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New Zealand's Economy

New Zealand's Economy: Recap

A recap of New Zealand's economy and its innovations in policy.

New Zealand is a small country with big policy ideas.

Module recap

  • About 5 million people rely on exports.
  • Fonterra leads dairy exports.
  • Rogernomics opened the economy.
  • New Zealand invented inflation targeting.
  • Kiwifruit branding reinvented exports.
  • Tourism boomed, then paused in the pandemic.
  • Housing became unaffordable.
  • Treaty settlements built the Māori economy.
  • The Wellbeing Budget looked beyond GDP.
  • Farm emissions complicate climate policy.
  • Australia is a close partner.

Lessons

Small countries can innovate in policy.

The policy lab

Ideas first tried in New Zealand, like inflation targeting, spread worldwide.

Thinking small countries can't matter

New Zealand's ideas spread globally.

Key takeaways
  • New Zealand relies on farm exports and tourism.
  • It pioneered policy reforms.
  • Housing and climate are challenges.
  • Small countries can innovate.
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