Publicly Traded versus Private Ownership in factories

[Republic of Mercury]

Yeah rereading I misunderstood what TerraSlayer said. It's definitely the case that only capitalists contribute to the Investment Pool under Laissez Faire, and so by increasing the proportion of Ownership Shares held by capitalists, you increase contributions to the Investment Pool. For a lot of industries, publicly trading makes no difference, because going from having 5 Capitalist ownership shares out of 5 to 10 out of 10 doesn't do anything, but for agriculture where you go from 0 shares out of 7 to 5 shares out of 12 being held by Capitalist, it means a significant increase to the Investment Pool under Laissez Faire.

So the answer seems to be: "you use publicly traded for things that wouldn't otherwise have capitalist shares, and when you want to boost the clout of Industrialists and other capitalist-affiliated IGs, and when you have a reasonably profitable factory and want to increase SoL instead. You don't use it if you're trying to avoid Industrialists or a factory you want to be profitable is not profitable yet."

Just for one final bit of pendantry, in case anyone's not aware: Aristocrats can contribute to the pool under LF (and any economic system); the approval bonus from the landowners is a +10% investment pool contribution modifier for aristocrats, and it's additive, so it works even when aristocrats base contribution is 0.

So basically under Interventionism/LF use publicly traded for rural tab & privatly owned for urban buildings to maximize investment pool.

Strictly for the purposes of maximising the investment pool yes (with urban including mines, as ShoGul says). The clout (and potentially even loyalist) effects of publically traded shouldn't be forgotten though, even if they don't always matter.

 

[PedroLuiz]

Yeah, aristocrats take like 1/3 of agriculture profits under privately owned, compared to capitalists taking 100% of factory profit. Agrarianism just isn't that good.

It's a good way to move past traditionalism

 

[PedroLuiz]

Just for one final bit of pendantry, in case anyone's not aware: Aristocrats can contribute to the pool under LF (and any economic system); the approval bonus from the landowners is a +10% investment pool contribution modifier for aristocrats, and it's additive, so it works even when aristocrats base contribution is 0.

Even when you can't spend the investment pool with traditionalist economy

 

[Secret Master]

Okay, so now I have a great example of how moving from private ownership (fewer capitalists) to publicly traded (more capitalists) will hypothetically result in more profits.

So how in the Hell would adding 7,500 more capitalists result in $190,000 in profits? The factory isn't even up to capacity yet.

Is the tooltip bugged? Maybe. This is what happens after I swap over and run the clock:

Swapping production methods resulted in slightly more employees (factory still not to capacity), a drop in productivity, and a drop in average wages. The tooltip is now telling me that swapping back to privately owned will make the factory $202,000 more in profits.

I swap it back to private ownership, run the clock, and this is the result:

So, what do I even do with this data?

 

[ShoGuL]

Blame Paradox?

 

[Haresus]

Keep swapping for infinite money.

The tooltips lie. My theory (not tested) is that they assume that your building will be fully employed without taking into account price (and wage?) changes. Since your factory could employ about twice as many people, the tooltip thinks that your factory will now produce twice as much in this hypothetical scenario, and so the estimated profits are extremely high.

But I might be entirely incorrect about that. The important thing is that the tooltips lie, always.

 

[Violent AI]

Okay, so now I have a great example of how moving from private ownership (fewer capitalists) to publicly traded (more capitalists) will hypothetically result in more profits.

View attachment 920737

So how in the Hell would adding 7,500 more capitalists result in $190,000 in profits? The factory isn't even up to capacity yet.

Is the tooltip bugged? Maybe. This is what happens after I swap over and run the clock:

View attachment 920740

Swapping production methods resulted in slightly more employees (factory still not to capacity), a drop in productivity, and a drop in average wages. The tooltip is now telling me that swapping back to privately owned will make the factory $202,000 more in profits.

I swap it back to private ownership, run the clock, and this is the result:

View attachment 920745


So, what do I even do with this data?

Your data is not valid because your factory should be fully employed in all scenarios.
And importantly, never trust the tooltip

 

[Less2]

My solution is to trust the tooltip and also just be rich enough by this point that it won't matter.