10. Luxembourg

Being the world’s richest country, its no wonder Luxembourg’s residents are happy. This European country is so small it has an army of only 800 people, and no navy or air force. They do however share the ownership of a military cargo plane with Belgium. Luxembourg also holds the world record as the country that consumes the most alcohol in the world per citizen.

9. Guatemala

The ninth happiest country borders with Mexico and is surrounded by the Pacific Ocean and the Caribbean Sea. Unfortunately, repeated hurricanes and earthquakes take a toll on Guatemala’s land and residents. Their main exports are coffee, sugar and bananas.

8. Canada

Canada is one country that truly wants world peace. For one, Canada has never cancelled its relations in Cuba and it has declined to take part in the Iraq war. Also, as one of the United Nation’s leaders in peacekeeping missions, Canada has launched a $1.5 billion initiative to develop vaccines for poverty stricken countries.

7. Sweden

Sweden’s residents get hooked up with some sweet deals. The state provides universal tax funded child care, parental leave, health care, education, retirement pensions and sick leave. Swedes do pay much higher taxes, but they are okay with their “welfare state” model. After all, who can complain about unlimited high quality services?

6. Australia

Australia is the only country in the world that consists of an entire continent. Australians enjoy the largest collection of living things on the planet- the Great Barrier Reef. They are also known for playing rugby and…partying! I guess there is nothing like relaxing with your ‘mates’.

5. Finland

You may not know much about Finland, but you have probably heard of Nokia. First off, Finland is the country that brought us Nokia, and secondly, in 2206 Nokia generated more revenue than Finland’s entire budget. No wonder Finland has the most competitive economic budget in the world.

4. Iceland

Iceland is rich in volcanoes, geysers and…happiness! Due to its geothermal power, Iceland gets its electricity and hot water for pennies. This cheap local energy makes the country very cost effective. In fact, Iceland is the world’s most developed country because the country effectively utilizes its land.

3. Austria

Compared to the United States, Austria is managed in a much different way. It is one of few countries that allows legal voting beginning at age 16. Furthermore, upon turning 18 all males must take part in a 6 month military service. Austria has also declared itself as a neutral country and takes part in peace keeping missions only. Another unique factor is that due to its wide-spread use of wind, solar and hydro power, Austria produces 80% of its energy from renewable resources. Education is also mostly free with the exception of a small student semester fee of about $583. Needless to say, Austrians do not graduate in debt.

2. Switzerland

Switzerland holds a spot as the world’s 10^th richest country thanks to its production of cheese and chocolate. The country used to be a magnet for illegal money because of its lenient bank policies but has since tightened the system. Now, Switzerland focuses on keeping the country clean and is the top garbage recycler in the world.

1. Denmark

Similar to Sweden, Denmark provides its citizens with mostly free services. However you can expect to pay 72% of your money to the government since this country has the world’s highest taxes! The benefits are mostly free education and health care but larger purchases such as automobiles can rack up quite the bill. As a result, people in Denmark do a lot of walking, bike riding, and take advantage of one of the best public transportation systems in the world.