Like all of Scandinavia, Denmark is a social democratic country, going more and more politically correct. This means that cars are considered a very, VERY bad thing. Bicycles and mopeds are THE thing here.
As a matter of fact, the most 'In' form of transportation here is a 30 mph moped! Prices start at $1.500, but buying a $3.500 moped is the really cool thing to do! And I am talking grown-ups here, not kids!
If you are a really bad person, who wants to pollute the environment by driving a car (why else would you buy one?), you will be severely punished by huge taxes.
For starters, putting license plates on a car costs 180% of the value of the car, which includes transportation from the car plant, among other things. Car manufactures are trying to help out by lowering the price on cars shipped to Denmark, thereby increasing the price for all other countries (someone has to pay for it). Therefore the price isn't always three times as high, as one might otherwise expect. Latest thing, though, is that the EC (European Community) has passed a law against that, so an increase in car prices of about 20% is happening right now. Mercedes has done this already and this has brought up the price at a ridiculous level. The C 240 can now be yours at a mere $117.758!

Try thinking about this for a moment: when there is a tax of 180%, what impact do you think it has on car stereos, leather interiors, A/C's, safety equipment and so on? That's right, all of these extras are taxed at 180% too, so something as common to most of the world as automatic transmission is found in about 1% of all cars. But at $5.000 extra on average ($6.500 for a Mercedes), that's not so strange...

The 2004 Danish prices of some cars you can relate to:

• BMW M3: $202.942
• BMW M5: $301.724
• BMW 760Li: $435.062

See what I am talking about?

The result is that most people pay the car in cash, and take a second mortgage to pay the tax. Needless to say, most cars sold are very small and unsafe, but who can afford to buy a real car?

My cousin and his American girlfriend bought a car during a stay in the States (LA, where she used to live, until she met one of us irresistible Danes!). They paid $1.600 for it. The interior was messed up and the outside finish was horrible, but they needed a car to get around, so they bought it. When it was time to go home, they were so happy with their new car, they decided to bring it back to Denmark. A 180% tax on a $1.600 car, that's not so bad, or so they thought.
The shipping cost was a mere $1.000 to have it send to Germany, where they had to pick it up themselves and take the 300 miles trip to Denmark. A lot of money, but OK, that was to be expected.
Then the car was brought in for inspection and here the fun begins: when registering a used car, the tax is based on how much the car would cost in mint condition at a dealership showroom, not the actual condition. The result was not a 180% tax, but a 1 .156% tax! That's right, to put license plates on a $1.600 car, they would have to pay $18.500! I won't even bother to comment on that. That car is never going to drive again...

Toyota Yaris - a bargain at only $24.191!

Data sheet:
Top speed: 96 mph - 0-60 mph: 13.6 sec - 1.0 liter, 4 cylinders - HP: 65 (!) - Transmission: 5-speed manual - Length: 361 cm

The price on this particular car has gone up with $5.000 since I wrote this in 2001. The price above is from November 2004.

This is the kind of cars that Danes are forced to buy: small, unsafe and VERY expensive! Not that bad in downtown traffic, although you really shouldn't do to much shopping (where would you keep the groceries?), but imagine going 70 mph on the highway! I am wondering how many lives could be saved each year, if we were allowed to buy real cars?

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