The Economic Council was established by law in 1962. The objective of the Council is to monitor the Danish economy and analyze long-term economic development. Another objective of the Council is to improve coordination between the different economic interests in the Danish society. Finally, the Council should assess the soundness of the public finances and the compliance with the different goals related to fiscal policy (eg. act as "Fiscal Watch Dog").
The Council consists of the chairmanship and a further up to 17 members representing unions, employers' federations, the Central Bank and the Government and 3 academic experts. The members are nominated by the individual organizations, and are appointed by the Minister of Economic Affairs. In total, there are currently 24 members of the Environmental Economic Council.