Eli5 Why do microstates (Liechtenstein, Monaco etc) have such high GDP per capitas?

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Eli5 Why do microstates (Liechtenstein, Monaco etc) have such high GDP per capitas?

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Because of their size, much of their output is exported, they don’t need to spend government funds on things like military. Monaco specifically is a tourist destination and place that attracts wealthy people to live there for the lifestyle (and tax purposes).

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