I'm pretty sure there are still many unclaimed islands way the fuck out there
They're not big enough for anyone to care about, really....
I had a fantasy about your scenario
One big island, one small one
Small one has kids and teachers and shit and the kids are taught how to cultivate weed and taught everything about it along with all the basic skills up to about 10th grade
Then once they reach a certain age they are allowed to move to the adult island to smoke their brains out
All electricity is from Solar Panels
The major industry's would be: Hammocks, Glass Blowing, Marijuana Cultivation & farms and shit
My utopia