The Republic of New Phalen is a huge, cultured nation, renowned for its museums and concert halls, punitive income tax rates, and devotion to social welfare. The compassionate population of 693 million New Phalenians are fiercely patriotic and enjoy great social equality; they tend to view other, more capitalist countries as somewhat immoral and corrupt.

The enormous, socially-minded government juggles the competing demands of Administration, Education, and Healthcare. The average income tax rate is 73.9%, and even higher for the wealthy.

The New Phalenian economy, worth 39.2 trillion Dinars a year, is driven entirely by a combination of government and state-owned industry, with private enterprise illegal. The industrial sector, which is quite specialized, is led by the Tourism industry, with major contributions from Information Technology, Book Publishing, and Basket Weaving. Average income is 56,501 Dinars, and distributed extremely evenly, with practically no difference between the richest and poorest citizens.

Any body part that can be cut off a person is no longer considered to be their property, citizens with artificial limbs are forbidden to serve as beauty pageant judges, preschoolers outnumber veteran politicians in government, and foreign governments are threatened if they so much as mention the word "election". Crime, especially youth-related, is totally unknown, thanks to a well-funded police force and progressive social policies in education and welfare. New Phalen's national animal is the Yas, which frolics freely in the nation's many lush forests.

New Phalen is ranked 17,881^st in the world and 325^th in The Communist Bloc for Highest Food Quality, scoring 120.07 on the Meeshlin-Starr Index.