Sovereign principality located on the French Riviera/Côte d'Azur, just
a few kilometers from the Italian border. The red and white - the colors of
the ruling Grimaldi family - flag of Monaco is identical to that of
Indonesia.
Monaco is about 1,95 km2 (0,73 square miles), and is entirely
covered by urban development stretching into France and Italy as well. The
whole area is located on hills all the way down to the water, where there's
beaches, marinas and a natural harbor. Of Monaco's 32,000 inhabitants, only
5,000 are Monegasque citizens, the rest come mostly from France (40%)
and Italy (5%).
Monaco has four cities, or quartiers;
Monaco has no taxation on income, wealth or property, which makes it a
popular home address for people with income, wealth or property. French and
American citizens pay taxes in their home countries, though. Monaco is also
an important finance center, with many banks and institutions located here. The government's
revenues come from value-added tax, the casino, taxes on businesses, certain monopolies
and tolls.
The largest company in Monaco, which has the government as its main owner, is
SBM (Société des Bains de Mers et du Cercle des Étrangers à Monaco
- I like the short version). SBM owns the famous casino in Monte Carlo, the
opera, many hotels and restaurants and have 2,600 employees. They also arrange
Monaco Grand Prix and the Monte Carlo Rally.
The constitution is that of a hereditary monarchy. The government
consists of the prince, a minister of state, who has to be French, and
three counselors of state. The national council have 18 elected members, and
together with the Prince the have the legislative power. There is also a
supreme court.
It was the Romans that founded Monaco in the 4th century B.C., as the
colony Monoikos from Marseilles (Massalia to the Romans). To
them it was an important harbor, Herculis Monoeci portus. The ruling
family has since 1297 been the Grimaldi's, although Spain and France have made
attempts to take control.
Reference: ne.se, britannica