Danes enjoy a high standard of living and the Danish economy is characterised by extensive government welfare provisions. Like other Nordic countries, Denmark has adopted the Nordic Model which combines free market capitalism with a comprehensive welfare state and strong worker protection.[126] As a result of its acclaimed "flexicurity" model, Denmark has the most free labour market in Europe, according to the World Bank. Employers can hire and fire whenever they want (flexibility), and between jobs, unemployment compensation is very high (security).[127] Establishing a business can be done in a matter of hours and at very low costs.[128] No restrictions apply regarding overtime work, which allows companies to operate 24 hours a day, 365 days a year.[127] Denmark has a competitive corporate tax rate of 24.5% and a special time-limited tax regime for expatriates.[129] The Danish taxation system is broad based, with a 25% value-added tax, in addition to excise taxes, income taxes and other fees. The overall level of taxation (sum of all taxes, as a percentage of GDP) is estimated to be 46% in 2011.
