The Empire of Iberia y las Colonias is a huge, environmentally stunning nation, ruled by Rey-Emperador Manuel Habsburgo-Braganza with an iron fist, and renowned for its state-planned economy, ubiquitous missile silos, and absence of drug laws. The compassionate, cynical population of 976 million Ibericos are ruled with an iron fist by the socialist government, which grants its people the freedom to do whatever they like so long as it doesn't involve getting richer than anybody else or challenging the government.

The large, corrupt, liberal, well-organized government juggles the competing demands of Education, Defense, and Healthcare. It meets to discuss matters of state in the capital city of Madrid. The average income tax rate is 68.2%, and even higher for the wealthy.

The powerhouse Iberico economy, worth 105 trillion jalizzes a year, is driven entirely by a combination of government and state-owned industry, with private enterprise illegal. The industrial sector, which is broadly diversified, is dominated by the Tourism industry, with significant contributions from Information Technology, Retail, and Arms Manufacturing. Average income is an impressive 108,410 jalizzes, and distributed extremely evenly, with little difference between the richest and poorest citizens.

All telephone traffic is monitored for 'national security reasons', lobster tastes best when it is red, the Iberian Wolf is a protected species, and the military claims that their threatening letters are signed with the blood of their enemies. Crime, especially youth-related, is totally unknown, thanks to a capable police force and progressive social policies in education and welfare. Iberia y las Colonias's national animal is the Iberian Wolf, which frolics freely in the nation's many lush forests.

Iberia y las Colonias is ranked 218,608^th in the world and 8,954^th in The North Pacific for Most Politically Free, scoring 12 on the Diebold Election Inking Scale.