The Federal Republic of Lipaland is a colossal, efficient nation, ruled by President Borut Furlan with an even hand, and remarkable for its unlimited-speed roads, keen interest in outer space, and complete lack of prisons. The compassionate, democratic, devout population of 3.567 billion Lipalandians enjoy extensive civil freedoms, particularly in social issues, while business tends to be more regulated.

The medium-sized government juggles the competing demands of Industry, Education, and Administration. It meets to discuss matters of state in the capital city of Nova Gorica. The average income tax rate is 74.6%, and even higher for the wealthy.

The frighteningly efficient Lipalandian economy, worth 524 trillion Lipalandian Tolars a year, is broadly diversified and led by the Information Technology industry, with significant contributions from Tourism, Book Publishing, and Arms Manufacturing. State-owned companies are common. Average income is an impressive 147,163 Lipalandian Tolars, and distributed extremely evenly, with little difference between the richest and poorest citizens.

Bus ads propagandize causes ranging from sexual revolution to religious pogroms, garishly-decorated government buildings are being hailed as the height of 'religious nouveau', a five-year-old and a convicted terrorist can sit alongside one another in jury service, and all writing must pass a censorship board before being allowed on the shelves. Crime, especially youth-related, is totally unknown. Lipaland's national animal is the Soča Trout, which can occasionally be seen avoiding garbage in the nation's murky oceans, and its national religion is Catholic Christianity.

Lipaland is ranked 12,281^st in the world and 211^th in Europe for Highest Poor Incomes, with 114,297.44 Standard Monetary Units.