Norway Has Too Much of a Good Thing

The country’s oil industry thrives while costs throttle other sectors
Glomfjord, Norway Graphic by Bloomberg Businessweek; Data: International Monetary Fund and Bloomberg Calculations

For the town of Glomfjord in Norway’s Arctic, the country’s oil boom has turned into a curse. Unemployment has more than doubled to 7.3 percent and people are moving out after solar-energy component maker Renewable Energy closed a 200-person plant in March before shifting production abroad to cut costs. “It’s an earthquake—a catastrophe,” says Per Swensen, the 65-year-old mayor of Meloey, a district of 6,600 people scattered across 755 islands that includes Glomfjord.

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