Simcountry
Forum Beginners Country Economy's

Country Economy's

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xiong
29 Jul 2012 02:32 Link
@drew,
because the countries in sc do not reflect reality, i was merely thinking of my people as tools. my sims/people cannot make any decision without me anyways, right?

this concept of having the workers pay me income taxes or taxes, just bit ridiculous to me if you think about it. i'm paying them incomes through my corps, then they pay me back in taxes, which just a lot of works for not much values in those works. double doing works for the same value?

i think the way to make sense in sc would be my people are the key ingredients to improve my country. that means the more education that i provided to them, the smarter and more productive they are to produce what i want out of them.

think of it this way: you're the owner of a trucking company, the better you educate your drivers and the more trucks you have available for the drivers, then your company should be better?

my thought is that for sc to improve, it should not bother to worry too much about the internal mechanisms of a country, but rather focus on how a country interact with other countries. what i meant by that is, my sims are not independent of me unlike us humans on earth who do not depend on the government to tell us to go work/find employment. in sc, i decide what corps to build and i just need to train my sims to the requirements of that particular corp's requirements.

seems like most of my sims don't even know how to go to work too. my indexes are very good now, but i have a lot of unemployed people. on the managing education priorities, my "unemployed" figures exceeded my "needed for 100% production" figures....with only the exception of the high level managers which unemployed = 10,132 versus needed for 100% production = 12,881.

tell me, if i'm right or wrong...is it that i have more workers than corps to employed them, that's why i have unemployment?
D
Drew
29 Jul 2012 22:20 Link
Well ok my comments are directly related to the game and are not founded in reality. I'm just trying to assist you here. It does in fact make a huge difference in income increasing taxes recieved from citizens.

Hypothetical situation (don't have the actual income rates are would I want to do the math on that, for that matter)

100 salary LLW will make let's say 10000. He will not pay for healthcare, education, and he will recieve money back from the gov instead of paying taxes. If you pay him 300 instead bringing him upto 30000. He will pay maybe 5% to healthcare and education. Pay maybe 15% to taxes. That's 25% of his revenue directly back to your country instead of negative moneys. 7500 dollars to your country yet -12500 to the corp he works for. LLM make twice that though, so they would cause -25000 per dude. But 25% of his revenue is bigger but if he pays an extra 2% to health and education and an extra 6% to taxes. That would be 35% instead of 25% circulating. so this time is -25000 for the corp but 21000 for the country. A little closer this time proportionately at least. The benefits are really apparent no joke. But this looks like money lost, it probably isn't they probably equalize completely buying more stuff from your country, and spend money on houses and such. But that's not important we can call it a loss for now. Let's say you take this 13% loss on each worker. But now what happens if you get a 10% gain in productivity? Still seems like a loss right? I'll start with the obvious first. The majority of the extra costs went to your country and so even though your corp still is making less money then it was the total money going to your country and corp will go up. That''s not all though +Revenues up -salaries down, -raw materials proportionately the same, -fixed property costs proportionately less, -Maintenance products used proportaionately less. You begin to increase revenues and hold many costs static. That should be enough to increase profitability AND send more money to your country.

Now you are on to something how does paying your employees more possibly bring more money in, in taxes than what was spent on the increased salary costs? But you really answered your own question. Trade! If you can increase the amount of money coming into your country through increased production then you are showing a larger increase on imports, leading to a stronger economy. As simple as that. So your citizens are emotionless tools, tools to control to dictate internal options in your country to get you the results you desire the most.

So with education, you are right, but you have to understand the impact of the numbers. If you increase education there are costs and benefits. So you are able to control your populations workforce with this. But does it really mean tht each education point make them a better employee. Only kind of see, the workforce only gets better when an education point influences the welfare points. They are not on even grounds, if your education is 200 and your social security is 100 increasing education to 201 isn't going to lead to a better workforce. if your welfare was 110 but now 110.001 is it worth the cost? These are the things you have to look at. now if your Social security 200 and your education was 100 moving education upto 101 and your welfare goes from 110 -> 110.2 is it worth it?

So I'm not trying to argue or I'm trying to educate. You don't have to do what I tell you but knowing different tactics will increase your ability to use the many weapons in your arsenal. I wouldn't post it if it wasn't true. I'd never have a corp under 300 salary myself. I also have corps that have their profits hover around 0 to increase the prosperity of my country to maximize productivity. As long as the corp doesn't lose my country gains. Anyways GL to you. If you don't believe me that increasing salaries can increase profitability of corps and increase revenues to the country ask around. of course this is within reason.