Chile is a country in South America that borders the South Pacific Sea. Neighboring countries include Argentina, Bolivia, and Peru. Chile has a strategic location relative to sea lanes between the Atlantic and Pacific Oceans including the Strait of Magellan, Beagle Channel, and the Drake Passage. Chile occupies a long, narrow coastal strip between the Andes Mountains to the east and the Pacific Ocean to the west. Thus, the geography is varied. The government system is a republic; the chief of state and head of government is the president. Chile has a market-oriented economy in which the prices of goods and services are determined in a free price system. Chile is a member of the Asia-Pacific Economic Cooperation (APEC) and the Trans-Pacific Partnership (TPP).