132-469: The Open Education Resource Foundation is a New Zealand open educational organisation that supports the following projects: This article about an education organization is a stub . You can help Misplaced Pages by expanding it . New Zealand New Zealand is an island country in the southwestern Pacific Ocean . It consists of two main landmasses—the North Island ( Te Ika-a-Māui ) and
264-593: A floating exchange-rate and reductions in the fiscal deficit . During the early 1980s, Douglas transitioned from a traditional Labour politician advocating for economic interventionism to a proponent of neoliberal economics. After the Labour Party won government in 1984, Douglas and his associates implemented major policies including a 20% devaluation of the dollar , corporatisation of state-owned business, removal of subsidies to industries (particularly agricultural subsidies ), reduction of tariff protection, and
396-557: A minority government can be formed if support from other parties during confidence and supply votes is assured. The governor-general appoints ministers under advice from the prime minister, who is by convention the parliamentary leader of the governing party or coalition. Cabinet , formed by ministers and led by the prime minister, is the highest policy-making body in government and responsible for deciding significant government actions. Members of Cabinet make major decisions collectively and are therefore collectively responsible for
528-468: A protectionist and highly regulated economy to a liberalised free-trade economy. Unemployment peaked just above 10% in 1991 and 1992, following the 1987 share market crash , but eventually fell to 3.7% in 2007 (ranking third from twenty-seven comparable OECD nations). However, the global financial crisis that followed had a major effect on New Zealand, with the GDP shrinking for five consecutive quarters,
660-577: A copy was sent to King William IV who had already acknowledged the flag of the United Tribes of New Zealand, and who recognised the declaration in a letter from Lord Glenelg . Aotearoa (pronounced [aɔˈtɛaɾɔa] in Māori and / ˌ aʊ t ɛəˈr oʊ . ə / in English; often translated as 'land of the long white cloud') is the current Māori name for New Zealand. It is unknown whether Māori had
792-416: A country living on borrowed money, unable – in spite of the record efforts of its exporters – to pay its own way in the world. From a neoliberal point of view which promotes small government, balanced budgets and inflation targeting, the economic policy of successive governments had left the domestic economy sheltered and unresponsive to consumers; inflation, which was more than ten per cent a year throughout
924-500: A high level of innovation . Poverty in New Zealand is characterised by growing income inequality; wealth in New Zealand is highly concentrated , with the top 1% of the population owning 16% of the country's wealth, and the richest 5% owning 38%, leaving a stark contrast where half the population, including state beneficiaries and pensioners, receive less than $ 24,000. Moreover, child poverty in New Zealand has been identified by
1056-517: A minister, Douglas was innovative in the context of the public sector . As Broadcasting Minister he devised an administrative structure in which two publicly owned television channels competed against each other. He was among the government’s leading advocates of compulsory saving for retirement, which he saw not only as a supplement to public provision for retirement but as a source of funding for public investment in economic development. The superannuation scheme he helped design became law in 1974, but
1188-551: A name for the whole country before the arrival of Europeans; Aotearoa originally referred to just the North Island . Māori had several traditional names for the two main islands, including Te Ika-a-Māui ( ' the fish of Māui ' ) for the North Island and Te Waipounamu ( ' the waters of greenstone ' ) or Te Waka o Aoraki ( ' the canoe of Aoraki ' ) for the South Island . Early European maps labelled
1320-445: A no-strike commitment from the union. Later settlements drew further concessions from unions, including below-inflation wage increases, and an effective real wage cut. There was a structural change in the economy from industry to services, which, along with the arrival of trans-Tasman retail chains and an increasingly cosmopolitan hospitality industry, led to a new ‘café culture’ enjoyed by more affluent New Zealanders. Some argue that for
1452-766: A party must win at least one electorate or 5% of the total party vote before it is eligible for a seat. Elections since the 1930s have been dominated by two political parties , National and Labour . More parties have been represented in Parliament since the introduction of MMP. New Zealand's judiciary , headed by the chief justice , includes the Supreme Court , Court of Appeal , the High Court , and subordinate courts. Judges and judicial officers are appointed non-politically and under strict rules regarding tenure to help maintain judicial independence . This theoretically allows
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#17330858739791584-402: A party that would promise the public anything to be elected. He argued that the party should agree on its economic policy before it agreed on anything else, and allow economic reality to play a part in its decision-making. Unable to convince Rowling of the merit of his case, a disillusioned Douglas decided to stand down from parliament at the 1981 election . One of those who persuaded him to stay
1716-496: A reputation as a maverick, he remained within the mainstream of economic thinking in the parliamentary Labour Party. He argued in 1982 that the government should actively support small business, and intervene to stop the aggregation of assets by big business. In his view, the government should use the tax system to encourage productive investment and discourage speculative investment. Until the end of 1983, Douglas saw exchange rate, tax and protection policies as means of actively shaping
1848-497: A shared Trans-Tasman identity between the two countries stemming from centuries of British colonisation. Nationally, legislative authority is vested in an elected, unicameral Parliament , while executive political power is exercised by the Government , led by the prime minister , currently Christopher Luxon . Charles III is the country's king and is represented by the governor-general , Cindy Kiro . In addition, New Zealand
1980-419: A significant overhaul of the tax system . Tax cuts were implemented, and a Goods and Services Tax (initially set at 10%) was introduced. Rogernomics represented a sharp departure from the post-war political consensus that emphasised heavy interventionism, protectionism , and full employment . Instead, it embraced principles of small government , balanced budgets , and free market policies influenced by
2112-486: A similar trend to dairy, the number of vineyards doubling over the same period, overtaking wool exports for the first time in 2007. In 2015, renewable energy generated 40.1% of New Zealand's gross energy supply. The majority of the country's electricity supply is generated from hydroelectric power , with major schemes on the Waikato , Waitaki and Clutha / Mata-Au rivers, as well as at Manapouri . Geothermal power
2244-614: A trade which provided the basis for strong economic growth in New Zealand. High demand for agricultural products from the United Kingdom and the United States helped New Zealanders achieve higher living standards than both Australia and Western Europe in the 1950s and 1960s. In 1973, New Zealand's export market was reduced when the United Kingdom joined the European Economic Community and other compounding factors, such as
2376-399: A twenty per cent devaluation of the dollar to increase the competitiveness of exports. Although radical, it took an eclectic approach and did not hint at the abandonment of Labour's Keynesian policy framework. Douglas became increasingly frustrated by what he saw as the Labour Party's reluctance to deal with fundamental issues of economic policy. He claimed in 1981 that Labour had an image as
2508-484: A yearly average of more than 2,000 hours of sunshine. The southern and southwestern parts of the South Island have a cooler and cloudier climate, with around 1,400–1,600 hours; the northern and northeastern parts of the South Island are the sunniest areas of the country and receive about 2,400–2,500 hours. The general snow season is early June until early October, though cold snaps can occur outside this season. Snowfall
2640-588: Is Wellington , and its most populous city is Auckland . The islands of New Zealand were the last large habitable land to be settled by humans. Between about 1280 and 1350, Polynesians began to settle in the islands and subsequently developed a distinctive Māori culture . In 1642, the Dutch explorer Abel Tasman became the first European to sight and record New Zealand. In 1769 the British explorer Captain James Cook became
2772-609: Is a constitutional monarchy with a parliamentary democracy , although its constitution is not codified . Charles III is the King of New Zealand and thus the head of state . The king is represented by the governor-general , whom he appoints on the advice of the prime minister . The governor-general can exercise the Crown 's prerogative powers , such as reviewing cases of injustice and making appointments of ministers , ambassadors, and other key public officials, and in rare situations,
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#17330858739792904-704: Is a member of the United Nations , the Commonwealth of Nations and the Organisation for Economic Co-operation and Development (OECD), and participates in the Five Power Defence Arrangements . Today, New Zealand enjoys particularly close relations with the United States and is one of its major non-NATO allies , as well as with Australia , with a " Trans-Tasman " identity between citizens of
3036-598: Is also a significant generator of electricity, with several large stations located across the Taupō Volcanic Zone in the North Island. The four main companies in the generation and retail market are Contact Energy , Genesis Energy , Mercury Energy and Meridian Energy . State-owned Transpower operates the high-voltage transmission grids in the North and South Islands, as well as the Inter-Island HVDC link connecting
3168-576: Is also a significant source of revenue. New Zealand is a member of the United Nations , Commonwealth of Nations , ANZUS , UKUSA , Five Eyes , OECD , ASEAN Plus Six , Asia-Pacific Economic Cooperation , the Pacific Community and the Pacific Islands Forum . It enjoys particularly close relations with the United States and is one of its major non-NATO allies ; the United Kingdom; Samoa , Fiji , and Tonga ; and with Australia , with
3300-564: Is classified as a non-self-governing territory , but is administered by a council of three elders (one from each Tokelauan atoll ). The Ross Dependency is New Zealand's territorial claim in Antarctica , where it operates the Scott Base research facility. New Zealand nationality law treats all parts of the realm equally, so most people born in New Zealand, the Cook Islands, Niue, Tokelau, and
3432-869: Is common in the eastern and southern parts of the South Island and mountain areas across the country. New Zealand's geographic isolation for 80 million years and island biogeography has influenced evolution of the country's species of animals , fungi and plants . Physical isolation has caused biological isolation, resulting in a dynamic evolutionary ecology with examples of distinctive plants and animals as well as populations of widespread species. The flora and fauna of New Zealand were originally thought to have originated from New Zealand's fragmentation off from Gondwana, however more recent evidence postulates species resulted from dispersal. About 82% of New Zealand's indigenous vascular plants are endemic , covering 1,944 species across 65 genera . The number of fungi recorded from New Zealand, including lichen-forming species,
3564-459: Is equivalent to 15% of the population of New Zealand. New Zealand has a strong presence among the Pacific Island countries, and enjoys strong diplomatic relations with Samoa , Fiji , and Tonga , and among smaller nations. A large proportion of New Zealand's aid goes to these countries, and many Pacific people migrate to New Zealand for employment. The increase of this since the 1960s led to
3696-440: Is heavily dependent on international trade, particularly in agricultural products. Exports account for 24% of its output, making New Zealand vulnerable to international commodity prices and global economic slowdowns . Food products made up 55% of the value of all the country's exports in 2014; wood was the second largest earner (7%). New Zealand's main trading partners, as at June 2018 , are China ( NZ$ 27.8b), Australia ($ 26.2b),
3828-494: Is made up of two main islands and more than 700 smaller islands . The two main islands (the North Island , or Te Ika-a-Māui , and the South Island , or Te Waipounamu ) are separated by Cook Strait , 22 kilometres (14 mi) wide at its narrowest point. Besides the North and South Islands, the five largest inhabited islands are Stewart Island (across the Foveaux Strait ), Chatham Island , Great Barrier Island (in
3960-502: Is mainly derived from Māori and early British settlers, with recent broadening of culture arising from increased immigration to the country . The official languages are English, Māori , and New Zealand Sign Language , with the local dialect of English being dominant. A developed country , it was the first to introduce a minimum wage , and the first to give women the right to vote . It ranks very highly in international measures of quality of life , human rights , and it has one of
4092-436: Is not known, nor is the proportion of those fungi which are endemic, but one estimate suggests there are about 2,300 species of lichen-forming fungi in New Zealand and 40% of these are endemic. The two main types of forest are those dominated by broadleaf trees with emergent podocarps , or by southern beech in cooler climates. The remaining vegetation types consist of grasslands, the majority of which are tussock . Before
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4224-555: Is organised into 11 regional councils and 67 territorial authorities for local government purposes. The Realm of New Zealand also includes Tokelau (a dependent territory ); the Cook Islands and Niue (self-governing states in free association with New Zealand); and the Ross Dependency , which is New Zealand's territorial claim in Antarctica . The first European visitor to New Zealand, Dutch explorer Abel Tasman , named
4356-509: Is to regulate "the natural environment with particular emphasis on resource management ", while territorial authorities are responsible for sewage, water, local roads, building consents, and other local matters. Five of the territorial councils are unitary authorities and also act as regional councils. The territorial authorities consist of 13 city councils, 53 district councils, and the Chatham Islands Council. While officially
4488-489: The New Zealand Listener coined the term Rogernomics as a portmanteau of Roger and economics . It echoes " Reaganomics ", similar neoliberal economic policies promoted by United States President Ronald Reagan in the 1980s. Douglas became a Labour member of Parliament at the 1969 general election . He showed his interest in economic policy in his maiden speech, in which he argued against foreign investment in
4620-629: The 1973 oil and 1979 energy crises, led to a severe economic depression . Living standards in New Zealand fell behind those of Australia and Western Europe, and by 1982 New Zealand had the lowest per-capita income of all the developed nations surveyed by the World Bank . In the mid-1980s New Zealand deregulated its agricultural sector by phasing out subsidies over a three-year period. Since 1984, successive governments engaged in major macroeconomic restructuring (known first as Rogernomics and then Ruthanasia ), rapidly transforming New Zealand from
4752-827: The ANZAC tradition it shares with Australia. In addition to Vietnam and the two world wars, New Zealand fought in the Second Boer War , the Korean War , the Malayan Emergency , the Gulf War , and the Afghanistan War . It has contributed forces to several regional and global peacekeeping missions, such as those in Cyprus , Somalia , Bosnia and Herzegovina , the Sinai , Angola , Cambodia ,
4884-556: The Alliance , and United (later United Future ). Clark for her part survived these internal leadership scuffles and Labour stabilised under her leadership during the third and final term of the Jim Bolger and Jenny Shipley ministries. Much like Tony Blair in the United Kingdom, Clark assumed a compromise solution to social exclusion and poverty, combining advocacy of the open economy and of free trade with greater emphasis on fighting
5016-684: The Chicago school of economics . Douglas' adoption of policies more usually associated with the political right (or New Right ), and their implementation by the Fourth Labour Government, became the subject of lasting controversy. While proponents argued that Rogernomics brought about positive changes such as single-digit inflation and reduced tax rates, critics highlighted social challenges, including rising poverty and unemployment. The legacy of Rogernomics continues to shape discussions on economic policy in New Zealand. In February 1985, journalists at
5148-671: The European Union ($ 22.9b), the United States ($ 17.6b), and Japan ($ 8.4b). On 7 April 2008, New Zealand and China signed the New Zealand–China Free Trade Agreement , the first such agreement China has signed with a developed country. In July 2023, New Zealand and the European Union entered into the EU–New Zealand Free Trade Agreement , which eliminated tariffs on several goods traded between
5280-533: The First Labour Government from 1936 onwards, and since 1945 both parties had aimed at maintaining full employment. However, beneficiaries of the regulated economy had flourished in both public and private sectors. Douglas argued that only radical action would improve the economic outlook. In 1980, he published an "Alternative Budget" that attacked what Douglas called the Muldoon government's "tinkering" with
5412-692: The Gondwanan supercontinent. About 25 million years ago, a shift in plate tectonic movements began to contort and crumple the region. This is now most evident in the Southern Alps, formed by compression of the crust beside the Alpine Fault . Elsewhere, the plate boundary involves the subduction of one plate under the other, producing the Puysegur Trench to the south, the Hikurangi Trough east of
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5544-605: The Great Depression . The depression led to the election of the first Labour Government and the establishment of a comprehensive welfare state and a protectionist economy. New Zealand experienced increasing prosperity following the Second World War, and Māori began to leave their traditional rural life and move to the cities in search of work. A Māori protest movement developed, which criticised Eurocentrism and worked for greater recognition of Māori culture and of
5676-614: The Hauraki Gulf ), D'Urville Island (in the Marlborough Sounds ) and Waiheke Island (about 22 km (14 mi) from central Auckland). New Zealand is long and narrow—over 1,600 kilometres (990 mi) along its north-north-east axis with a maximum width of 400 kilometres (250 mi) —with about 15,000 km (9,300 mi) of coastline and a total land area of 268,000 square kilometres (103,500 sq mi). Because of its far-flung outlying islands and long coastline,
5808-568: The Iran–Iraq border, Bougainville , East Timor , and the Solomon Islands . New Zealand has an advanced market economy , ranked 13th in the 2021 Human Development Index , and fourth in the 2022 Index of Economic Freedom . It is a high-income economy with a nominal gross domestic product (GDP) per capita of US$ 36,254. The currency is the New Zealand dollar , informally known as
5940-566: The Legislative Council , until this was abolished in 1950. The supremacy of parliament over the Crown and other government institutions was established in England by the Bill of Rights 1689 and has been ratified as law in New Zealand. The House of Representatives is democratically elected, and a government is formed from the party or coalition with the majority of seats. If no majority is formed,
6072-624: The National Party government from 1990 to 1993. Beginning with the Mother of all Budgets , the National Government expanded these policies by drastically cutting spending, deregulating labour markets, and further asset sales. In 1990 David Lange said of the Government: "It is there to be the securer of its citizen[s'] welfare. Where the market works well, it should be given its head. Where
6204-519: The South Island ( Te Waipounamu )—and over 700 smaller islands . It is the sixth-largest island country by area and lies east of Australia across the Tasman Sea and south of the islands of New Caledonia , Fiji , and Tonga . The country's varied topography and sharp mountain peaks, including the Southern Alps , owe much to tectonic uplift and volcanic eruptions. New Zealand's capital city
6336-666: The Statute of Westminster , confirming that the British Parliament could no longer legislate for the country without its consent. The British government's residual legislative powers were later removed by the Constitution Act 1986 , and final rights of appeal to British courts were abolished in 2003. Early in the 20th century , New Zealand was involved in world affairs, fighting in the First and Second World Wars and suffering through
6468-650: The United Kingdom and negotiate a treaty with the Māori. The Treaty of Waitangi was first signed in the Bay of Islands on 6 February 1840. In response to the New Zealand Company's attempts to establish an independent settlement in Wellington , Hobson declared British sovereignty over all of New Zealand on 21 May 1840, even though copies of the treaty were still circulating throughout the country for Māori to sign. With
6600-600: The United States Department of State noted that the New Zealand government generally respected the rights of individuals, but voiced concerns regarding the social status of the Māori population. In terms of structural discrimination , the New Zealand Human Rights Commission has asserted that there is strong, consistent evidence that it is a real and ongoing socioeconomic issue. One example of structural inequality in New Zealand can be seen in
6732-616: The West Coast of the South Island to semi-arid in Central Otago and the Mackenzie Basin of inland Canterbury and subtropical in Northland . Of the seven largest cities, Christchurch is the driest, receiving on average only 618 millimetres (24.3 in) of rain per year and Wellington the wettest, receiving almost twice that amount. Auckland, Wellington and Christchurch all receive
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#17330858739796864-413: The alienation and confiscation of large amounts of Māori land. New Zealand became a dominion in 1907; it gained full statutory independence in 1947, retaining the monarch as head of state . Today, the majority of New Zealand's population of 5.25 million is of European descent ; the indigenous Māori are the largest minority, followed by Asians and Pasifika . Reflecting this, New Zealand's culture
6996-473: The caldera of one of the world's most active supervolcanoes . New Zealand is prone to earthquakes . The country owes its varied topography, and perhaps even its emergence above the waves, to the dynamic boundary it straddles between the Pacific and Indo-Australian Plates . New Zealand is part of Zealandia , a microcontinent nearly half the size of Australia that gradually submerged after breaking away from
7128-477: The reserve powers (e.g. the power to dissolve Parliament or refuse the royal assent of a bill into law). The powers of the monarch and the governor-general are limited by constitutional constraints, and they cannot normally be exercised without the advice of ministers. The New Zealand Parliament holds legislative power and consists of the king and the House of Representatives . It also included an upper house,
7260-544: The seven-continent model. New Zealand's climate is predominantly temperate maritime ( Köppen : Cfb), with mean annual temperatures ranging from 10 °C (50 °F) in the south to 16 °C (61 °F) in the north. Historical maxima and minima are 42.4 °C (108.32 °F) in Rangiora , Canterbury and −25.6 °C (−14.08 °F) in Ranfurly , Otago . Conditions vary sharply across regions from extremely wet on
7392-446: The "Kiwi dollar"; it also circulates in the Cook Islands (see Cook Islands dollar ), Niue, Tokelau, and the Pitcairn Islands . Historically, extractive industries have contributed strongly to New Zealand's economy, focusing at different times on sealing, whaling, flax , gold, kauri gum , and native timber. The first shipment of refrigerated meat on the Dunedin in 1882 led to the establishment of meat and dairy exports to Britain,
7524-413: The "nice cop" and Prebble the "nasty cop ", Douglas could sometimes appear as steering a considered middle course. Later Trevor de Cleene was made undersecretary to Douglas, with special responsibility for Inland Revenue. The key element of Douglas's economic thinking was implemented after Labour won the 1984 election but before it was formally sworn into office. This was the 20 per cent devaluation of
7656-428: The 1970s, was high by the standards of the country's major trading partners; and there was a persistent fiscal deficit. It was thought a large part of the economy was controlled by regulation, some arbitrary or inconsistent. The post-war political consensus had produced stability but Douglas viewed this as being at the cost of innovation. Both major political parties maintained the high levels of protection introduced by
7788-448: The 1984 standard of living until 1996; the lowest 30% did not recover their own 1980s living standards for twenty years. The health of the New Zealand population was also especially hard-hit, leading to a significant deterioration in health standards among working and middle-class people. In addition, many of the promised economic benefits of the experiment never materialised. Between 1985 and 1992, New Zealand's economy grew by 4.7% during
7920-629: The 2024 Global Peace Index , New Zealand is the 4th most peaceful country in the world. New Zealand's military services—the New Zealand Defence Force —comprise the New Zealand Army , the Royal New Zealand Air Force , and the Royal New Zealand Navy . New Zealand's national defence needs are modest since a direct attack is unlikely. However, its military has had a global presence . The country fought in both world wars, with notable campaigns in Gallipoli , Crete , El Alamein , and Cassino . The Gallipoli campaign played an important part in fostering New Zealand's national identity and strengthened
8052-597: The Chatham Islands Council is not a unitary authority, it undertakes many functions of a regional council. The Realm of New Zealand, one of 15 Commonwealth realms , is the entire area over which the king or queen of New Zealand is sovereign and comprises New Zealand, Tokelau , the Ross Dependency , the Cook Islands , and Niue . The Cook Islands and Niue are self-governing states in free association with New Zealand. The New Zealand Parliament cannot pass legislation for these countries, but with their consent can act on behalf of them in foreign affairs and defence. Tokelau
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#17330858739798184-424: The Government as a major societal issue; the country has 12.0% of children living in low-income households that had less than 50% of the median equivalised disposable household income as of June 2022 . Poverty has a disproportionately high effect in ethnic-minority households, with a quarter (23.3%) of Māori children and almost a third (28.6%) of Pacific Islander children living in poverty as of 2020 . New Zealand
8316-439: The Labour Party Prime Minister of New Zealand Elections At the end of 1983 there was a marked change in Douglas's thinking. He prepared a caucus paper called the "Economic Policy Package" which called for a market-led restructuring of the economy. The key proposal was a 20 per cent devaluation of the dollar, to be followed by the removal of subsidies to industry, border protection and export incentives. The paper doubted
8448-410: The MMP system, each person has two votes; one is for a candidate standing in the voter's electorate , and the other is for a party. Based on the 2018 census data, there are 72 electorates (which include seven Māori electorates in which only Māori can optionally vote), and the remaining 48 of the 120 seats are assigned so that representation in Parliament reflects the party vote, with the threshold that
8580-599: The Māori of later years. In a hostile 1642 encounter between Ngāti Tūmatakōkiri and Dutch explorer Abel Tasman 's crew, four of Tasman's crew members were killed, and at least one Māori was hit by canister shot . Europeans did not revisit New Zealand until 1769, when British explorer James Cook mapped almost the entire coastline. Following Cook, New Zealand was visited by numerous European and North American whaling , sealing , and trading ships. They traded European food, metal tools, weapons, and other goods for timber, Māori food, artefacts, and water. The introduction of
8712-527: The Māori population. The Māori population declined to around 40% of its pre-contact level during the 19th century; introduced diseases were the major factor. The British Government appointed James Busby as British Resident to New Zealand in 1832. His duties, given to him by Governor Bourke in Sydney, were to protect settlers and traders "of good standing", prevent "outrages" against Māori, and apprehend escaped convicts. In 1835, following an announcement of impending French settlement by Charles de Thierry ,
8844-399: The New Zealand dollar. The announcement of the snap election immediately provoked selling of the dollar by dealers who anticipated that a change of government would lead to a substantial devaluation. The result was a currency crisis that became a matter of public knowledge two days after the general election. Muldoon refused to accept official advice that devaluation was the only way to stop
8976-426: The North Island, and the Kermadec and Tonga Trenches further north. New Zealand, together with Australia, is part of a wider region known as Australasia . It also forms the southwestern extremity of the geographic and ethnographic region called Polynesia . Oceania is a wider region encompassing the Australian continent , New Zealand, and various island countries in the Pacific Ocean that are not included in
9108-489: The North Island, saw thousands of imperial troops and the Royal Navy come to New Zealand and became known as the New Zealand Wars . Following these armed conflicts, large areas of Māori land were confiscated by the government to meet settler demands. The colony gained a representative government in 1852 , and the first Parliament met in 1854. In 1856 the colony effectively became self-governing, gaining responsibility over all domestic matters (except native policy, which
9240-565: The Ross Dependency are New Zealand citizens. During the period of the New Zealand colony, Britain was responsible for external trade and foreign relations. The 1923 and 1926 Imperial Conferences decided that New Zealand should be allowed to negotiate its own political treaties , and the first commercial treaty was ratified in 1928 with Japan. On 3 September 1939, New Zealand allied itself with Britain and declared war on Germany with Prime Minister Michael Joseph Savage proclaiming, "Where she goes, we go; where she stands, we stand". In 1951,
9372-417: The Treaty of Waitangi. In 1975, a Waitangi Tribunal was set up to investigate alleged breaches of the Treaty, and it was enabled to investigate historic grievances in 1985. The government has negotiated settlements of these grievances with many iwi, although Māori claims to the foreshore and seabed proved controversial in the 2000s. New Zealand is located near the centre of the water hemisphere and
9504-642: The United Kingdom became increasingly focused on its European interests, while New Zealand joined Australia and the United States in the ANZUS security treaty. The influence of the United States on New Zealand weakened following protests over the Vietnam War , the refusal of the United States to admonish France after the sinking of the Rainbow Warrior , disagreements over environmental and agricultural trade issues, and New Zealand's nuclear-free policy . Despite
9636-519: The United States's suspension of ANZUS obligations, the treaty remained in effect between New Zealand and Australia, whose foreign policy has followed a similar historical trend. Close political contact is maintained between the two countries, with free trade agreements and travel arrangements that allow citizens to visit, live and work in both countries without restrictions. In 2013 there were about 650,000 New Zealand citizens living in Australia, which
9768-497: The ability of the private sector to promote economic development. Economic restructuring was to be led by the government, which would act within a consultative framework. In this way, the social costs of restructuring would be avoided. There was stalemate in the Policy Council. As the 1984 election drew closer, Labour's deputy leader Geoffrey Palmer drafted a compromise that contained elements of both proposals. The Palmer paper
9900-438: The arrival of humans, an estimated 80% of the land was covered in forest, with only high alpine , wet, infertile and volcanic areas without trees. Massive deforestation occurred after humans arrived, with around half the forest cover lost to fire after Polynesian settlement. Much of the remaining forest fell after European settlement, being logged or cleared to make room for pastoral farming, leaving forest occupying only 23% of
10032-492: The business environment. In August 1982 he supported a contributory superannuation scheme as a means of funding industrial development and in February 1983 he wrote a paper called "Picking Winners for Investment" which proposed the establishment of local consultative groups to guide regional development. In a paper dated May 1983, Douglas argued that an unregulated market led to unhealthy concentrations of market power. Leader of
10164-496: The consequences of neoliberal policies. Labour became loosely aligned with the Third Way between 1999 and 2008. The ACT Party , co-founded by Roger Douglas in 1993 to participate in the 1996 MMP election , is the heir to Rogernomics and continues to advance free-market policies. In 1990s New Zealand, advocates of radical economic policies were often branded as "rogergnomes" by their opponents, linking their views to Douglas's and to
10296-474: The consequences of these decisions. The 42nd and current prime minister, since 27 November 2023, is Christopher Luxon . A parliamentary general election must be called no later than three years after the previous election. Almost all general elections between 1853 and 1993 were held under the first-past-the-post voting system. Since the 1996 election , a form of proportional representation called mixed-member proportional (MMP) has been used. Under
10428-471: The contribution to the package of Doug Andrew, a Treasury officer on secondment to the parliamentary opposition, among others. W H Oliver noted the close alignment of the package and Economic Management , Treasury's 1984 briefing to the incoming government. His assessment was that Douglas was predisposed towards the Treasury view because its implementation required decisive action and because greater reliance on
10560-461: The country has extensive marine resources. Its exclusive economic zone is one of the largest in the world, covering more than 15 times its land area. The South Island is the largest landmass of New Zealand. It is divided along its length by the Southern Alps . There are 18 peaks over 3,000 metres (9,800 ft), the highest of which is Aoraki / Mount Cook at 3,724 metres (12,218 ft). Fiordland 's steep mountains and deep fiords record
10692-536: The country the focus in the economy shifted from the productive sector to finance. Finance capital outstripped industrial capital and redundancies occurred in manufacturing industry; approximately 76,000 manufacturing jobs were lost between 1987 and 1992. The new state-owned enterprises created from 1 April 1987 began to shed thousands of jobs adding to unemployment: Electricity Corporation 3,000; Coal Corporation 4,000; Forestry Corporation 5,000; New Zealand Post 8,000. The newly unfettered business environment created by
10824-497: The criminal justice system. According to the Ministry of Justice , Māori are overrepresented, comprising 45% of New Zealanders convicted of crimes and 53% of those imprisoned, while only being 16.5% of the population. The early European settlers divided New Zealand into provinces , which had a degree of autonomy. Because of financial pressures and the desire to consolidate railways, education, land sales, and other policies, government
10956-470: The currency crisis and provoked a brief constitutional crisis when he initially refused to implement the incoming government’s instruction that he devalue. Both crises were soon settled when accepted that he had no choice but to devalue after Muldoon's National Party colleagues threatened to approach the Governor General to dismiss him. Although devaluation was a contentious issue in the Labour Party and
11088-484: The deregulation of the financial sector, David Grant writes, left New Zealanders "easy targets for speculators and their agents", exacerbating the effects of the October 1987 stock market crash . During wage bargaining in 1986 and 1987, employers started to bargain harder. Lock-outs were not uncommon; the most spectacular occurred at a pulp and paper mill owned by Fletcher Challenge and led to changes to work practices and
11220-593: The dismantling of the Australasian orthodoxy of state development that had existed for the previous 90 years, and its replacement by the Anglo-American neo-classical model based on the monetarist policies of Milton Friedman and the Chicago School . The financial market was deregulated and controls on foreign exchange removed. Subsidies to many industries, notably agriculture, were removed or significantly reduced, as
11352-465: The domestic economy. His case for external protection of the domestic economy and government involvement in investment was characteristic of the Labour Party of the time. From 1972 to 1975, Douglas was a junior minister in the Third Labour Government , where he won a reputation for his capacity for innovation. This government followed a broadly Keynesian approach to economic management. As
11484-443: The economy. He wrote that twenty years of pandering to entrenched interests had dampened productive investment. The Labour leadership saw his proposals and their unauthorised publication as unfavourable comment on Labour policy. The Labour leader Bill Rowling publicly rebuked Douglas. Douglas then published his thinking in the form of a book. Alongside far-reaching proposals for reform of taxation and government spending, it advocated
11616-471: The election with an unfinished argument doing duty as its economic policy. In 1984, Roger Douglas was made Minister of Finance, with two associate ministers of finance, David Caygill and Richard Prebble . They became known as the "Treasury Troika" or the "Troika", and became the most powerful group in Cabinet. Douglas was the strategist, Prebble the tactician, while Caygill mastered the details. With Caygill
11748-456: The end of Douglas' tenure as finance minister; and income tax rates were halved, while gross national income per capita almost doubled, from $ 6,950 USD in 1984 to $ 13,640 USD in 1990. Other supporters of Rogernomics have argued that many statistics do not take into account the improvements in consumer goods it brought, transforming New Zealand from a country where permits were needed to buy overseas magazines, and where prices were high and choice
11880-405: The extensive ice age glaciation of this southwestern corner of the South Island. The North Island is less mountainous but is marked by volcanism . The highly active Taupō Volcanic Zone has formed a large volcanic plateau , punctuated by the North Island's highest mountain, Mount Ruapehu (2,797 metres (9,177 ft)). The plateau also hosts the country's largest lake, Lake Taupō , nestled in
12012-503: The first European to set foot on and map New Zealand. In 1840, representatives of the United Kingdom and Māori chiefs signed the Treaty of Waitangi which paved the way for Britain's declaration of sovereignty later that year and the establishment of the Crown Colony of New Zealand in 1841. Subsequently, a series of conflicts between the colonial government and Māori tribes resulted in
12144-481: The formation of the Pasifika New Zealander pan-ethnic group, the fourth-largest ethnic grouping in the country. Permanent migration is regulated under the 1970 Samoan Quota Scheme and the 2002 Pacific Access Category, which allow up to 1,100 Samoan nationals and up to 750 other Pacific Islanders respectively to become permanent New Zealand residents each year. A seasonal workers scheme for temporary migration
12276-593: The islands Staten Land , believing they were part of the Staten Landt that Jacob Le Maire had sighted off the southern end of South America. Hendrik Brouwer proved that the South American land was a small island in 1643, and Dutch cartographers subsequently renamed Tasman's discovery Nova Zeelandia from Latin , after the Dutch province of Zeeland . This name was later anglicised to New Zealand . This
12408-447: The islands North (North Island), Middle (South Island), and South ( Stewart Island / Rakiura ). In 1830, mapmakers began to use "North" and "South" on their maps to distinguish the two largest islands, and by 1907, this was the accepted norm. The New Zealand Geographic Board discovered in 2009 that the names of the North Island and South Island had never been formalised, and names and alternative names were formalised in 2013. This set
12540-573: The islands are uninhabited except for about six people at Raoul Island station. These islands put the northern border of New Zealand at 29 degrees South latitude. After the 1982 UNCLOS , the islands contributed significantly to New Zealand's exclusive economic zone . In 1891, the Liberal Party came to power as the first organised political party. The Liberal Government , led by Richard Seddon for most of its period in office, passed many important social and economic measures. In 1893, New Zealand
12672-436: The judiciary to interpret the law based solely on the legislation enacted by Parliament without other influences on their decisions. New Zealand is identified as one of the world's most stable and well-governed states. As of 2017, the country was ranked fourth in the strength of its democratic institutions, and first in government transparency and lack of corruption . LGBT rights in the nation are also recognised as among
12804-511: The land in 1997. The forests were dominated by birds , and the lack of mammalian predators led to some like the kiwi , kākāpō , weka and takahē evolving flightlessness . The arrival of humans, associated changes to habitat, and the introduction of rats , ferrets and other mammals led to the extinction of many bird species, including large birds like the moa and Haast's eagle . Other indigenous animals are represented by reptiles ( tuatara , skinks and geckos ), frogs , such as
12936-614: The latter being common. New Zealand is a member of the Five Eyes intelligence sharing agreement, known formally as the UKUSA Agreement . The five members of this agreement compromise the core Anglosphere : Australia, Canada, New Zealand, the United Kingdom, and the United States. Since 2012, New Zealand has had a partnership arrangement with NATO under the Partnership Interoperability Initiative. According to
13068-506: The lazy and defend bludgers". Douglas's case for a radical approach was strengthened by the belief among many of his parliamentary colleagues that the economy's deep-seated problems could only be solved by extensive restructuring. It was understood that some restructuring must follow the Closer Economic Relations agreement with Australia, which took effect in 1981 and reduced barriers to trade between Australia and New Zealand. At
13200-574: The longest recession in over thirty years, and unemployment rising back to 7% in late 2009. The lowest unemployment rate recorded using the current methodology was in December 2021 during the COVID-19 pandemic , at 3.2%. Unemployment rates for different age groups follow similar trends but are consistently higher among youth. During the September 2021 quarter, the general unemployment rate was around 3.2%, while
13332-456: The lowest levels of perceived corruption in the world. It retains visible levels of inequality , having structural disparities between its Māori and European populations. New Zealand underwent major economic changes during the 1980s, which transformed it from a protectionist to a liberalised free-trade economy. The service sector dominates the national economy , followed by the industrial sector, and agriculture ; international tourism
13464-664: The market results in manifest inequity, or poor economic performance, the Government must get involved." After Rogernomics, the New Zealand Labour Party was paralysed by infighting for much of their time in opposition, initially led by Mike Moore as leader of the Opposition (1990–1993). Moore was then followed by Helen Clark , whose first term as leader of the Opposition was undermined by those who opposed her leadership. Some later left to form their own political parties ACT ,
13596-455: The market solved what Douglas saw as the problem of interest-group participation in policy-making. Division in Labour over economic policy crystallised when a competing proposal was submitted to the Labour Party's Policy Council. Its proponents included Rowling and others who had resisted his replacement as leader. It argued for a Keynesian use of monetary and fiscal policy. It was sceptical about
13728-480: The most tolerant in Oceania . New Zealand ranks highly for civic participation in the political process, with 82% voter turnout during recent general elections, compared to an OECD average of 69%. However, this is untrue for local council elections; a historically low 36% of eligible New Zealanders voted in the 2022 local elections , compared with an already low 42% turnout in 2019 . A 2017 human rights report by
13860-583: The names as North Island or Te Ika-a-Māui , and South Island or Te Waipounamu . For each island, either its English or Māori name can be used, or both can be used together. Similarly the Māori and English names for the whole country are sometimes used together ( Aotearoa New Zealand ); however, this has no official recognition. The first people to reach New Zealand were Polynesians in ocean going waka (canoes). Their arrival likely occurred in several waves, approximately between 1280 and 1350 CE. Those Polynesian settlers, isolated in New Zealand, became
13992-690: The nebulous United Tribes of New Zealand sent a Declaration of Independence to King William IV of the United Kingdom asking for protection. Ongoing unrest, the proposed settlement of New Zealand by the New Zealand Company (which had already sent its first ship of surveyors to buy land from Māori) and the dubious legal standing of the Declaration of Independence prompted the Colonial Office to send Captain William Hobson to claim sovereignty for
14124-475: The number of dairy cows doubling between 1990 and 2007, to become New Zealand's largest export earner. In the year to June 2018, dairy products accounted for 17.7% ($ 14.1 billion) of total exports, and the country's largest company, Fonterra , controls almost one-third of the international dairy trade. Other exports in 2017–18 were meat (8.8%), wood and wood products (6.2%), fruit (3.6%), machinery (2.2%) and wine (2.1%). New Zealand's wine industry has followed
14256-411: The potato and the musket transformed Māori agriculture and warfare. Potatoes provided a reliable food surplus, which enabled longer and more sustained military campaigns. The resulting intertribal Musket Wars encompassed over 600 battles between 1801 and 1840, killing 30,000–40,000 Māori. From the early 19th century, Christian missionaries began to settle New Zealand, eventually converting most of
14388-406: The previous government. New Zealand's leap into the neoliberal global economy exposed both businesses and the wider workforce to the unregulated practices of private capital – this led to a decade of insignificant (and sometimes negative) growth with the "economic miracle" being experienced by only a relatively small proportion of the population. With no restrictions on overseas money coming into
14520-442: The protected endangered Hamilton's Frog , spiders , insects ( wētā ), and snails. Some, such as the tuatara, are so unique that they have been called living fossils . Three species of bats ( one since extinct) were the only sign of native land mammals in New Zealand until the 2006 discovery of bones from a unique, mouse-sized land mammal at least 16 million years old. Marine mammals, however, are abundant, with almost half
14652-494: The rest of the population, Rogernomics failed to deliver the higher standard of living promised by its advocates. Over 15 years, New Zealand's economy and social capital faced serious problems: the proliferation of food banks increased dramatically to an estimated 365 in 1994; the number of New Zealanders estimated to be living in poverty grew by at least 35% between 1989 and 1992 while child poverty doubled from 14% in 1982 to 29% in 1994. Those on low incomes failed to return to
14784-442: The same period in which the average OECD nation grew by 28.2%. From 1984 to 1993 inflation averaged 9% per year and New Zealand's credit rating dropped twice. Between 1986 and 1992, the unemployment rate rose from 3.6% to 11%. Rogernomics, however, has been credited with a number of other positive impacts on the New Zealand economy: inflation, which had reached a high of 17.15% in 1980, has been in single digits every year since
14916-456: The same time, many economists were arguing for the greater use of competition as a tool of policy, and expressing concern about excessive or inappropriate regulation of the economy. In 1983, Lange succeeded Rowling as Labour leader. He gave Douglas responsibility for economic policy and made it clear that economic policy would determine other policy. Although Douglas was innovative in his approach, and his open disregard for Rowling had earned him
15048-583: The signing of the treaty and declaration of sovereignty, the number of immigrants, particularly from the United Kingdom, began to increase. New Zealand was administered as a dependency of the Colony of New South Wales until becoming a separate Crown colony , the Colony of New Zealand , on 3 May 1841. Armed conflict began between the colonial government and Māori in 1843 with the Wairau Affray over land and disagreements over sovereignty. These conflicts, mainly in
15180-467: The total workforce in 2016. In 2017, international visitor arrivals were expected to increase at a rate of 5.4% annually up to 2022. Wool was New Zealand's major agricultural export during the late 19th century. Even as late as the 1960s it made up over a third of all export revenues, but since then its price has steadily dropped relative to other commodities, and wool is no longer profitable for many farmers. In contrast, dairy farming increased, with
15312-486: The two regions. This free trade agreement expanded on the pre-existing free trade agreement and saw a reduction in tariffs on meat and dairy in response to feedback from the affected industries. The service sector is the largest sector in the economy, followed by manufacturing and construction and then farming and raw material extraction. Tourism plays a significant role in the economy, contributing $ 12.9 billion (or 5.6%) to New Zealand's total GDP and supporting 7.5% of
15444-559: The two together. Rogernomics Rogernomics (a portmanteau of Roger and economics attributed to Reaganomics ) were the neoliberal economic reforms promoted by Roger Douglas , the Minister of Finance between 1984 and 1988 in the Fourth Labour Government of New Zealand . Rogernomics featured market-led restructuring and deregulation and the control of inflation through tight monetary policy , accompanied by
15576-481: The unemployment rate for youth aged 15 to 24 was 9.2%. New Zealand has experienced a series of " brain drains " since the 1970s that still continue today. Nearly one-quarter of highly skilled workers live overseas, mostly in Australia and Britain, which is the largest proportion from any developed nation. In recent decades, however, a " brain gain " has brought in educated professionals from Europe and less developed countries. Today New Zealand's economy benefits from
15708-415: The value of "picking winners" and saw only a limited place for government funding of economic development. His colleague Stan Rodger described the paper as a "quite unacceptable leap to the right". It immediately polarised opinion in the Labour Party. Douglas characterised the policy package as restrained and responsible, and an appropriate response to the country's economic difficulties. He acknowledged
15840-847: The world's cetaceans (whales, dolphins, and porpoises ) and large numbers of fur seals reported in New Zealand waters. Many seabirds breed in New Zealand, a third of them unique to the country. More penguin species are found in New Zealand than in any other country, with 13 of the world's 18 penguin species. Since human arrival, almost half of the country's vertebrate species have become extinct, including at least fifty-one birds, three frogs, three lizards, one freshwater fish, and one bat. Others are endangered or have had their range severely reduced. However, New Zealand conservationists have pioneered several methods to help threatened wildlife recover, including island sanctuaries, pest control, wildlife translocation, fostering, and ecological restoration of islands and other protected areas . New Zealand
15972-447: Was Labour’s deputy leader David Lange , who offered to make Douglas minister of finance if Lange was prime minister after the 1984 election. After Labour's narrow loss in the 1981 election , Douglas found a growing audience in the parliamentary party for his view that Labour's established approach to economic policy was deficient. His colleague Mike Moore claimed that there was a public perception that Labour policy sought "to reward
16104-423: Was a key strategy for achieving radical economic change: "Define your objectives clearly, and move towards them in quantum leaps, otherwise the interest groups will have time to mobilise and drag you down". Political commentator Bruce Jesson argued that Douglas acted fast to achieve a complete economic revolution within one parliamentary term, in case he did not get a second chance. The reforms can be summarised as
16236-445: Was broadly worded, and it made no mention of devaluation. It anticipated some form of understanding between government and unions about wage restraint . It allowed for extensive consultation about economic policy and stated that necessary structural change would be gradual and agreed. When Muldoon unexpectedly called an early general election, the Labour Party adopted Palmer's paper as its economic policy. Lange said that Labour went into
16368-569: Was centralised and the provinces were abolished in 1876. The provinces are remembered in regional public holidays and sporting rivalries. Since 1876, various councils have administered local areas under legislation determined by the central government. In 1989, the government reorganised local government into the current two-tier structure of regional councils and territorial authorities . The 249 municipalities that existed in 1975 have now been consolidated into 67 territorial authorities and 11 regional councils. The regional councils' role
16500-453: Was disestablished by Robert Muldoon almost as soon as the National Party won the 1975 election . Douglas maintained his interest in economic issues in opposition. He framed his chief concern as the deep-seated problems in the structure of the economy that had contributed to deteriorating economic performance, and a standard of living that was slipping in comparison to that of other developed countries. In 1980, he described New Zealand as
16632-472: Was granted in the mid-1860s). Following concerns that the South Island might form a separate colony, premier Alfred Domett moved a resolution to transfer the capital from Auckland to a locality near Cook Strait . Wellington was chosen for its central location, with Parliament officially sitting there for the first time in 1865. In 1886, New Zealand annexed the volcanic Kermadec Islands , about 1,000 km (620 mi) northeast of Auckland. Since 1937,
16764-595: Was introduced in 2007, and in 2009 about 8,000 Pacific Islanders were employed under it. New Zealand is involved in the Pacific Islands Forum , the Pacific Community , Asia-Pacific Economic Cooperation , and the Association of Southeast Asian Nations Regional Forum (including the East Asia Summit ). New Zealand has been described as a middle power in the Asia-Pacific region, and an emerging power . The country
16896-411: Was limited, into a country with a range of consumer goods available similar to those enjoyed by other western democracies. Douglas himself has claimed that the unwillingness of subsequent governments to alter any of his reforms is a testament to their quality. The policies of Ruth Richardson , sometimes called " Ruthanasia ", were a continuation of Rogernomics. Richardson served as Finance Minister in
17028-475: Was not part of Labour's election policy, the decisiveness with which the incoming government acted won it popular acclaim and enhanced Douglas's standing in the new cabinet. The reformers argued that the speed with which the reforms were made was due to the fact that New Zealand had not adjusted to Britain's abandonment of the empire, and had to move quickly to "catch up" with the rest of the world. Douglas claimed in his 1993 book Unfinished Business that speed
17160-441: Was tariff protection. The top marginal tax rate was halved over a number of years from 66% to 33%, and the standard rate was reduced from 42% in 1978 to 28% in 1988. To compensate, the variable sales taxes that had been in effect until then were replaced by a single Goods and Services Tax , initially set at 10%, later 12.5% (and eventually in 2011, 15%), and a surtax on superannuation, which had been made universal from age 60 by
17292-567: Was the first nation in the world to grant all women the right to vote and pioneered the adoption of compulsory arbitration between employers and unions in 1894. The Liberals also guaranteed a minimum wage in 1894, a world first. In 1907, at the request of the New Zealand Parliament, King Edward VII proclaimed New Zealand a Dominion within the British Empire , reflecting its self-governing status. In 1947, New Zealand adopted
17424-682: Was written as Nu Tireni in the Māori language (spelled Nu Tirani in Te Tiriti o Waitangi). In 1834 a document written in Māori and entitled " He Wakaputanga o te Rangatiratanga o Nu Tireni " was translated into English and became the Declaration of the Independence of New Zealand . It was prepared by Te W(h)akaminenga o Nga Rangatiratanga o Nga Hapu o Nu Tireni , the United Tribes of New Zealand , and
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