2  Historical GDP growth rates in Denmark  Chart 1  Per cent 6 5 4  GDP growth Per capita GDP growth  3 2 1 0 1816- 1836- 1856- 1876- 1896- 1916- 1936- 1956- 1976- 1996- 20161826 1846 1866 1886 1906 1926 1946 1966 1986 2006 2050  Source: Ministry of Finance, May 2017, and Kim Abildgren, A chart & data book on the monetary and financial history of Denmark, SSRN Working Papers, No.
2977516, May 2017. The risk of imbalances often arises if domestic capacity is overestimated and excessive demand unleashed, e.g. via expansionary fiscal policy or easing of financial regulation. It is not sound economic policy to do so in an upswing when actual growth exceeds structural growth.