Since the profits from state-owned companies are the most important source of income for the state, Despoticania has no income tax whatsoever. The only existing taxes are sales taxes and tariffs on certain imported goods deemed unimportant for the economy. Because of this, Despoticania has traditionally been seen as a tax haven, which has brought in many super-rich individuals.
The Despoticanian economy is based on a combination of heavy construction industry, information technology, biotechnology and high-tech manufacturing. While Despoticania has traditionally been - and still is - socially and politically isolationist, Despoticanian traders have been a common sight in ports all across the world for millennia. At present, the most important exports are electronics, computer software, automobiles, high-tech weapons, tailored memes, refined uranium, nanotechnology, cybernetic implants and web hosting services. The most important imports are luxury foods, refined iron, refined copper, genetic templates, magical items, art, industrial chemicals, spacecraft components and refined petroleum.
One notable feature of the Despoticanian economy is the massive unemployment (approximately 58 % in 2017) caused by high levels of automation. The state is easily rich enough to provide adequate welfare for its unemployed population, but the social tensions caused by unemployment remain one of the greatest problems of Despoticania. Some rather unconventional means to mitigate these problems have sprung up in recent years, most notably the so-called Heaven Simulation.