The Federal Queendom of Elisabethshagen is a massive, socially progressive nation, ruled by Kanzler und Königin with an even hand, and remarkable for its daily referendums, complete lack of prisons, and punitive income tax rates. The compassionate, democratic, devout population of 1.391 billion Elisabethshageners enjoy extensive civil freedoms, particularly in social issues, while business tends to be more regulated.

The large government juggles the competing demands of Education, Environment, and Administration. It meets to discuss matters of state in the capital city of Elisabethshagen. The average income tax rate is 70.9%, and even higher for the wealthy.

The frighteningly efficient Elisabethshagenian economy, worth 150 trillion Guldens a year, is quite specialized and led by the Tourism industry, with major contributions from Information Technology, Book Publishing, and Beef-Based Agriculture. State-owned companies are common. Average income is an impressive 108,496 Guldens, and distributed extremely evenly, with little difference between the richest and poorest citizens.

Passionate nomination battles are often as intense as general elections, muggers are complimented on their enterprising spirit, the government is notorious for leaving citizens with almost nothing from their inheritance, and imitation is the sincerest form of felony. Crime, especially youth-related, is totally unknown, thanks to a capable police force and progressive social policies in education and welfare. Elisabethshagen's national animal is the Lion, which frolics freely in the nation's many lush forests, and its national religion is Evangelic-Lutheran Faith.

Elisabethshagen is ranked 199,396^th in the world and 928^th in Europe for Lowest Overall Tax Burden, scoring -60.52 on the Hayek Index.