The Republic of Phaialee is a titanic, socially progressive nation, ruled by President Chuu with a fair hand, and renowned for its aversion to nipples, absence of drug laws, and devotion to social welfare. The compassionate, hard-working, democratic, cheerful population of 12.709 billion Phaialeens live in a state of perpetual fear, as a complete breakdown of social order has led to the rise of order through biker gangs.

The relatively small, corrupt, liberal, pro-business government prioritizes Industry, with Education, Administration, and Welfare also on the agenda, while Spirituality receives no funds. It meets to discuss matters of state in the capital city of Shinobu City. Citizens pay a flat income tax of 9.0%.

The frighteningly efficient Phaialeen economy, worth a remarkable 3,524 trillion Phai Dollars a year, is broadly diversified and led by the Tourism industry, with major contributions from Retail, Information Technology, and Book Publishing. Average income is an amazing 277,352 Phai Dollars, but there is an enormous disparity between incomes, with the richest 10% of citizens earning 1,518,400 per year while the poor average 25,849, a ratio of 58.7 to 1.

Savvy students quote paywalled research knowing that university lecturers can't afford to check the citations, President Chuu's power is effectively nullified as no bill becomes law without the upper house's support, citizens hear a diversity of opinions from a range of billionaire-owned corporations, and takeaway food bought on the weekend now comes with fifty percent more sweat and tears. Crime is totally unknown. Phaialee's national animal is the Rabbit, which is also the nation's favorite main course.

Phaialee is ranked 32,136^th in the world and 3^rd in Grand Avalon for Most Eco-Friendly Governments, scoring 2,574.79 on the Dolphin Recycling Awareness Index.