GDP

Discussion of the Economic Model in SR2010

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joecool250
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GDP

Post by joecool250 »

how do i increase my GDP? do i need to lower all taxes or just business?
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Balthagor
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Post by Balthagor »

GDP/c (what is shown in game) is affected by all spending in your region. Increase military salaries and research and you'll having higher GDP/c. That does not mean you'll have a larger treasury...
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joecool250
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Post by joecool250 »

but doesnt a good GDP help increase taxes?
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Balthagor
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Post by Balthagor »

yes, but you could spend more in social services increase the GDP then you would see in tax revenue. Also, higher GDP/c means higher cost for the commodities (Agri, Ore, etc.) so less profits on the open market. It's a complicated system :)

The BEST way to increase your GDP/c is with spendings that "gets you something". Some military spending is good, especially if you're using it. Same with research. Adding more production is also good since you can make up the decreased profit per unit sold (meaning tons or barrels or MWh) in higher number of units sold.
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joecool250
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Post by joecool250 »

thanks, well i cant spend anything now because i am at war with everyone. thanks for the help though.
Red Dawn
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Post by Red Dawn »

Hi Balthagor

So basically what you are saying is that in the game context your GDP has a direct correlation with your spending level?

Because in my scenario my gdp is declining no matter what I do ?? I am spending the recommended amount on military expenditure (except for salaries which is slightly higher to attract new recruits) and on research as well. I am also spending the recommended amounts on social services except for infrastructure which i'm over investing in and am not spending anything on family and cultural subsidies. Yet my gdp is still declining by a few bucks every day!!

Any other suggestions on how to increase my gdp??

NOTE: My inflation is in double digits but steadily declining and my unemployment rate is 2.2 %. I do have a trade surplus and a budget deficit which i'm trying to reduce.)
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Post by Balthagor »

Off hand, no, but I've been developing much more than playing lately, so some of our forum users should be able to offer some advice. It sounds like you're doing most of the correct things. Expanding industries might help.

In some regions, the "starting GDP" is not sustainable based on the current world situation in the game, but at a certain point if you're spending a lot it should at least level out.
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Red Dawn
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Post by Red Dawn »

I'll give it a try..... come to think of it my gdp did start to decline around the same time my construction spending ground to a halt (due to having built up my infrastructure and industry) but I am rather reluctant spend on expanding industries when I have no need for it plus it'll just add to my already burgeoning budget deficit. Being at war with ALL my neighbours doesn't help in terms of balancing my books!

Will upgrading industry capacity potentially have the same desired affect? It would be cheaper.
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Post by tkobo »

Red Dawn wrote:I'll give it a try..... come to think of it my gdp did start to decline around the same time my construction spending ground to a halt
Theres your answer right there.Construction has a huge influence on GDP driving it far above what you'd normally sustain.
And once the contruction ends, the gdp will fall back towards its norm.

If you have a huge treasury, and are willing to spend it,you can push your gdp over 100k by instituting a massive building program.
This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
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