Final Nazi stupidity? Keep out of island! (8)
I believe the answer is:
zanzibar
'island' is the definition.
(Zanzibar is an example)
'final nazi stupidity? keep' is the wordplay.
I cannot really see how this works, but
an anagram of 'nazi' is 'anzi' which is located in the answer.
This explanation may well be incorrect...
'out of' is the link.
Can you help me to learn more?
(Other definitions for zanzibar that I've seen before include "Tanzanian island" , "Island in Indian Ocean" , "Island off the coast of Tanzania" , "land off East Africa" , "Island capital" .)