Finland is a parliamentary republic and a Nordic welfare state. Its highly advanced economy combines free-market capitalism with comprehensive social benefits. The country's economic strengths lie in technology, forestry, manufacturing (particularly in telecommunications and clean technologies), and digital innovation. Finland is known for its excellent education system, high standard of living, technological innovation, and sustainable development practices. As a member of the [[European Union (EU)]] and eurozone, it maintains strong trade relationships with European partners while being recognized globally for its competitiveness and low corruption. The country's economy successfully transformed from a primarily forestry-based economy to a modern innovation-driven one.