What type of economic system does New Zealand have?
The Economy of New Zealand is a market economy which is greatly dependent on international trade, mainly with Australia, the United States of America, China and Japan. It is strongly dependant on tourism and agricultural exports, and has only small manufacturing and high-tech components. A market economy is an economic system in which the production and distribution of goods and services take place through the mechanism of free markets guided by a free price system. Businesses and consumers decide what they will purchase and produce, and in which decisions about the allocation of those resources are without government intervention.
