As defined by the United Nations, sovereign states have the following qualifications: a permanent population, a defined territory, one government, and the capacity to enter into relations with other sovereign states. In addition, a fundamental principle of international law is self-determination, which means that the people who live in a country generally have the right to determine their political status and form their government.
Can You Buy a Country?
No, Under international law, buying a country is impossible. Additionally, most countries have constitutions or other laws that prohibit the sale of the nation’s sovereign territory. So, technically, a person or company can not own the country.
You can not buy a country because:
- Sovereignty: Countries are sovereign entities that have the right to govern themselves. This means they cannot be bought or sold like property.
- International Law: The United Nations, which serves as a global forum for countries and helps maintain international order, upholds the principle of self-determination. This principle emphasizes that the people who live in a country have the right to choose their government and political system.
- Domestic Laws: Most countries have domestic laws and constitutions prohibiting the sale of their territory.
- Ethics and Morality: The idea of purchasing a country, and thereby its population, raises serious ethical and moral issues, such as undermining human rights and self-determination.
- Political Resistance: Even if a government was willing to sell its territory, the country’s citizens would likely resist intensely, resulting in political instability and conflict.
- Historical Precedent: While there have been instances where territories have been bought and sold, these transactions were between governments under specific circumstances. They did not involve the sale of an entire sovereign state.
- Recognition by Other States: Even if a country was theoretically “purchased,” other nations might not recognize this change, leading to various political and diplomatic issues.
- Maintenance and Governance: Owning a country would imply the responsibility to provide for its inhabitants, including infrastructure, law enforcement, education, healthcare, etc. The complexity and cost of running a country make it virtually impossible for an individual or corporation to do so.
In history, there have been instances where territories were purchased, such as the United States’ purchase of Alaska from Russia in 1867 and the Louisiana Purchase from France in 1803. However, these were not purchases of entire countries but rather territories, and those deals were made between governments under specific historical circumstances.
That being said, international law is a complex and evolving field. For example, while it is generally accepted that a country can’t be bought outright, various arrangements, such as leases, contracts, or treaties, can grant some control or influence over a territory.
However, these agreements usually involve government-to-government negotiations and are subject to various legal, political, and ethical constraints.
Individuals or companies may accumulate vast fortunes through various means, including entrepreneurship, investments, successful business ventures, inheritance, or other forms of wealth creation. Over time, wealth accumulation can result in individuals or companies amassing financial resources that exceed the GDP of certain countries.
Globalization has led to the expansion of businesses and increased interconnectedness across borders. As a result, multinational corporations operate in multiple countries and generate substantial revenues. In addition, the global market dynamics, favorable business conditions, and access to international markets can contribute to the significant financial success of these companies, surpassing the economic output of certain countries.
Wealth concentration refers to the unequal distribution of wealth among individuals or entities. Factors such as economic systems, market opportunities, and regulatory environments can contribute to the concentration of wealth in the hands of a few individuals or companies. As a result, the wealth of these entities may exceed the GDP of smaller or less prosperous countries.
When an individual or a company’s wealth surpasses a country’s GDP, it does not imply that they have direct control over its resources or finances. GDP represents the economic output of an entire nation, including the contributions of millions of people and various sectors.
However, this comparison underscores the vast disparities in wealth distribution and highlights the power and influence that wealthy individuals or corporations can wield. It also raises discussions about income inequality, wealth taxation, corporate responsibility, and the need for equitable economic systems.
After leaving Wells Fargo Bank in 2014, Daniel began a career as a finance consultant, advising companies and individuals on economic policy, labor relations, and financial management.
At Promtfinance.com, Daniel writes about personal finance topics, value estimation, budgeting strategies, retirement planning, and portfolio diversification.
Read more on Daniel Smith's biography page.
Contact Daniel: daniel@promtfinance.com