The World in 1756
The World is only 8 years removed from the War of the Austrian Succession that had lasted from 1740 until 1748, in which King Frederick II of Prussia, known as Frederick the Great, had gained the rich province of Silesia from Austria. Empress Maria Theresa of Austria had signed the Treaty of Aix-la-Chapelle in 1748 only in order to gain time to rebuild her military forces and to forge new alliances, which she did with remarkable success. The political map of Europe had been redrawn in a few years as Austria abandoned its twenty-five year alliance with Britain. During the so‑called Diplomatic Revolution of 1756, the centuries-old enemies of France, Austria, and Russia formed a single alliance against Prussia.
Prussia's only major assistance came from Great Britain, their new found allies, whose ruling dynasty saw its ancestral Hanoverian possession as being threatened by France. In many respects the two powers' forces complemented each other excellently. The British had the largest, most effective navy in the world, while Prussia had the most formidable land force on continental Europe, allowing Great Britain to focus its soldiers towards colonial expeditions. The British hoped that the new series of alliances that had been formed during the Diplomatic Revolution would allow peace to continue, but they in fact brought the World to the brink of war in 1756.
The Austrian army had undergone an overhaul according to the Prussian system. Maria Theresa, whose knowledge of military affairs shamed many of her generals, had pressed relentlessly for reform. Her interest in the welfare of the soldiers had gained her their undivided respect. Austria had suffered several humiliating defeats to Prussia in the previous war, and strongly dissatisfied with the limited help they had received from the British, they now saw France as the only ally who could help them retake Silesia and check Prussia's expansion.
The events in Europe go hand in hand with the heated colonial struggle between the British Empire and French Empire which, as they expanded, met and clashed with one another on two continents. Of particular dispute was control of the Ohio Country which was central to both countries' ambitions of further expansion and development. Since 1754 France and Britain already were fighting a low-level war in North America.
(Mostly shamelessly stolen from Wikipedia).
A note on stats and rules
Some of the stats are a bit mysterious. Let me explain them. Population, economy, and trade are measured in millions of people and British pounds. Income comes from taxes on the economy (usually very low) and taxes on trade (usually very high). Expenses scale with population and with GDP/capita, so rich countries have to, for example, pay their soldiers more. Income denotes the income after all expenses have been paid (administrative costs, military upkeep, etc.). Debt denotes the current debt (or treasury) of the country. Interest of 5% has to be paid on all debt, and the same is collected on all funds in the treasury.
Literacy is measured in percentage points and reduces the cost of everything - smarter people come up with more efficient ways of doing things. In general it is unlikely to pay for itself, but at least it mitigates the costs of education somewhat. Infrastructure is measured on a 5-point scale and effects how much money is collected - the better the infrastructure the more money is collected from taxes, customs, etc.
Army and navy are represented by numbers of men and ships, and a quality that also takes on values from 1-5. Poor quality troops fight worse but are just as expensive as average quality troops. Better quality troops fight better and are also more expensive to maintain.
Next to infrastructure and quality you will see something like (1/5). This represents the progress towards next level of that statistic. How much money is spent to get to the next level depends heavily on how successful the investment is (i.e. random dice rolls) but in general 1% of GDP is a good rule of thumb if you want an estimate.
Any questions? Ask me.
Stats on the front page updated. Hopefully I will finish with most (all?) by tonight.