The Principality of Karlsburgh is a massive, socially progressive nation, ruled by Prince Karl VI with an even hand, and notable for its museums and concert halls, irreverence towards religion, and absence of drug laws. The compassionate population of 1.047 billion Karlsburghians enjoy extensive civil rights and enjoy a level of social equality free from the usual accompanying government corruption.

The enormous, liberal, socially-minded government juggles the competing demands of Education, Welfare, and Healthcare. It meets to discuss matters of state in the capital city of Karlsburgh. The average income tax rate is 73.6%, and even higher for the wealthy.

The strong Karlsburghian economy, worth 70.2 trillion Karls a year, is quite specialized and led by the Tourism industry, with significant contributions from Beef-Based Agriculture, Book Publishing, and Information Technology. State-owned companies are common. Average income is 67,090 Karls, and distributed extremely evenly, with practically no difference between the richest and poorest citizens.

Cops shout apologies with every swing of their baton, the government's official stance on religion is that it is so very silly, constipated disaster survivors are rapidly learning that MRE is short for "Meal Requiring Enemas", and confessions don't count if suffixed with "izzle". Crime, especially youth-related, is totally unknown, thanks to a very well-funded police force and progressive social policies in education and welfare. Karlsburgh's national animal is the Sloth, which frolics freely in the nation's many lush forests, and its national religion is Atheism.

Karlsburgh is ranked 27,076^th in the world and 586^th in the South Pacific for Highest Foreign Aid Spending, scoring 981.84 on the Clooney Contribution Index.