OK I see the game as game - in other words you can use any model you want to use, but since you seem to be so intent upon improving the model - perhaps I can help.
I've spent thousands of hours in my 20s studying economics. I studied mostly US and UK textbooks. I have monitored the world's economies for a decade because of my interest in stock markets.
I would basically like to note the following:
( I have the original game version - not any updates )
1. The country credit ratings, loans repayment etc. are totally wrong.
( Please refer to www.fitchibca.com
2. Probably the most important issue:
The treasury screen:
Annual trade figures
- This is one concept. You cannot separate the two.
The trade surplus or deficit is part of the Annual income. You can refer
to most standard economic books that describe how to present the figures. Separating the two can confuse users.
There is also a difference between GDP and Government income. Not all
GDP income is taxable / reported to the government. The thing is you are giving users the government's budget, which can be confusing as a measure of economic performance. Total GDP growth needs to be stated CLEARLY to measure year on year GDP growth - the way the entire world measures economic performance...
3. Use of government subsidies.
This is actually the funniest part of Supreme Ruler 2010. I don't know whether any US business school will agree with the way you have used government subsidies to ' improve efficiency '. I think research by prominent economic Nobel prize winners will show quite the opposite effect: subsidies lead to inefficiency and productivity decline.
4. Inflation debate.
I thought inflation was a monetary problem?
The velocity of money:
MV = PQ
Milton Friedman - the formula was enough to earn him the Nobel prize in economics.
I guess there will always be a debate between Keynesian economists and Monetarist's view.
But my personal observation of inflation is:
Inflation between 0 and 15% can be described accurately by Monetary views.
There are many factors that influence inflation - supply and demand side shocks: oil prices, war, currency, stock market movements, labor action,
anticipation of inflation ( major cause ), shortages of commodities and labor etc.
Basically inflation in Supreme Ruler 2010 would be affected by the budget deficit - borrowing money or printing money by the player to 'balance his
I think the guidelines for the increase in the money supply growth year on year is
12% max and the budget deficit should not be more than 3% per year -
otherwise inflation with rise very rapidly ( see Federal Reserve guidelines )
The deflation experienced by players in the game - although I can understand the scenarios, would cause significant disruption in GDP. Perhaps a little overdone.
5. The size of the private sector, it's growth and contribution: service sector etc. is a mystery. Companies that specialize in statistics would never report statistics the way it is displayed in Supreme Ruler 2010.
1. The GDP growth does not seem to respond quickly enough to changes in the budget.
1. If you lower export duties, export businesses should be able to grow at
a much faster rate.
2. If you raise import duties, domestic competitiveness / productivity should fall.
3. If you raise sales taxes, the income of the lower income individuals
should be negatively affected. ( You have no idea what the income of the various groups are / what percentage earn what )
4. Small businesses are supposed to be potentially the fastest growing sector in the world. Lowering taxes for small businesses does not have
a significant effect upon GDP.
5. Unemployment insurance and pension contributions - you are not informed what is happening to your funds. Is it placed in insurance companies / used on the stock market? - so you have no idea whether to raise / lower taxes.
2. Transport / infrastructure improvements have little or no impact on GDP.
other minor issues: you have no idea what each improvement PRECISELY costs you per year and how much income you derive from it. You have to do some tedious calculations to get a guess.
Other than the above mentioned issues the game is excellent and fun.
But the above issues are not that important.