🇱🇮 Liechtenstein

Liechtenstein is a 160-square-kilometer microstate of 39,000 people wedged between Switzerland and Austria, with a GDP of about $7 billion. It has more registered companies than citizens — about 40,000 — making it one of the world's most business-dense countries. The country is a constitutional monarchy where the prince retains real power, including the ability to veto legislation and dissolve parliament. Liechtenstein is the world's largest producer of false teeth (dental prosthetics) and a major manufacturer of precision instruments. The country has no airport, no military, and no national debt.

Financial services and manufacturing (Hilti power tools, dental products, precision instruments) are the twin pillars. The country uses the Swiss franc and has a customs union with Switzerland. Liechtenstein's GDP per capita exceeds $160,000, among the highest in the world. About 55% of the workforce commutes in from Austria, Switzerland, and Germany — more cross-border commuters than residents. The financial sector has moved away from banking secrecy toward legitimate wealth management.

Liechtenstein is the only country in the world named after the family that purchased it — the Liechtenstein family bought the territory in 1699-1712 to gain a seat in the Imperial Diet. The country accidentally invaded Switzerland in 2007 when 170 soldiers crossed the border during a training exercise — Switzerland didn't notice. Liechtenstein's national police force has about 90 officers.

Liechtenstein has found a remarkably successful niche — manufacturing excellence plus financial services in a tax-efficient package. The model works, and there's no obvious threat to it.