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Okay so I tried an entirely new strategy with germany in the europe map.

I tried emping up production without increasing factory amounts. My main focus was to research my way to supremecy, I researched the most usefull technologies for my economy. At one time I had a surpless of 1,7 billion each day (nett!!!) an unemployment of 3.4% (without adding factory's) and a research efficiency of 201% (research went fast ), I had 6 research facilities. GDP/c was 34,243. Also thanks to the enourmess technologic advances alot of industries were actually CUT without loss to production, I did this to make sure my unemployment would rise (sadly it didn't)

Obviously my economy was about to go tumbling down if I didn't start to cause unemployment to rise. Hoping that it would stall at 3.4%, sadly it didn't and went further to 2.9%, my profits were decreasing so I figured what the heck I shutted down ALL basic goods production, such as ore, coal, petrolium, I couldn't shut down agriculture and timber because the territory itself was producing the needed demand!!! (wtf?!)...besides everything like that I only had electricity (on demand), consumer (capacity), industrial (capacity) and military (capacity) left working.

Although I was making 1700 M nett before, I knew I had to stop it because my unemployment was rising. I shutted the basics down except the industrial stuff...my unemployment was STILL FALLING!!! ,
I was producing stuff more costly than the world market by about 20% for every good!!! that means I was selling it for a loss of 20% per product!!! Somehow when I shut down those industries, I was actually LOSING money...eventhough the enourmess investments and the selling of the product below cost price should have resulted in an increase of money and unemployment but it didn't!!! I saw my economy drop from 1700 nett to 800 nett and unemployment still falling. I then decided to cut on consumer products and industrial products. At first I was exporting 3 times the amount of consumer and industrial products compared to the demand. Now I was only exporting like 20% more than demand. I saved 2000 nett on that and now my suprless was 2000 nett (not trade surpless but tax surpless ), okay so my GDP/c only dropped like 2.000 to 32.000...and unemployment stopped at 3.4%. Okay so now I was investing that 2000 nett into research because I had money to spare so I might as wel spend it. So now I've got 10 research centers all on max funding. A gdp/c of 35,600 unemployment of 3% and all products being produced on demand (no basic resource production, only consumer, industrial, military), and I'm only exporting a small fraction.

It seems I still have a trade surpless of 200 M and a budget that breaks even. My costprice is still seriously to high and I should make a LOSS for selling these things. But if I don't export them than I have a 168 M trade deficit and a budget deficit of 80 M...so how is it possible that my economy is making profits from A) seriously overinvestment, B) selling at a loss, C) seriously low production.

hehe it just doesn't make sense.

Okay so now final results are.
4.000 M daily investment in research. (started with 700 M)
I think my overal production since start of the scenario has dropped by about 40%.
Unemployment about 3.1%
gdp/c 35.400
Selling somehow at a loss but making profits from it?!

And the actually most funny thing is, is that my economy is actually production wise worse off than it ever was, unemployment seems unrealisticly low at a non-producing country, I somehow manage to keep my gdp/c seriously high because I invest so much in research...(it seems my research is actually PAYING me at this stage, if I lower research my budget goes dead LOL and my economy crashes because income is now based on research, so because I research so much people have jobs and those jobs pay for their own research LOL). So now having an economy lower than ever I manage to be the most richest person in the game

I can farely constitute that my economy is simply so high because it is so high sounds weird huh?! yeah it does to me...because I USED to make alot of money...the money that I MADE seems to be driving the economy now...lol

anyone want my savegame to see for themselves ?

sorry if I sound a bit strange with all the numbers and weird explanations but I don't know what the hell is making my economy work at the moment in my game.

Selling at a loss
Almost no production
economy drives on research

okay well enuff babbling...

Can someone experienced plz contact me so that he can download my savefile and tell me how the hell my economy is driving forward?!

Youve hit upon a key to a high money economy in the game.Research seems to supply ALOT of high paid employment.

Whats even better, is that if you can afford to raise research investment a little at a time, it will not only pay for itself but generate increased income as well.

IE invest an extra 300mil and wait a few months and the cost of the 300mil will not only have been covered by the increase in your economy the investment caused,but will likely also generate income past the 300 mil invested.

In the image above- i have 15 Billion invested in research.I have done so in small steps with each step creating a small negative cash flow for the treasury.
BUT in a few months after each step the investment in research has caused the economy to not only make up the negative cash BUT too also create enough positive cash flow to make the another step.
Which of course follows the same course and allows another step ,etc...

The first picture is right after a small investment in research.Here is another look circa 1 week later



Notice unemployment has fallen and treasury income has increased.It will also drive your GDP/c forward at a nice steady pace.

There is however a downside.The more success you have at this the more it will cost you to produce resources and goods.
So a trade driven economy is very hard if you follow this strategy.
However, you dont need one if you follow this strategy .So no real lose, unless you want one.

Also remember, small steps. If you run out of people to employ this strategy can implode.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM

hehe thanks

I was thinking about that myself. I did find that the more money I invest in research the more it pays off they should really fix that, because it's quite silly you know

I did change my trade economy into a research economy gradually but this is just seriously wack lol

Well, i dont know. If you follow the current EU "problems", one of the main arguments is that certain EU countries spend far too much on aggriculture and not near enough on research.
The research its argued would be a better way to spend the money becuase it would create a more positive economic effect.

So maybe its not too far from RL.

Either way i kind of like the way it works in the game.It forces you to decide upon the type of driver you want for your economy-IE trade or research and each driver has some drawbacks and risks.

So it gives you different ways to "win".

I like it.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM

Hmmm perhaps...

Tkobo have u found also that when time progresses the cost to produce products rises not matter what?! Sometimes the costs seem to increase even if I increase unemployment and decrease gdp/c...:S u got a magical answer to that one to ?

The costs dont rise automactically.Unless your only talking about in a research driven economy.Than yes they do.They do so becuase workers pay,GDP/c and inflation will continue to rise as you throw more money into research.It can be hard to stabilize and when it gets out of hand you will be swamped with those " domestic prices too high" messages.
You can however somewhat stablize and even over time reduce this by simply stopping all research and spending that money on other things.

If however you run a trade and produce driven economy well, the costs will actaully fall .

In this (trade and produce driven econ )you have to keep unemployment cira 5% or higher and you have to invest heavily in efficeincy of the things you produce.
This allows you to greatly lower costs and get the lions share of the international sales.

Ive had economies where i was making over 4bil a day positive flow in trade.

This also has some risks and wierd effects. For instance ive had my inflation at circa negative 30 and unemployment in the 30+% range all at the same time.
And when war comes ,if you lose the markets (regions you can sell to) you will have some hard times on the way.
Its also a little more difficult to maintain self sufficeincy this way as you are very resource driven and one shortage can cause a nasty chain reaction.

I find the economy of this game very fun

And im still learning about how things work on a gamely basis.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM

Thanks, I was changing my eco from an trade to a research driven economy that could explain why the costs increased so much while unemployment and inflation dropped alittle.

Very interesting...

this game never fails to surprise me

Maybe someone can shed a little light on helping me out of my situation, it would be appreciated...

As Norway, I had inflation at about 3.6 and unemployment about 5%.

About 500 mil into research, taxes high, and social security spending low.

I find I can't wring more money out of my economy without drastic effects.

Consumer goods can be sold at about a 9% loss, Industrial at a profit of about 7, and Military goods at a 6& loss.

I slashed Consumer good factories and a few military factories as well, and inflation dropped to about 3.2%.

If I increase Domestic prices, Dar plumments, Inflation skyrockets, Production costs soar, then the extra profit from the high domestic prices can't handle the higher production costs. I'm then forced to cut the Domestic prices and the cash flow evaporates, and I'm forced to cut Research.

If I build factories, profits increase gradually, but inflation creeps ever higher and Production costs increase and the spiral downward increases.

Thanks much in advance
Gripen

Okay, i cant promise this will help but ill try.

First off, i think your running your economy the way i first learned too.
You are basically trying to run a trade/production economy and a research economy at the same time i think.

I find it best if you decide on which one you want and specialize in it.

If your gonna go with a trade economy put any extra money you can into the efficiency of a high profit product/s for your scenario.Consumer goods and industrial goods are usaully a high demand-high profit product.

Get the efficeincy up to about 120 to 150 %.Gear the rest of your production to support making that product.Try to make sure you dont overbuild facilities,try and make your production for the the things needed to make your chosen end product as close to the bone as possible.

Set that product to capacity and manually sell as often as possible. Turn off autosales and use the slider.Have the others set for demand.But keep an eye out for chances to make trade profit off them also.Anything else that offers a good profit AND that you can support the making of,turn to capacity also and again manually sell.

Try to keep your unemployment circa 5% or higher.
Next increase your domestic markup slowly in steps.You can actually maintain a 20 to 30 dar fairly easily and have 150% markup.
But get there slowly over time.

If your gonna go with a research driven economy.Set all production to demand. Build tons of research facilities( a few at a time) and invest in research to the max.
Be prepared to have to await a while for this to start to generate pro cash flow.
Once it gets back into the positive cash flow by a reasonable amount, reinvest that in research.
Build new research facilities as required.
I have gotten the research investment mark up to circa 90 billion.

This is a slow patience oriented course, so be prepared to run well past the game scenarios reccommended playtime.And be patient.

In this second strategy(research driven) it is a good idea to have a large treasury account to handle any unexpected expenses while waiting for the research to reccoup funds.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM

As Gripen found out, my other thread is just about this, I played Norway countless times and found it was downright hard to turn a dime.

While I agree you can't get everything, I think production costs rise way way way to rapidly, ignore the slider for a few days and the costs go OFF the wall instantly.

This is nonesense, and I also noticed the builders calling it a 'subsidiary' investment, thats of course nonsense aswell, subsidies does not make for a gradual increase in efficiency, it is instant and should show immediatly.

Thus if the slider is pure efficiency it needs a bit of reworking to make it easier to use, and it has indicators on 'sweet' spots..

Anyhow , making money as developed nation seems to be a tad out of sync with how it really is.

I have on the other side not tried research driven economy, however waiting 2-3 years gametime for the result is excessive, if this is the case.

Janster

tkobo, i think my economy is currently in the trade but i have a totally negative 700,000M deficit in economy but i have about 2,210,000M in trade surplus, and my GDP/c is about 35,000+. Is that suppose to happen??? I'm playing UK in Europe campaign, i've seen ur previous screen in Post you humorous pics, when you have both economy and trade surplus in the trillions. Can you give me some advice?? Thanks in advance, Medal.

If your looking to lower that 700,000M deficit (which is a HUGE deficit ).
A good place to start cutting costs is in Military Maintance.

You can easily have the funding for that at circa 1/10 reccomended and still crush the AI.

Another good place to look at is production costs.If you have large back stocks of resources or goods ,look at turning some of those industries to demand.Let the AI sell off your back stocks,than go back to capacity when they get low,to build up another back stock-than repeat as needed.
This will lower your production cost and lower your GDP/c.

The humorous pics are from an extreme research driven economy.This is a very profit oriented economy but takes alot of time and effort to get working.
In this economy research funding and the building of research centers are far more important than any production.

By the way, are you sure those numbers are correct ?
$2,210,000M in trade is astounding.Far above anything ive ever accomplished in trade.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM

Tkobo.... in yout previous post you mentioned the following:
"Get the efficeincy up to about 120 to 150 %.Gear the rest of your production to support making that product."

I guess you mentioned production efficiency. But how is it possible to reach such high eff?
If I pump money into production efficiency, I can reach maximum around 70%, but in this case I invest too much money which do not really worth...

Is there any other way to improve production efficiency? Should I destroy deactivated factories or something like that? Any tip please?

It seems that I'm going to bankrupt, because my production cost is too high and I can't sell anyrhing profitable on WM....

(gdpc 4,403; inflation: 4.7%; unemployment 5.0%)

I would say dont destroy deactivated facilities unless you need a burst of reclaimed goods.

You need to make a stronger economy-stronger meaning more cash flow positive.
Once you learn how to get all possible out of your economy you will be able to afford the efficiency costs.

I disagree with many who say these efficiency costs dont earn back the money put into them.

There are many little things that i take into account on the positive side of the efficiency investment that i think others dont.Things like the workers it frees up to work in other places- hence my gdp/c is not forced to grow due to low unemployment.Things like the increase in profits from international sales.etc..


Now some regions may have soft caps on how high you can get your efficiency.Im not sure either way on this.
BUT ive found most regions ive played can get thier efficiency to 100%+

If you'd like, id be glad to look at a save game ,and see what can be done for your region.

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This post approved by Tkobo:Official Rabble Rouser of the United Yahoos
Chuckle TM