the Titanium Situation
Azzeriath
This is my attempt at a logical analysis of the Titanium Situation. In the first part, I will assume a course of action and follow it to what I believe to be that action’s logical conclusions, and in the second part I will operate in broader strokes, using a simple cost/benefit analysis for the options.
For those who think this is tl, go ahead and dr. Instead, read this instead.
For an alternative view on the issue, read TFD's article
1)LOGICAL CONSEQUENCES
This analysis is only as strong as its assumptions! If you have more reasonable assumptions or if I've concluded the wrong consequence, CORRECT ME!
A) Canada keeps both regions
Phase 1) Economic boom
a) Assumption: Canadian diamond exporters are now able to export this new, valuable resource.
Conclusion: The general economy grows strong as foreign gold pours into Canada
b) Assumption: Allied militaries and businessmen move to Canada to set up their own Titanium companies.
Conclusion: this creates a bit more competition for companies née Canadien, but bringing in even more tax dollars for the government
b.1) A small tax increase in the titanium sector is recommended
Phase 2) The Fall
a) Assumption: One (or more) of our allies gets jealous and decides they want one of our regions for their own.
Conclusion: Eden disintegrates through the in-fighting and Canada loses a large swath of regions.
a.1) I think we're safe from enemy invasion due to the strength of our alliance, but I'm not qualified to make a firm statement on this.
a.2) Given today's media splash about Eden instability this seems even more plausible than when I originally postulated it. Writer’s note: I originally wrote that line several weeks ago. Unfortunately, it’s just as true today.
😎
Canada rents 1 regions to USA/Poland/Whoever
Phase 1) Economic floundering
a) Assumption: Our ally will be able to produce more for less
Conclusion: As our stronger, larger, more economically powerful ally adapts to having their new treasure, their cheaper exports will begin to undermine our own exporters as we compete with them directly. We then see collapse--or at least the castration--of the Canadian Titanium export industry, and consequently the lion’s share of titanium income (the local market will not be enough to support even the number of diamond companies we already have)
Phase 2) The slow descent to mediocrity
a) Long term result: Canada, as usual, floats around playing the role of a third-rate world power. But a third rate world power with one of their home regions occupied.
C) Canada rents 2 regions to allies
Phase 1) The death of an industry
a) Conclusion: Canada no longer has a home-grown diamond/titanium industry. We'll still have access to the resource because so many companies will have licences to Canada, but we won't collect any tax. And instead of having n-1 HIGH regions we'll have n-2 (i.e. missing titanium and iron.)
Phase 2) The Glory of Eden
a) Assumption: Whoever we rent to produces titanium like no one's business and will be happy about it
Conclusion: Eden will stay strong and unified as its two leading members have access to a critical resource and there is little jealousy on that front
b) Long term result: Canada won't lose any more than two regions since we'll have two strong allies with a vested interest in keeping us safe
It seems to me that the middle ground is awkwardly useless. My first conclusion is that if we're gonna do this we should do it all the way.
Grab a coffee!
2) COST/BENEFIT STYLE
i) Who benefits?
RENT: The military elite benefit from the rent-gold being poured into their Napoleon training*. The average Canadian (hopefully) benefits by the placement of new hospitals and defence systems bought with the rent-gold, and from new wars paid for by the rent-gold.
KEEP: Canadian business owners benefit from being able to export. Canadian citizens benefit from higher wages and a strong economy. The government benefits from taxing a powerful industry (leading in turn to hospitals, def structs and wars, although perhaps with less funding than rent-gold)
ii) What do we risk?
RENT: Mediocrity. An eLifetime of national mediocrity. What could be more Canadian?
KEEP: The complete destruction of Canada as our alliance disintegrates and our allies turn on us, or as Phoenix beats us to the ground
iii) What are the potential gains?
RENT: Mediocrity. We could keep trucking along, playing a backseat role in a powerful alliance, holding all but two of our home regions.
KEEP: Economic dominance. Canada would see an influx of workers, money, and power. If we can keep them and hold them it will give us a leading role to play on the world stage.
No pain, no gain. Renting them out may be the safe thing to do, but I really don't see how it will move us forward as a nation. Keeping them on the other hand spreads out the benefit of having them, puts us in a unique position of power, and is a huge risk. I say let's have some fun!
Please analyse and contribute!
*Giving money to Lana is NEVER OK. This is my single biggest objection to renting out a region; the money would in large part go back to the admins, and just for the sake of tanking out a few elite citizens. Not in my Canada, please!
Cheers, and Long Live the Mighty North!
-Azzeriath
Comments
Still, the argument against rental is based on speculative market response. How can we possibly predict the effect of higher Q food playing a larger role, and a diversified military supply and production chain in labour terms? The Q1 market is dead with V2, save maybe weapons.
http://www.erepublik.com/en/article/my-congress-desk-1275780/1/20" target="_blank">http://www.erepublik.com/en/article/my-c[..]/1/20
Yes, that's definately a vulnerability of the analysis. I'm hoping for people more experienced than I to weigh in on that! (like you're doing now, but...in favour of me! lol, j/k)
I think though that there are a number of concerns that _don't_ ride on market responses (e.g. that we'd wind up spending rent-gold on Lanaing a handful of tanks)
-Azzeriath
Your view that renting would lead us to a path of mediocrity is bang on. It's true keeping both will be a challenge, and may end up being a more difficult path, but eCanadians do very well in the face of adversity. 🙂
"b) Long term result: Canada won't lose any more than two regions since we'll have two strong allies with a vested interest in keeping us safe"
Weelllll.... when they already have our titanium regions, I'm not sure how vested their interest will be beyond the ordinary given they have our titanium regions. That's why, if we lend it out, it should be to the bros.
I'm no economist but I thoroughly enjoyed this read. Voted and Subbed.
Excellent article, ty.
people seem to forget that these are not the only titanium regions in the world. Other nations will still be producing titanium so there will still be market competition
The important part will be that EDEN Nations are producing as much as possible so as such profits that can be made stay in EDENS pockets and high wages go to EDEN citizens to use to buy products in EDEN countries thus driving EDENS economies
as for the effect on Canadian economics, depending on who we rent to and how much profit there is in it for them will determine what we can expect in terms of rent payments (an I expect it not to be cheap)
I would hope that the FREE MONEY would lower the income tax but I also don't care if the money goes to elite citizen tankers
Tankers win battles and keep Canadians safe
The economic boom it shall be
And if our friends come to take our things we'll show em a thing or two, Canucks fight hard to defend what is theirs
Voté.
Intéressant!
It seems to me that most of the debate over titanium articles comes from a difference of evaluation criteria; some people are looking for what's "best for EDEN", or "best for the Brolliance", but others are looking for what's "best for Canada" apart from the future of those international organizations
Canada is now 19th in overall ranking in the e-world, lets rent out our regions and see if we can drop down to 30th, wouldn`t that but just great.