Capital: Reykjavik
Government: Absolute Monarchy (Emperor Christian XI)
Social and Economic Policies:
-Emperor Christian XI has a mind towards industrialization and improvement of infrastructure, in particular the construction of railroads across the empire to facilitate travel and resource movement.
-The Empire maintains a small army, operating mostly to protect the overseas possessions of the empire and crush rebellious provinces. The majority of the military budget goes towards the navy, with a focus on protecting and patrolling commonly used Icelandic shipping routes.
-Though the Emperor has absolute power over his subjects and how to rule the government, the ever growing conciousness of the population has forced him to take a more moderate and progressive stance towards politics. Many among the population are calling for a more democratic system.
-The government intervenes commonly in the economy, running its own corporations and factories and subsidizing Icelandic companies. Infrastructure construction and maintenance (roads, railroads, harbors, etc) is completely run by the government.
Internal Politics:
-The Pan-Nordic Faction: A nationalist group with a large following around the empire, they wish to unite the Nordic factions and turn them into a world-spanning empire. Pan-Nordics are generally confined to the upper classes and military.
-Imperial Faction: The royalists of Iceland. They believe in the monarchy and wish to establish Icelandic dominance over Europe, remain an absolute monarchy, and are generally conservative in their thinking.
-Democratic Faction: A faction popular amongst the middle classes especially and somewhat the lower, members of the democratic faction wish for a far more democratic system of governance, though not necessarily getting rid of the monarchy.
-Socialist Faction: The faction most popular with the lower classes, the socialists are, well, socialists. They wish to disband the monarchy and take control of all Icelandic corporations, factories, etc and establish a state based around the workers.
Traits: The Icelandics have a proud naval tradition, with the fleet being the pride of the nation. The king is fairly progressive, but his power is steadily eroding with so many different factions vying for influence. Due to the low manpower of their territories, Icelandic troops are generally very well trained and equipped, and artillery and long-range bombardment are used whenever possible to keep Icelandic casualties low.
History: The Icelandic people, after cruel oppression from their oppressors in Denmark, rebelled against them, seizing all Danish holdings in Iceland and defeating all of the present military forces. After a quick peace was signed with the Danish Empire, Iceland receded into seclusion from the world, with little influence from any nearby nations. However, after hearing that the Danish Empire had dissolved into civil war and strife, the Icelandic army invaded Norway. Another invasion fleet, capturing Copenhagen, ended the war - and brought Iceland out as a world power.
Shortly after the Martian War, general dissatisfaction with the Socialist Republic led to a revolt from reactionary elements in Iceland. The military, still very weak from their previous encounters with the Martians, buckled underneath the strain, and Lief Eriksson was crowned king of Iceland - rechristened Christian X afterwards.