Europe (i/ˈjʊərəp/ ewr-əp or /ˈjɜrəp/ yur-əp[1]) is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally divided from Asia by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting the Black and Aegean Seas.[2] Europe is bordered by the Arctic Ocean to the north, the Atlantic Ocean to the west, the Mediterranean Sea to the south, and the Black Sea and connected waterways to the southeast. Yet the borders of Europe—a concept dating back to classical antiquity—are somewhat arbitrary, as the primarily physiographic term "continent" can incorporate cultural and political elements.

Europe is the world's second-smallest continent by surface area, covering about 10,180,000 square kilometres (3,930,000 sq mi) or 2% of the Earth's surface and about 6.8% of its land area. Of Europe's approximately 50 states, Russia is by far the largest by both area and population, taking up 40% of the continent (although the country has territory in both Europe and Asia), while Vatican City is the smallest. Europe is the third-most populous continent after Asia and Africa, with a population of 733 million or about 11% of the world's population.[3]
Europe, in particular Ancient Greece, is the birthplace of Western culture.[4] It played a predominant role in global affairs from the 15th century onwards, especially after the beginning of colonialism. Between the 16th and 20th centuries, European nations controlled at various times the Americas, most of Africa, Oceania, and large portions of Asia. In 1900, Europe's share of the world's population was 25%.[5] Both World Wars were largely focused upon Europe, greatly contributing to a decline in Western European dominance in world affairs by the mid-20th century as the United States and Soviet Union took prominence.[6] During the Cold War, Europe was divided along the Iron Curtain between NATO in the west and the Warsaw Pact in the east. European integration led to the formation of the Council of Europe and the European Union in Western Europe, both of which have been expanding eastward since the revolutions of 1989 and the fall of the Soviet Union in 1991. As a continent, the economy of Europe is currently the largest on Earth and it is the richest region as measured by assets under management with over $32.7 trillion compared to North America's $27.1 trillion in 2008.[159] In 2009 Europe remained the wealthiest region. Its $37.1 trillion in assets under management represented one-third of the world's wealth. It was one of several regions where wealth surpassed its precrisis year-end peak.[160] As with other continents, Europe has a large variation of wealth among its countries. The richer states tend to be in the West; some of the Eastern economies are still emerging from the collapse of the Soviet Union and Yugoslavia.

European and bordering nations by GDP (nominal) per capita in 2006
The European Union, an intergovernmental body composed of 27 European states, comprises the largest single economic area in the world. 16 EU countries share the euro as a common currency. Five European countries rank in the top ten of the world's largest national economies in GDP (PPP). This includes (ranks according to the CIA): Germany (5), the UK (6), Russia (7), France (8), and Italy (10).[161]

There is huge disparity between many European countries in terms of their income. The richest in terms of GDP per capita is Monaco with its US$172,676 per capita (2009) and the poorest is Moldova with its GDP per capita of US$1,631 (2010).[162] Monaco is the richest country in terms of GDP per capita in the world according to the World Bank report. ( courtesy of wikipedia )