The People's Republic of Pugden is a small, genial nation, notable for its state-planned economy, compulsory military service, and irreverence towards religion. The compassionate, democratic population of 23 million Pugdenians love a good election, and the government gives them plenty of them. Universities tend to be full of students debating the merits of various civil and political rights, while businesses are tightly regulated and the wealthy viewed with suspicion.

The large, socially-minded government juggles the competing demands of Education, Defense, and Welfare. The average income tax rate is 67.8%, and even higher for the wealthy.

The basket case Pugdenian economy, worth 397 billion GUPS 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 mostly made up of the Trout Farming industry, with significant contributions from Arms Manufacturing, Information Technology, and Door-to-door Insurance Sales. Average income is 17,264 GUPS, and distributed extremely evenly, with practically no difference between the richest and poorest citizens.

No one engages in 'locker room talk' any more, elementary school children develop thousand-yard stares, pet loving officers arrest citizens who don't give their dogs enough biscuits, and terrorists are on a first name basis with the officials that stamp their passports. Crime, especially youth-related, is totally unknown, thanks to a well-funded police force and progressive social policies in education and welfare. Pugden's national animal is the fierce and loyal Pug, which frolics freely in the nation's many lush forests.

Pugden is ranked 32,116^th in the world and 20^th in The Hole To Hide In for Nicest Citizens, with 19.85 average smiles per day.