THE FOREIGN-POLICY priorities articulated by the National government in New Zealand since it took office in 1975 have not been the same as those avowed by the preceding Labour administration. Whereas the Labour government of N.E. Kirk declared an intention of giving more emphasis to morality and idealism in foreign affairs, and of being more independent of New Zealand's allies, the National government of R.D. Muldoon has stressed the priority of trading considerations and the importance of strengthening the American alliance. In practice, the National government has reversed some of Labour's most notably idealistic policies, and it has actively associated New Zealand with several American security policies. At the same time, however, the National government has pursued a conspicuously independent line where trade has been concerned, and it has adopted other Labour government priorities. The differences in priority largely reflect the differing ethos of the parties, but they also owe something to the changes in the international political and economic environment during the 1970s. New Zealand's economy has always been heavily dependent on trade. Trade accounts for about 45 per cent of the Gross National Productone of the highest proportions in the world. Most of the country's export income comes from a narrow range of primary products, principally wool, meat, and dairy products. Until the 1960s, New Zealand had a secure market for most of its output in Britain, but after Britain's move to enter the European Economic Community, New Zealand was forced to give high priority to developing alternative markets. No government of any political shading could ignore this imperative in the 1970s. In 1972, as the Labour government took office, New Zealand's balance of payments was in surplus, and overseas reserves were at a record high; but the economic situation was altered radically for the worse by the