Iceland is economically active.
Iceland . In 1994 , it became a part of the European Economic Area , which further diversified the economy into sectors such as finance , biotechnology , and manufacturing . Iceland has a market economy with relatively low taxes compared to other OECD countries . Iceland ranks high in economic , political and social stability and equality . Some bankers were jailed . Since then , the economy has made a significant recovery , in large part due to a surge in tourism .