The Netherlands is a constitutional monarchy with a parliamentary democracy. The country is a founding member of the [[European Union (EU)]] and is known for its highly developed, open economy with a focus on international trade and transport (notably through Rotterdam, Europe's largest port). The Dutch economy excels in agriculture (being one of the world's largest agricultural exporters), financial services, technology, and energy (with significant natural gas reserves and growing renewable sector). As a member of the EU and eurozone, it maintains strong international business connections and is known for its favorable business climate, particularly through its advantageous tax system. The country is characterized by high living standards, excellent infrastructure, and a strong social welfare system, though faces challenges with housing availability and climate change adaptation.