Sweden is a country located in Northern Europe bordering the Baltic Sea, Gulf of Bothnia, Kattegat, and Skagerrak. Neighboring countries include Finland and Norway. It boasts a strategic location along Danish Straits linking Baltic and North Seas. The geography of Sweden is mostly flat with mountains in the west. The government system is a constitutional monarchy; the chief of state is the king, and the head of government is the prime minister. Sweden has a mixed economic system in which there is a variety of private freedom, combined with centralized economic planning and government regulation. Sweden is a member of the European Union (EU).