The Federation of Neu Arcadia is a tiny, cultured nation, remarkable for its state-planned economy, punitive income tax rates, and stringent health and safety legislation. The compassionate, democratic population of 16 million Neu Arcadians are free to do what they want with their own bodies, and vote for whomever they like in elections; if they go into business, however, they are regulated to within an inch of their lives.

The large, liberal, socially-minded, outspoken government juggles the competing demands of Welfare, Education, and Healthcare. The average income tax rate is 57.5%, and even higher for the wealthy.

The struggling Neu Arcadian economy, worth 321 billion pengoes a year, is driven entirely by a combination of government and state-owned industry, with private enterprise illegal. The industrial sector is led by the Information Technology industry, with major contributions from Tourism, Pizza Delivery, and Uranium Mining. Average income is 20,068 pengoes, and distributed extremely evenly, with practically no difference between the richest and poorest citizens.

Neu Arcadian watches are often the only thing to survive a disaster intact, children are sent to either religious or secular schools, art is not complete without a touch of alizarin blood and titanium sweat, and the military maintains a fierce arsenal of 'Cure Missiles'. Crime is totally unknown, thanks to a well-funded police force and progressive social policies in education and welfare. Neu Arcadia's national animal is the wolf.

Neu Arcadia is ranked 331,590^th in the world and 294^th in Aesica for Largest Manufacturing Sector, scoring zero on the Gooback-Jerbs Productivity Index.