ABSTRACT
This chapter begins with the different approaches to explaining an economy's industrial transformation. It presents a broad empirical overview of the changes that shook the Norwegian economy, and briefly compare Norway's transition with other states that were undergoing similar adjustments. The chapter describes some of the most important developments in the domestic economy prior to World War I: traditional sectors, new industrial sectors. It elaborates on the role played by the main motors of the Norwegian economy: farming, fishing and shipping. The economic literature on industrialization, development and economic take-off is enormous, unwieldy, and largely irrelevant for understanding Norway's experience. The Norwegian experience fits only uncomfortably with the many stylized models of economic transformation. The Norwegian whaling industry grew out of the coastal fishing industry. The driving influence to hunt offshore was not the combustion motor, but a couple of significant inventions that help to explain Norway's leading role in this infamous profession.
