Education in the Micronesian island nation of Palau still follows the American system of Grades K to 12. It is mandatory until either the age of 16 is reached, or graduation from high school is achieved. There are approximately 20 elementary state schools dispersed through villages and islands, where pupils study for 6 years.
Melekeok is a city in the island country of Palau. It has served as Palau's capital city since 2006, despite its small population of about 250 people. It is the smallest national capital in the world by population.
Palau uses the U.S. dollar as its currency. This has the advantage of bypassing the expense of running a central bank. Also, the currency is completely convertible, and price stability is reasonably well ensured, as Palau does not have the ability to print currency. The rate of inflation was less than 3 percent a year from 1996-98.