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It is the sixth smallest nation worldwide. Liechtenstein is a semi-constitutional monarchy headed by the prince of Liechtenstein.
Liechtenstein is bordered by Switzerland to the west and south and Austria to the east and north. It is Europe's fourth-smallest country, with an area of just over 160 square kilometres and a population of 38,749. Divided into 11 municipalities, its capital is Vaduz, and its largest municipality is Schaan. It is also the smallest country to border two countries. Liechtenstein is a doubly landlocked country between Switzerland and Austria.
Economically, Liechtenstein has one of the highest gross domestic products per person in the world when adjusted for purchasing power parity. The country has a strong financial sector centred in Vaduz. It was once known as a billionaire tax haven, but is no longer on any official blacklists of uncooperative tax haven countries. An Alpine country, Liechtenstein is mountainous, making it a winter sport destination.
Liechtenstein is a member of the United Nations, the European Free Trade Association, and the Council of Europe. Although not a member of the European Union because it was not designed with microstates in mind, it participates in both the Schengen Area and the European Economic Area. It has a customs union and a monetary union with Switzerland.
By 1200, dominions across the Alpine plateau were controlled by the Houses of Savoy, Zähringer, Habsburg, and Kyburg. Other regions were accorded the Imperial immediacy that granted the empire direct control over the mountain passes. When the Kyburg dynasty fell in 1264, the Habsburgs under King Rudolph I (Holy Roman Emperor in 1273) extended their territory to the eastern Alpine plateau that included the territory of Liechtenstein. This region was enfeoffed to the Counts of Hohenems until the sale to the Liechtenstein dynasty in 1699.
In 1396, Vaduz (the southern region of Liechtenstein) gained imperial immediacy, i.e. it became subject to the Holy Roman Emperor alone.
The family from which the principality takes its name originally came from Liechtenstein Castle in Lower Austria, which they had possessed from at least 1140 until the 13th century (and again from 1807 onwards).
The Liechtensteins acquired land, predominantly in Moravia, Lower Austria, Silesia, and Styria. As these territories were all held in feudal tenure from more senior feudal lords, particularly various branches of the Habsburgs, the Liechtenstein dynasty was unable to meet a primary requirement to qualify for a seat in the Imperial diet (parliament), the Reichstag. Even though several Liechtenstein princes served several Habsburg rulers as close advisers, without any territory held directly from the Imperial throne, they held little power in the Holy Roman Empire.
For this reason, the family sought to acquire lands that would be classed as unmittelbar (not sellable) or held without any intermediate feudal tenure, directly from the Holy Roman Emperor.
More information: Nations on Line
During the early 17th century Karl I of Liechtenstein was made a Fürst (prince) by the Holy Roman Emperor Matthias after siding with him in a political battle. Hans-Adam I was allowed to purchase the minuscule Herrschaft (Lordship) of Schellenberg and the county of Vaduz (in 1699 and 1712 respectively) from the Hohenems. Tiny Schellenberg and Vaduz had exactly the political status required: no feudal lord other than their comital sovereign and the suzerain Emperor.
On 23 January 1719, after the lands had been purchased, Charles VI, Holy Roman Emperor, decreed that Vaduz and Schellenberg were united and elevated the newly formed territory to the dignity of Fürstentum (principality) with the name Liechtenstein in honour of [his] true servant, Anton Florian of Liechtenstein. On this date, Liechtenstein became a sovereign member state of the Holy Roman Empire. It is a testimony to the mere political expediency of the purchase that the Princes of Liechtenstein did not visit their new principality for almost 100 years.
By the early 19th century, as a result of the Napoleonic Wars in Europe, the Holy Roman Empire came under the effective control of France, following the crushing defeat at Austerlitz by Napoleon in 1805.
In 1806 Emperor Francis II abdicated and dissolved the Holy Roman Empire, ending more than 960 years of feudal government. Napoleon reorganized much of the Empire into the Confederation of the Rhine. This political restructuring had broad consequences for Liechtenstein: the historical imperial, legal, and political institutions had been dissolved. The state ceased to owe an obligation to any feudal lord beyond its borders.
Modern publications generally attribute Liechtenstein's sovereignty to these events. Its prince ceased to owe an obligation to any suzerain.
From 25 July 1806, when the Confederation of the Rhine was founded, the Prince of Liechtenstein was a member, in fact, a vassal, of its hegemon, styled protector, the French Emperor Napoleon I, until the dissolution of the confederation on 19 October 1813.
Soon afterward, Liechtenstein joined the German Confederation (20 June 1815-23 August 1866), which was presided over by the Emperor of Austria.
In 1818, Prince Johann I granted the territory a limited constitution. In that same year Prince Aloys became the first member of the House of Liechtenstein to set foot in the principality that bore their name. The next visit would not occur until 1842.
Until the end of World War I, Liechtenstein was closely tied first to the Austrian Empire and later to Austria-Hungary; the ruling princes continued to derive much of their wealth from estates in the Habsburg territories, and spent much of their time at their two palaces in Vienna. Johann II appointed Carl von In der Maur, an Austrian aristocrat, to serve as the Governor of Liechtenstein. The economic devastation caused by the First World War forced the country to conclude a customs and monetary union with its other neighbour, Switzerland.
The official language is German, spoken by 92% of the population as their main language in 2020. 73% of Liechtenstein's population speak an Alemannic dialect of German at home that is highly divergent from Standard German but closely related to dialects spoken in neighbouring regions such as Switzerland and Vorarlberg, Austria. In Triesenberg, a Walser German dialect promoted by the municipality is spoken. Swiss Standard German is also understood and spoken by most Liechtensteiners.
More information: Liechtenstein USA
Feudalism, serfdom, slavery -all tyrannical institutions,
are merely the most vigorous kinds of rule,
springing out of, and necessary to, a bad state of man.
The progress from these is in all cases the same -less government.
Herbert Spencer
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