120
Republic of Iceland 19-20
Revenue, municipal 47—49
~— , State 39—44
Reykjavik 17, 167—168, 172, 177
Rights of citizens 33—34
Rivers 3, 170—171, 174—175
Roads 98 —100 :
— , expenditure 48—49
Royal power 26~-27, 31—32
flag 8
Rural Bank of Iceland 91—92
husbandry 51-64
population 16—18, 51
Réntgen Institute 128

Sagas 144—151
Salaries of State officials 109—110
Salmon 8

~ , angling 174—175
Salt, importation of, 82. 84
— , import duty on, 80
Sanitation 114—115
—— , expenditure 40—41, 44, 48
Savings Banks 93—94
Schools, agricultural 63
—— , commercial 79
—— , elementary 123-124
—-— , expenditure 48
, for sailors and fishermen 73
~— , secondary 125-126
Sculpture 158
Seals 8
Sea-territorial Fund 73
Sea weed 7
Sexes, proportion 13—14
Sheep 54—55
— , exportation of, 58
Sheep-skins, exportation of, 59, 83
Shipping 100—101
~~ Foreigners’ right 164
Sickness insurance 113—114

Slaughter-houses 59—60
Social conditions 106—119
— insurance 111-114
Societies, agricultural 59, 60, 62—63
—— , cooperative 59—60, 78
for the promotion of the Fish-
ing trade 74
for the promotion of Learning
and Science 129—130
Sports 130
State finance 39-47
— loans 46-47
Steamship Company, The Icelandic 101
Strikes and lock-outs 106
Struggle for independence 22
Sugar, importation of, 82
- , import duty on, 80
Swedes 7, 54

Taxation of Foreigners 165—166
Taxes, municipal 47—48
— , State 40-43
Telegraphs and telephones 103—104
— — _ revenue and
expenditure 40—41, 44
Temperance 117—119
Thingvellir 168
Tobacco, importation of, 82
—-— , import duties on, £0
—-— , monopoly 78
[ourists 167
Tourist routes 172—174
Towns, finance 47-50
— , jurisdiction 33
— , local government 35
— , population 16—17
Trade 77—84
— , Foreigners’ rights 162
— Marks 164
Trout 8
— , angling 175-176
Tuberculosis, cause of death 16
—— . fight against, 114—115

Union with Denmark 21
—— , actof, 1918, 23-25
— Norway 20
University 126
Urban population 16—17
        <pb n="207" />
        "33

Value of estates 52
Vegetation 7
Veterinary service 63
Jolcanoes 2, 169—170

Wine, importation of, 82, 117
— , import duties on, 80
— , monopoly 44, 79, 118
Wood, importation of, 82, 84
— , import duty on, 80
Woods 6, 54
Wool, exportation of, 59, 83
Workmen's associations 106
protection 107—108

Wages 103—110
Waterfalls 3, 171—172
Water power 10, 170-171
Weights and measures 97
Mhales 8
        <pb n="208" />
        CORRIGENDA

Page 20, first line of last paragraph. For made with king at Althingi, read made with
the king at Althingi.
Page 21, line 14. For and for this several reasons read and this for several reasons,
        <pb n="209" />
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National Bank 86-89
Debt 46—47
Estates 52—53
Library 126—127
Museum 127
Record office 127
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Parishes 35, 121

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Parties, political 131
Patents 164
Peat 5, 54
Periodicals 132
Petroleum, importation of, 82, 84

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Poetry 133—144
Political parties 131
Political rights of foreigners 166
Poor relief, expenditure 48

— , orgahization 110

- — , receivers of, 17
Population 11—18
Postal Service 102-103

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Poultry 54, 57
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      </div>
    </body>
  </text>
</TEI>
