Venice is a city in northeastern Italy and the capital of the Veneto region. It is situated in a group of 118 small islands that are separated by canals and linked by bridgesThe canal system in the city of Venice, Italy, was built to facilitate transportation of goods in and out of the city as early as 400 A.D. By the 10th century, Venice was a popular trade port, and its canal systems were used by merchants who conducted trading business on the seas. Today, the canals are still used to transport people and goods throughout the city. Also, the purpose of the canal system was to avoid flooding and create drainage. Despite this system, Venice still floods. All through the city, there are wooden poles which mark the water level. If the water level reaches a certain height then the flood alarm is sounded throughout the city.