Mackenzie K. Southern Hemisphere Blog

Palau is one of the many islands that make up the Pacific. Palau was initially settled more than 4,000 years ago, probably by migrants from what today is Indonesia. British traders became prominent visitors in the 18th century, followed by expanding Spanish influence in the 19th century. Following its defeat in the Spanish-American War, Spain sold Palau and most of the rest of the Caroline Islands to Germany in 1899. Control passed to Japan in 1914 and then to the United States under United Nations auspices in 1947 as part of the Trust Territory of the Pacific Islands.
  Four of the Trust Territory districts formed a single federated Micronesian state in 1979, but this eventually dissolved as the individual districts--long culturally distinct--opted for more locally popular status. Palau approved a new constitution in 1981, subsequently signing a Compact of Free Association with the United States in 1982. After eight referenda and an amendment to the Palauan constitution, the Compact went into effect on October 1, 1994, marking Palau's emergence from trusteeship to independence.
  Palau is a democratic republic with directly elected executive and legislative branches. Presidential elections take place every 4 years, at the same time as the United States' presidential election, to select the president and the vice president, who now run as a team. The Palau National Congress (Olbiil era Kelulau) has two houses. The Senate has 13 members elected nationwide. The House of Delegates has 16 members, one each from Palau's 16 states. All of the legislators serve 4-year terms. Each state also elects its own governor and legislature.
Palau's per capita GDP of $8,941 makes it one of the wealthier Pacific Island states. Palau looks like a lovely place to visit and take a vacation in the near future!