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Singapore

Why is the tiny nation of Singapore so wealthy?

Singapore is a tiny country in Southeast Asia; it is a single city-state located on one island surrounded by several smaller islands. Singapore has a deep, natural harbor that is sheltered, which has allowed it to be the center of trade between Europe and East Asia. Because of its importance as a British trading post beginning in 1819, many immigrants from Malaysia, China, and India moved to Singapore. It became its own country in 1965.

Singapore's leaders wanted to keep foreign investors interested in the economy, so they did what they could to keep wages low, encouraging outside companies to choose Singapore as a place to build factories. Specifically, they wanted to attract high-tech companies, and to support such companies, they instituted a modern educational system that prepared highly skilled workers for these types of businesses. Today Singapore is the center of international trade and manufacturing. It is one of the world’s busiest ports, but the high traffic of the area means that there is a lot of air and water pollution. This is in spite of the government's strict regulations to control commissions and waste.