The Confederation of Kavkazia is a gargantuan, cultured nation, ruled by Chancellor Coridan Mitros with an even hand, and remarkable for its smutty television, daily referendums, and irreverence towards religion. The compassionate, democratic population of 13.5 billion Kavkazians enjoy extensive civil rights and enjoy a level of social equality free from the usual accompanying government corruption.

The enormous, socially-minded government juggles the competing demands of Education, Healthcare, and Industry. It meets to discuss matters of state in the capital city of Vladikavkaz. The average income tax rate is 70.2%, and even higher for the wealthy.

The very strong Kavkazian economy, worth 793 trillion Rubles a year, is driven entirely by a combination of government and state-owned industry, with private enterprise illegal. The industrial sector, which is highly specialized, is mostly made up of the Tourism industry, with significant contributions from Information Technology, Book Publishing, and Retail. Average income is 58,758 Rubles, and distributed extremely evenly, with little difference between the richest and poorest citizens.

Public intoxication has decreased ever since fraternities were banned, RPG fans reminisce fondly about when people thought they were evil and dangerous rather than geeky and socially inept, every spring railroad foundations erode to reveal human remains, and Chancellor Coridan Mitros's luxurious new home has been designated as a protected cultural heritage site. Crime, especially youth-related, is totally unknown, thanks to a well-funded police force and progressive social policies in education and welfare. Kavkazia's national animal is the Caucasian leopard, which frolics freely in the nation's many lush forests.

Kavkazia is ranked 273,414^th in the world and 10,475^th in Balder for Most Corrupt Governments, with 0.69 kickbacks per hour.