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April-June 1994
The economy grows by a minor amount, attempts to use quotas to manipulate the price mechanism in order to increase efficiency are ineffective this quarter.
General Saravia attempts to appeal his previous conviction, but his sentence is upheld in a verdict by a higher court. In response, he publishes his memoir Failures of a General and of a Patriot. It is moderately succesful, and draws a minor amount of people to the right.
Anastasia Valdez is driving in her motorcade through the capital when the car in front of her suddenly brakes at a tight turn, causing the car to crash into the one in front of her. It becomes clear in moments that this was no accident when someone fires a machine gun into the car from the ground floor window of a nearby apartment building, killing Valdez and everyone else inside. The perpetrators manage to quickly escape; it is unclear who precisely was responsible for the attack, though it is clear that the attackers attempted to disguise themselves as communist paramilitaries.
The National Unity Front of Anetaguay is formed as a National Socialist paramilitary.
The NPU goes on a recruiting drive in an attempt to scrounge recruits from former paramilitaries.
The police crack down on the FPU and FRLA, with little success.
PLS campaigns for a balanced economy.
The PLD continues their charity programmes.
The APPV stages protests against deforestation and mining.
DC attempts to recruit from churches. They are moderately successful.
The NWU is moderately succesful in drawing members back after the unsuccessful order to strike.
Francisco Medrano campaigns around the country attempting to garner support for a moderate president.
The WUOL attempts to organize more workers. They are moderately successful.
The UTCA attempts to campaign for the usage of PR in legislative elections.
The FRLA starts to recruit from among the unemployed.
The APPV stages a music concert to promote their hippy ideas. They are quite successful.
DC goes on a tour around the country in an attempt to attract voters.
The FRLA establishes itself in the mountains of Peru near the border.
The National Socialist Organizing Committee is formed as the protest wing of the NAUP.
Pedro Reyes attempts to tour the west to attract aid from charities and the red cross. He is moderately successful.
ABC Poll
Anetaguayan Democratic Communist Party (PCDA)-22%
Social Democratic Party (PSD)-20%
Worker-Peasant Union of Anetaguay (UTCA)-11%
Christian Democracy (DC)-11%
Anetaguayan Populists Green Party (APPV)-10%
Secular Freedom Party (PLS)-8%
Fascist Union Party (FPU)-7%
Liberal Democratic Party (PLD)-6%
National Anetaguayan Unity Party (UNPA)-3%
League of Christian Socialists (SSC)-2%
The Anti-Party of the Grand Revolution (APGR)->1%
Projected Seats Won
Anetaguayan Democratic Communist Party (PCDA)-39
Social Democratic Party (PSD)-27
Christian Democracy (DC)-9
Worker-Peasant Union of Anetaguay (UTCA)-8
Anetaguayan Populists Green Party (APPV)-7
Secular Freedom Party (PLS)-4
Fascist Union Party (FPU)-3
Liberal Democratic Party (PLD)-2
National Anetaguayan Unity Party (UNPA)-1
League of Christian Socialists (SSC)-0
The Anti-Party of the Grand Revolution (APGR)-0
Presidential Election March 1994
Daniella Sanchez, Anetaguayan Democratic Communist Party (PCDA)-46%
Francisco Medrano, Social Democratic Party (PSD)-54%
Francisco Medrano wins the Presidential election
Information
The economy grows by a minor amount, attempts to use quotas to manipulate the price mechanism in order to increase efficiency are ineffective this quarter.
General Saravia attempts to appeal his previous conviction, but his sentence is upheld in a verdict by a higher court. In response, he publishes his memoir Failures of a General and of a Patriot. It is moderately succesful, and draws a minor amount of people to the right.
Anastasia Valdez is driving in her motorcade through the capital when the car in front of her suddenly brakes at a tight turn, causing the car to crash into the one in front of her. It becomes clear in moments that this was no accident when someone fires a machine gun into the car from the ground floor window of a nearby apartment building, killing Valdez and everyone else inside. The perpetrators manage to quickly escape; it is unclear who precisely was responsible for the attack, though it is clear that the attackers attempted to disguise themselves as communist paramilitaries.
The National Unity Front of Anetaguay is formed as a National Socialist paramilitary.
The NPU goes on a recruiting drive in an attempt to scrounge recruits from former paramilitaries.
The police crack down on the FPU and FRLA, with little success.
PLS campaigns for a balanced economy.
The PLD continues their charity programmes.
The APPV stages protests against deforestation and mining.
DC attempts to recruit from churches. They are moderately successful.
The NWU is moderately succesful in drawing members back after the unsuccessful order to strike.
Francisco Medrano campaigns around the country attempting to garner support for a moderate president.
The WUOL attempts to organize more workers. They are moderately successful.
The UTCA attempts to campaign for the usage of PR in legislative elections.
The FRLA starts to recruit from among the unemployed.
The APPV stages a music concert to promote their hippy ideas. They are quite successful.
DC goes on a tour around the country in an attempt to attract voters.
The FRLA establishes itself in the mountains of Peru near the border.
The National Socialist Organizing Committee is formed as the protest wing of the NAUP.
Pedro Reyes attempts to tour the west to attract aid from charities and the red cross. He is moderately successful.
ABC Poll
Anetaguayan Democratic Communist Party (PCDA)-22%
Social Democratic Party (PSD)-20%
Worker-Peasant Union of Anetaguay (UTCA)-11%
Christian Democracy (DC)-11%
Anetaguayan Populists Green Party (APPV)-10%
Secular Freedom Party (PLS)-8%
Fascist Union Party (FPU)-7%
Liberal Democratic Party (PLD)-6%
National Anetaguayan Unity Party (UNPA)-3%
League of Christian Socialists (SSC)-2%
The Anti-Party of the Grand Revolution (APGR)->1%
Projected Seats Won
Anetaguayan Democratic Communist Party (PCDA)-39
Social Democratic Party (PSD)-27
Christian Democracy (DC)-9
Worker-Peasant Union of Anetaguay (UTCA)-8
Anetaguayan Populists Green Party (APPV)-7
Secular Freedom Party (PLS)-4
Fascist Union Party (FPU)-3
Liberal Democratic Party (PLD)-2
National Anetaguayan Unity Party (UNPA)-1
League of Christian Socialists (SSC)-0
The Anti-Party of the Grand Revolution (APGR)-0
Presidential Election March 1994
Daniella Sanchez, Anetaguayan Democratic Communist Party (PCDA)-46%
Francisco Medrano, Social Democratic Party (PSD)-54%
Francisco Medrano wins the Presidential election
Information
Statistics
Economy by sector: 45% Agriculture, 30% Mining, 20% Heavy Industry, 5% Consumer Goods
Agricultural Ownership: 0% Large farms, 0% Small farms, 0% Government, 100% Worker Owned, 0% Foreign Owned
Mining Ownership: 0% Large firms, 0% Small firms, 25% Government, 75% Worker Owned, 0% Foreign Owned
Heavy Industry: 0% Large firms, 0% Small firms, 10% Government, 90% Worker Owned, 0% Foreign Owned
Consumer Goods Ownership: 0% Large firms, 0% Small firms, 10% Government, 90% Worker Owned, 0% Foreign Owned
Demographics
Ethnic Composition: 70% Anetaguayan, 25% Amerindian, 5% Peruvian
Religious Composition: 50% Catholic, 10% Protestant, 15% Traditional, 25% Secular
Employment: 14% Unemployment
Terrain:20% Mountains, 30% Tropical Rainforest, 30% Hills, 20% Grassland
Pollution: No significant pollution
Information
Economics
Infrastructure and Utilities: 30/100, All Publically Owned
Inequality: 12/100
Economic Indicators: ++
Income:+
Debt Rating: --
Debt: 29/100
Welfare: 7/10
Minimum Wage: 6/10
Healthcare: Universal Healthcare, Quality: 6/10
Labor Regulations: 4/10
Union Protections: 7/10
Financial regulations: 6/10
Income Tax: 0%/20%/27.5%/35%-40%/30%/20%/10% income brackets of the population
Corporate Tax: 15%
Tariffs: 10% on all goods
Crime: 15/100
Assorted Laws
Drug possession and trafficking are both illegal.
Smoking and Alcohol are both legal from the age of 18 on. No regulations exist on public consumption.
Freedom of speech is well protected.
Right to bear arms is well protected.
Freedom of assembly is well protected.
Freedom of religion is well protected.
Freedom from arbitrary arrest and imprisonment is well protected.
The Justice System is fully independent and generally fair.
The maximum possible sentence is Life Imprisonment, without the possibility of parole.
Church is separated from state. Church Properties are owned by the state, with churches paying rent to the state to use them.
Abortion and contraception are both legal.
Police: 25/100
Army: 15/100
Air Force: 5/100
Navy: 10/100
Foreign Relations
United States: -50
Russia: -25
Cuba: 100
European Union: 25
The Vatican: -75
China: 25
Assorted Anti-Americans:: 25
Unions
Revolutionary Syndicalist Federation
Ideology: Left Anarchism-Anarcho-Syndicalism
Party Affiliation: UTCA
Strength: 5% Workforce
Industry: Multi-Industry
Green Collective Union
Ideology: Socialism-Eco-Socialism
Party Affiliation: APPV
Strength: 8% Workforce
Industry: Agriculture
United Workers Federation
Ideology: Socialism-Marxist-Leninism
Party Affiliation: PCDA
Strength: 7% Workforce
Industry: Multi-Industry
Workers United Organization of Labor
Ideology: Socialism-Democratic Socialism
Party Affiliation: PCDA
Strength: 20% Workforce
Industry: Multi-Industry
National Workers Union
Ideology: Social Democracy
Party Affiliation
SD
Strength: 8% Workforce
Industry: Multi-Industry
National Agricultural Union
Ideology: Social Democracy
Party Affiliation: PSD
Strength: 6% Workforce
Industry: Agriculture
Protesters/Organizations
Democracy Watch
Ideology: Centrism
Party Affiliation: PLS
Currently Protesting: No
Independent Democratic Youth
Ideology: Market Liberalism
Party Affiliation: PDI
Currently Protesting: No
The Alliance for a Free Anetaguay
Ideology: Market Liberalism
Party Affiliation: PDI
Currently Protesting: No
National Socialist Organizing Committee
Ideology: Fascism-National Socialism
Party Affiliation: NAUP
Currently Protesting: No
Insurgents/Paramilitaries
National Protection Units
Ideology: Fascism
Party Affiliation: FPU
Strength: 5/10
Frente Revolucionario para la Liberación de Anetaguay
Ideology: Right Anarchism
Party Affiliation: APGR
Strength: 5/10
Autonomous Indigenous Front
Ideology: Left Anarchism-Anarcho-Communism/Amerinidian Nationalism
Party Affiliation: UTCA
Strength: 3/10
Red Dawn Revolutionary Front
Ideology: Socialism
Party Affiliation: PCDA
Strength: 4/10
The National Unity Front of Anetaguay
Ideology: Fascism-National Socialism
Party Affiliation: NAUP
Strength: 2/10
Political Stability: 40/100
Economy by sector: 45% Agriculture, 30% Mining, 20% Heavy Industry, 5% Consumer Goods
Agricultural Ownership: 0% Large farms, 0% Small farms, 0% Government, 100% Worker Owned, 0% Foreign Owned
Mining Ownership: 0% Large firms, 0% Small firms, 25% Government, 75% Worker Owned, 0% Foreign Owned
Heavy Industry: 0% Large firms, 0% Small firms, 10% Government, 90% Worker Owned, 0% Foreign Owned
Consumer Goods Ownership: 0% Large firms, 0% Small firms, 10% Government, 90% Worker Owned, 0% Foreign Owned
Demographics
Ethnic Composition: 70% Anetaguayan, 25% Amerindian, 5% Peruvian
Religious Composition: 50% Catholic, 10% Protestant, 15% Traditional, 25% Secular
Employment: 14% Unemployment
Terrain:20% Mountains, 30% Tropical Rainforest, 30% Hills, 20% Grassland
Pollution: No significant pollution
Information
Economics
Infrastructure and Utilities: 30/100, All Publically Owned
Inequality: 12/100
Economic Indicators: ++
Income:+
Debt Rating: --
Debt: 29/100
Welfare: 7/10
Minimum Wage: 6/10
Healthcare: Universal Healthcare, Quality: 6/10
Labor Regulations: 4/10
Union Protections: 7/10
Financial regulations: 6/10
Income Tax: 0%/20%/27.5%/35%-40%/30%/20%/10% income brackets of the population
Corporate Tax: 15%
Tariffs: 10% on all goods
Crime: 15/100
Assorted Laws
Drug possession and trafficking are both illegal.
Smoking and Alcohol are both legal from the age of 18 on. No regulations exist on public consumption.
Freedom of speech is well protected.
Right to bear arms is well protected.
Freedom of assembly is well protected.
Freedom of religion is well protected.
Freedom from arbitrary arrest and imprisonment is well protected.
The Justice System is fully independent and generally fair.
The maximum possible sentence is Life Imprisonment, without the possibility of parole.
Church is separated from state. Church Properties are owned by the state, with churches paying rent to the state to use them.
Abortion and contraception are both legal.
Police: 25/100
Army: 15/100
Air Force: 5/100
Navy: 10/100
Foreign Relations
United States: -50
Russia: -25
Cuba: 100
European Union: 25
The Vatican: -75
China: 25
Assorted Anti-Americans:: 25
Unions
Revolutionary Syndicalist Federation
Ideology: Left Anarchism-Anarcho-Syndicalism
Party Affiliation: UTCA
Strength: 5% Workforce
Industry: Multi-Industry
Green Collective Union
Ideology: Socialism-Eco-Socialism
Party Affiliation: APPV
Strength: 8% Workforce
Industry: Agriculture
United Workers Federation
Ideology: Socialism-Marxist-Leninism
Party Affiliation: PCDA
Strength: 7% Workforce
Industry: Multi-Industry
Workers United Organization of Labor
Ideology: Socialism-Democratic Socialism
Party Affiliation: PCDA
Strength: 20% Workforce
Industry: Multi-Industry
National Workers Union
Ideology: Social Democracy
Party Affiliation
SDStrength: 8% Workforce
Industry: Multi-Industry
National Agricultural Union
Ideology: Social Democracy
Party Affiliation: PSD
Strength: 6% Workforce
Industry: Agriculture
Protesters/Organizations
Democracy Watch
Ideology: Centrism
Party Affiliation: PLS
Currently Protesting: No
Independent Democratic Youth
Ideology: Market Liberalism
Party Affiliation: PDI
Currently Protesting: No
The Alliance for a Free Anetaguay
Ideology: Market Liberalism
Party Affiliation: PDI
Currently Protesting: No
National Socialist Organizing Committee
Ideology: Fascism-National Socialism
Party Affiliation: NAUP
Currently Protesting: No
Insurgents/Paramilitaries
National Protection Units
Ideology: Fascism
Party Affiliation: FPU
Strength: 5/10
Frente Revolucionario para la Liberación de Anetaguay
Ideology: Right Anarchism
Party Affiliation: APGR
Strength: 5/10
Autonomous Indigenous Front
Ideology: Left Anarchism-Anarcho-Communism/Amerinidian Nationalism
Party Affiliation: UTCA
Strength: 3/10
Red Dawn Revolutionary Front
Ideology: Socialism
Party Affiliation: PCDA
Strength: 4/10
The National Unity Front of Anetaguay
Ideology: Fascism-National Socialism
Party Affiliation: NAUP
Strength: 2/10
Political Stability: 40/100
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I thank the people of Anetaguay for electing me as their first president. I stand here today as proof that the people do not want the communists to be able to pass any radical legislation they want to without opposition, who will veto it without hesitation. I will uphold their wishes and vow to veto any radical legislation that lands on my desk. The PCDA and their colleagues in the government must pass moderate legislation if they wish to have me approve of it.
I must also send my condolences to the family of Sra. Valdez and all those who were also in her motorcade at the time of the attack. The murder of the leader of the opposition is simply unacceptable and, at the time being, there is good reason to believe that it was perpetrated by the PCDA itself, through the use of one of its paramilitaries! However, I will not comment further on this until an official investigation is launched and comes up with conclusive evidence.
I shall also be stepping down as President of the Social Democratic Party and handing leadership over to the current Vice-President of the party, Cristóbal Nuncio. While it pains me to do this, it is simply necessary so that the PSD has a leader within the General Assembly who will be able to focus all his efforts on the parties interests. Also, in the event that the PSD were to win a future election while I am still President, I would not be the Prime Minister and the President at the same time, as the Constitution the communists passed does not strictly forbid a person from holding both positions simultaneously. As such, I urge the PCDA to present a provision forbidding a person from being both the Prime Minster and the President in order to protect democracy within Anetaguay and ensure that too much power cannot be vested into one person.
- Francisco Medrano, President of Anetaguay
I must also send my condolences to the family of Sra. Valdez and all those who were also in her motorcade at the time of the attack. The murder of the leader of the opposition is simply unacceptable and, at the time being, there is good reason to believe that it was perpetrated by the PCDA itself, through the use of one of its paramilitaries! However, I will not comment further on this until an official investigation is launched and comes up with conclusive evidence.
I shall also be stepping down as President of the Social Democratic Party and handing leadership over to the current Vice-President of the party, Cristóbal Nuncio. While it pains me to do this, it is simply necessary so that the PSD has a leader within the General Assembly who will be able to focus all his efforts on the parties interests. Also, in the event that the PSD were to win a future election while I am still President, I would not be the Prime Minister and the President at the same time, as the Constitution the communists passed does not strictly forbid a person from holding both positions simultaneously. As such, I urge the PCDA to present a provision forbidding a person from being both the Prime Minster and the President in order to protect democracy within Anetaguay and ensure that too much power cannot be vested into one person.
- Francisco Medrano, President of Anetaguay
((I'm a tad confused. So the last elections were for who would form a government, with the PCDA doing so with a coalition consisting of the PCDA, UTCA and APPV, correct? And now we just had an election for President, of whom Francisco Medrano of the PSD won, right? So does this mean that the government of Anetaguay has both a Prime Minister and a President? Sorry if you've explained this before, but I am rather confused.))
Yes, there is both a PM and a President. President is Head of State and can dissolve the government. PM is Head of Government.
The UTCA condemns the assassination of Senora Valdez and would like to send its condolences to her family and friends. The government promises to investigate this matter thoroughly. On that note, we would also ask President Medrano to cease making baseless attacks which will only inflame the situation further and allow the criminals responsible to get away with it.
We would like to ask that like President Medrano proposed to change the constitution so that no person may be both President and Prime Minister,lest one person gets too much power in their hands.
The PCDA expresses its condolences to the family, friends and acquaintances of Ms. Valdez and the other victims, who have been brutally murdered by unknown perpetrators. We will spare no expense in hunting down those responsible and we will show these criminals why it is ill-advised to pick a fight with the socialists. Unfortunately, it seems that the terrorism of the political right - for they almost certainly committed this deed, just like they have many others - will not stop until they are completely eradicated. It is my hope that we can not just catch the perpetrators but actually bring them to justice.
At the same time, I must once again point out the shallow, weak tactics of the PSD. Their methods are quite simple: whenever they spot something gone wrong in this country, they point at us and yell, "Blame the reds!" It is quite disgusting how they wish to use Anastasia Valdez' death for their petty political ambitions, and I call on all Anetaguayans to see Medrano's schemes for what they are.
However, after some consideration, we have decided that the proposal of forbidding the positions of Head of State and Head of Government being united in one person is valid, regardless of which parties support it. Therefore, I present the following constitutional amendment:
At the same time, I must once again point out the shallow, weak tactics of the PSD. Their methods are quite simple: whenever they spot something gone wrong in this country, they point at us and yell, "Blame the reds!" It is quite disgusting how they wish to use Anastasia Valdez' death for their petty political ambitions, and I call on all Anetaguayans to see Medrano's schemes for what they are.
However, after some consideration, we have decided that the proposal of forbidding the positions of Head of State and Head of Government being united in one person is valid, regardless of which parties support it. Therefore, I present the following constitutional amendment:
PLD votes yes to Constitutional Amendment No. 2.
Furthermore, we believe that a multiparty committee inquiring into the death of the opposition leader would be the best method to go forward. On a related note, we send our condolences to Ms Valdez's family and friends.
- Pedro Reyes
Furthermore, we believe that a multiparty committee inquiring into the death of the opposition leader would be the best method to go forward. On a related note, we send our condolences to Ms Valdez's family and friends.
- Pedro Reyes
A multi-party objective investigation would indeed be the best course of action.
The PSD votes FOR Constitutional Amendment No. 2.
I must also concur with Sr. Reyes that a multiparty committee would be the best way to go about investigating the death of Sra. Valdez.
- Cristóbal Nuncio, President of the Social Democratic Party (PSD)
I must also concur with Sr. Reyes that a multiparty committee would be the best way to go about investigating the death of Sra. Valdez.
- Cristóbal Nuncio, President of the Social Democratic Party (PSD)
A note on economics
Battlebunny has recently asked me some questions about the budget, so I'm making this post to clarify how the budget works. I'll be using a # to indicate Anetaguayan pesos. One green plus under Economic indicators equals an economic value of 60; one red minus equals 50, and so on. The lowest value is 10 (5 red minuses), the highest value is 100 (5 green pluses). This figure is then divided in half. One half is personal income which is taxed under the average income tax rate. The other half is corporate income. State owned firms are subtracted from this total, and not considered for taxation (thus if state owned firms were 10% of the economy, only 45% would be taxed) . The remaining percentage is taxed under the corporate tax rate. State owned firms give all their income directly to the state if 10% of the economy is state owned at an economic indicator of 100, 5# are given to the state budget. Trade income is calculated by giving a trade value (with a maximum value of 50), which is determined by the tariff rate (low tariffs giving a higher trade value on a track like a laffer curve. The highest amount of # you could theoretically make would be 12.5), and positive relations with various countries, and then multiplying that value by the tariff rate. Having tariffs too high or in some cases too low will harm economic indicators. High corporate tax rates will discourage growth in the private sector (including worker run firms). High income tax rates (like above 60%) will also discourage growth. In Income, one green cross equals a budget surplus of 0-10, and so on.
Economies are broken into 4 types for the purposes of calculating economic indicators. Free, Mixed, Worker-Run, and Planned. Economies to the right will grow more quickly, but they will also be at higher risk of a market failure. Economies to the left will grow more slowly, but market failures will not be as damaging. It is possible to manipulate the economic indicators using actions to boost them up 1 or 2 pluses. Rapidly changing an economy from one type to another (like a couple turns ago) will always set the economy to 5 red minuses. An economy is considered planned if most businesses are state controlled. An economy is considered worker run is most businesses are worker controlled. An economy is considered mixed if most businesses are privately controlled (large or small), but there exist significant regulations and/or social services. An economy is considered free if most businesses are state controlled and there are no significant regulations or social services. The function of welfare and regulations is to reduced inequality. Regulations and minimum wages cost the government nothing but bureaucratic costs to enforce them (10% of the total regulatory value), but as noted they contribute towards the economic type. Union protections don't do anything except make unionization easier. Welfare and healthcare costs the government # equal to how high the welfare and healthcare value are. Inequality has no economic effect, but contributes to the stability of the government, with more inequality contributing to higher instability. Small businesses have no effect on the economy besides reducing inequality more than large businesses. Worker and State run businesses decrease inequality the most. Thus if the entire economy is state or worker run, and all regulations and welfare/social services are at 10, it is theoretically possible to get inequality to 1/100. Costs for the armed forces are determined by adding their strength together, and dividing it by 8. Costs to maintain infrastructure are determined by taking the value and multiplying it by 5% (infrastructure affects economic indicators somewhat, and better infrastructure makes people happier). Each turn, 10% of the current debt must be paid. These values are all added together, and subtracted from the total income. If any surplus is created, it is used to pay back debts unless otherwise specified. Debts from healthcare, welfare, infrastructure, and the armed forces are nothing if any but the last is privatized, and somewhat less if they are semi-privatized. To simplify things, tax rates for income from now on will be classified as "regressive" (the burden of tax is on the poor), "flat" (the burden of tax is on everyone equally), or "progressive" (the burden of tax is on the rich). The type will only effect equality; government income will be determined in each case by the average income tax rate.
Improving infrastructure, healthcare, or attempting to industrialize cannot be done by decree; it requires an investment first. To invest in something, you need to write a law saying "Invest X amount of # to improve/build Y"; higher amounts of # invested will have a higher chance of improving things. Everything else can be done by decree, by simply passing a law stating "Increase Police to 50" or "Raise welfare to 10".
Anyway, without further explanation, the current economic situation and budget (click so that you can actually see it):
Battlebunny has recently asked me some questions about the budget, so I'm making this post to clarify how the budget works. I'll be using a # to indicate Anetaguayan pesos. One green plus under Economic indicators equals an economic value of 60; one red minus equals 50, and so on. The lowest value is 10 (5 red minuses), the highest value is 100 (5 green pluses). This figure is then divided in half. One half is personal income which is taxed under the average income tax rate. The other half is corporate income. State owned firms are subtracted from this total, and not considered for taxation (thus if state owned firms were 10% of the economy, only 45% would be taxed) . The remaining percentage is taxed under the corporate tax rate. State owned firms give all their income directly to the state if 10% of the economy is state owned at an economic indicator of 100, 5# are given to the state budget. Trade income is calculated by giving a trade value (with a maximum value of 50), which is determined by the tariff rate (low tariffs giving a higher trade value on a track like a laffer curve. The highest amount of # you could theoretically make would be 12.5), and positive relations with various countries, and then multiplying that value by the tariff rate. Having tariffs too high or in some cases too low will harm economic indicators. High corporate tax rates will discourage growth in the private sector (including worker run firms). High income tax rates (like above 60%) will also discourage growth. In Income, one green cross equals a budget surplus of 0-10, and so on.
Economies are broken into 4 types for the purposes of calculating economic indicators. Free, Mixed, Worker-Run, and Planned. Economies to the right will grow more quickly, but they will also be at higher risk of a market failure. Economies to the left will grow more slowly, but market failures will not be as damaging. It is possible to manipulate the economic indicators using actions to boost them up 1 or 2 pluses. Rapidly changing an economy from one type to another (like a couple turns ago) will always set the economy to 5 red minuses. An economy is considered planned if most businesses are state controlled. An economy is considered worker run is most businesses are worker controlled. An economy is considered mixed if most businesses are privately controlled (large or small), but there exist significant regulations and/or social services. An economy is considered free if most businesses are state controlled and there are no significant regulations or social services. The function of welfare and regulations is to reduced inequality. Regulations and minimum wages cost the government nothing but bureaucratic costs to enforce them (10% of the total regulatory value), but as noted they contribute towards the economic type. Union protections don't do anything except make unionization easier. Welfare and healthcare costs the government # equal to how high the welfare and healthcare value are. Inequality has no economic effect, but contributes to the stability of the government, with more inequality contributing to higher instability. Small businesses have no effect on the economy besides reducing inequality more than large businesses. Worker and State run businesses decrease inequality the most. Thus if the entire economy is state or worker run, and all regulations and welfare/social services are at 10, it is theoretically possible to get inequality to 1/100. Costs for the armed forces are determined by adding their strength together, and dividing it by 8. Costs to maintain infrastructure are determined by taking the value and multiplying it by 5% (infrastructure affects economic indicators somewhat, and better infrastructure makes people happier). Each turn, 10% of the current debt must be paid. These values are all added together, and subtracted from the total income. If any surplus is created, it is used to pay back debts unless otherwise specified. Debts from healthcare, welfare, infrastructure, and the armed forces are nothing if any but the last is privatized, and somewhat less if they are semi-privatized. To simplify things, tax rates for income from now on will be classified as "regressive" (the burden of tax is on the poor), "flat" (the burden of tax is on everyone equally), or "progressive" (the burden of tax is on the rich). The type will only effect equality; government income will be determined in each case by the average income tax rate.
Improving infrastructure, healthcare, or attempting to industrialize cannot be done by decree; it requires an investment first. To invest in something, you need to write a law saying "Invest X amount of # to improve/build Y"; higher amounts of # invested will have a higher chance of improving things. Everything else can be done by decree, by simply passing a law stating "Increase Police to 50" or "Raise welfare to 10".
Anyway, without further explanation, the current economic situation and budget (click so that you can actually see it):
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