What type of economy does New Zealand and Australia have?
Both New Zealand and Australia have mixed economies. These economies incorporate elements of both market and planned economies.
In New Zealand, the government fosters a free-market economy with minimal regulations and barriers to trade. The country heavily relies on international trade, particularly agriculture, horticulture, and tourism. New Zealand also employs a comprehensive welfare system to support its citizens.
Australia also has a mixed market economy, which promotes free trade and open markets. The country is known for its rich natural resources, including minerals, energy, and agriculture. Australia has a strong services sector, manufacturing industry, and a significant focus on technological advancements. The government provides social welfare, healthcare, and education services to its citizens.
Both countries have well-established trade relationships and often work together as economic partners in the Asia-Pacific region.