The economic impact of Liaoning – why capturing it is so important.

Day 915, 06:18 • Published in Romania USA • by Sossu

The World is waiting for a battle to be started that will change everything. Nearly always in the history of eRepublik, the world has been ruled by two superalliances nearly equal in strength. Eden is mainly formed from Northern America, China, Scandinavia, Romania & Croatia and Spain & Poland. These nations fight against Serbia & Hungary, most of Southern America, Russia, the Baltic Nations, UK + Western Europe and the Middle East, who form Phoenix. It is important for the welfare of the game that both sides are nearly equal. The power balance of eRepublik is cyclical, as both alliances have had their hour of glory, Phoenix, under the name Peace GC when they invaded Northern America and Eden, when they trampled in Western Europe and nearly invaded South America.

Today, we live again the part of the eternal cycle when Eden has the upper hand. The baby boom of Poland tilted the power balance to favour Eden, and despite Eden hasn’t been able to invade the core members of Phoenix, they’ve reduced Phoenix’s possessions aboard and weakened them severely. Eden has launched several MPP-stacks against them, but Phoenix isn’t capable of going in to offense, as Eden would be much more powerful, should the full MPP-sets of the alliances face.

Eden, eager to invade the homelands of Phoenix, has concentrated on liberating the colonies Phoenix has held in order to extract natural resources to fuel the machines of war first before dealing the final blow. The successes in South Africa, China and Australia are waiting to be followed by the most epic battle ever fought in eRepublik, effectively sealing the fate of an entire alliance.

The United States are spearheading a campaign against Serbia, the sole Phoenix nation in control of a high resource outside their original borders. Liaoning is a high source of Iron, the most vital natural resource as it is the raw material of guns.
The control of Iron has served as a motive for many great wars. The Romanian campaign against Russia, the North American War, the Polish effort to invade Brazil and the American campaign to liberate China have all been wars aiming to cease control of an iron source outside of one’s borders. Only two sources of iron are currently held by foreign nations, USA😒 presence in India being acceptable though as they lease the region. Serbia on the other hand is forcefully holding Chinese Liaoning under their reign. With the loss of Heilongjiang, Liaoning is the heart of Phoenix, the lifeline of the alliance providing over half of the Iron Phoenix in general produces. Invading it will mark the end of the Serbian land sector, causing massive unemployment and condemning the nation to fall in to decline, similar to Hungary’s current state. After the victory, Eden will produce 2,5 times more Iron than Phoenix. This will open the possibility for Eden to crush the remnants of Phoenix, rising in to a position no other alliance has ever been capable of in the history of eRepublik.

I’ve used two great articles listing statistics as sources when I counted the following calculations.

Top IRON regions of eWorld
[Economy] Top regions. Top countries

I’m counting U.S Karnataka and Peru’s High Andes as iron sources for Eden while Ukraine’s Podolia is Phoenix’s, as the respective countries are aligned to either of the alliance while not being full members.

Current situation.

There are 11 iron regions in the World.
Eden controls 5.
Phoenix controls 6.

Every month, the Iron regions produce Iron worth 358904,24 G.
Eden produces iron worth 208717,5G.
Phoenix produces iron worth 150186,74G.

Every month, Eden produces Iron worth 58530,76G more than Phoenix.
From the global sales of iron, Eden gains 58% and Phoenix gains 42% of profits.

-Eden has two large economical centres in Greece and Spain, both located in original regions and therefore safe from invasion while Phoenix concentrated their iron industry to the occupied regions of China. Asturias is the uncontested king of iron sources, netting more profit than the next two regions combined. If Phoenix loses Liaoning, Eden will produce solely in Asturias iron worth only 200G less daily than the entire Phoenix produces.

-33% of Phoenix’s income from Iron comes from companies located in Liaoning.

When manufactured goods and housing industry are taken in to account:

The 5 largest Phoenix nation’s total GDP is 764245,5G per month.
The 5 largest Eden nation’s total GDP is 849126,6 per month.

The 5 largest nations of Eden make 84881,1G more than the 5 largest nations of Phoenix every month.
The Big 5 of Eden have 10% larger GDP than the Big 5 of Phoenix.

-8,4% of the GDP of the five largest PHX nations is produced in Liaoning.

__________

After Liaoning is captured.

Every month, the Iron regions produce Iron worth 358904,24 G.
Eden produces iron worth 258097,53G.
Phoenix produces iron worth 100806,71G

Every month, Eden produces Iron worth 157290,82G more than Phoenix.
From the global sales of iron, Eden gains 72% and Phoenix gains 28% of profits.

-If Liaoning is invaded, Phoenix’s gross domestic product coming from Iron will be cut by 33% or nearly 50,000G. Eden controls nearly 3/4 of Iron markets, severely increasing the welfare of it’s member nations and their tax output.

When manufactured goods and housing industry are taken in to account:

The 5 largest Phoenix nation’s total GDP is 700145,4G per month.
The 5 largest Eden nation’s total GDP is 913226,7G per month.

The 5 largest nations of Eden make 213081,3G more than 5 largest nations of Phoenix every month.
The Big 5 of Eden have 24,4% bigger GDP than the Big 5 of Phoenix.

-USA, who will capture the region, will be blessed with a surge of their national GDP. When Serbian businesses shut and if the region is later returned to China, the economical importance of the region will fall. Heilongjiang is currently producing nearly 1000G daily, but income from Liaoning will probably stay lower as it’ll be China’s second Iron region.
The GDP of USA will temporarily rise to 8115,45G in a day, making them the second largest economy in the world, just after Spain.

-Phoenix will suffer the aforementioned 8,4% drop in their monthly GDP, just losing one region. The economy of Serbia will suffer vastly. They will have only grain in their original regions, lowering land sector salaries. They are currently no. 2 largest economy, but losing Liaoning will drop them below USA, as 5th largest. Liaoning provides 28,5% of Serbia’s GDP. Losing it will be disastrous for them.

-Phoenix is formed from three large nations and a myriad of smaller ones. Eden is more power-balanced with many big nations. For instance, losing Karnataka wouldn’t hurt Eden as much as losing Liaoning hurts Phoenix.

~~Shortened edition~~

Before the battle of Liaoning:

Control of Iron markets:
PHX: 42%
Eden: 58%
Difference: 16%

The monthly GDP of the 5 largest PHX nations: 764245,5G
The monthly GDP of the 5 largest Eden nations: 849126,6G
Difference: 84881,1G or 10%

After the battle of Liaoning:

Control of Iron markets:
PHX: 28%
Eden: 72%
Difference: 44%

The monthly GDP of the 5 largest PHX nations: 700145,4G
The monthly GDP of the 5 largest Eden nations: 913226,7G
Difference: 213081,3G or 24,4%