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The slogan roughly means that everything will work out all right in the end.
It sums up how many Icelanders seem to approach life - laid back, carefree attitude and a good sense of humour. Yet, the slogan seems strange for a country that is not an easy place to live in. They have long winters, extreme poverty, indentured servitude, volcanic eruptions, strong storms, and about 500 small earthquakes every week. Through the 18th Century, 30% of babies died in their first year.
The phrase 'þetta reddast' seems to make more sense when you realise that the first Icelanders mainly were Norwegian farmers and peasants fleeing slavery and death. They risked a 1,500km journey across the rough North Atlantic seas in small open-hulled boats.
They needed a level of conviction and optimism that things will work out, even if life seems hard at present. Of course, it doesn't mean everything will always work out, but they didn't let that stop them from trying.
Icelanders believe in their ability to fix things. With the harsh conditions, they are often forced to make the impossible possible.
Just like those early settlers who came from Norway, surely the same optimism can see us through the rough times we're facing.
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