The solution to our economic situation
Michel Junior
Sadly the goverment didn`t step up to the bat like I ask them to in my last article.
My Idea to help eCanada economic problem is actually very simple and should help most of our industry to pick up before V1 is launch. Almost all are company are closing shop and are simply not producing goods. This will likely be included in the NPC platform but I simply couldn’t wait any longer because I cannot let Cottus lead our Country into the poor house before V1 hit.
The problem with interest free loan and subvention to eCanadian companies is that the employees are not buying the goods they are producing since most company are cutting salary to compete with foreign goods and employees are force to stretch the dollars and they buy foreign goods.
With the new Inventory system in V1 having large stockpile of goods available in time of war will be that much more needed. Cottus already sold are only decent Q3 Weapon Company capable of stockpiling weapon early this month and creating new one will only cost too much gold.
What we need is to create stockpiling contract with private company. This will be done by competitive biding that will look at many thing like the productivity of the company, the number of employee, the salary they are paying there employee, the prices they are willing to stockpile the goods for the Government and the Quality of the good. And any factor we could find out that would be relevant. (Example: reward programs, creation time to prevent foreign company benefiting from this)
The Government will them pay the company the agree price for the good each time the company stockpile a set amount of goods, 10 for small companies and more for bigger companies. When the Government needs those good the company will then send the goods thought the inventory system to the person in need of them.
What is currently happening is that in time of war the Ministry of defence is sending money to soldiers and they are buying the cheaper weapon available of highest Quality and those are normally foreign goods. The prices are very high and the government is getting lest for there buck and are soldiers are suffering for this. This will guaranty that the goods are purchase from ECanadian Company.
To prevent the price on the market from going to high because most of the good are going to stockpiling, the company would still have to sell 50% of the goods produce in the local market if they want to be paid as per the term of the contract. This is to be done because soldier are still require to arm themselves, the stockpile are to be distributed according to rank and skill in time of war as the defence minister see fit.
We could also include in the contract a clause that would let the private company repurchase the goods so long as the only resale the for a 5% surcharge then the price the Canadian Government paid for. This clause would guarantee a large amount of Canadian goods on the market in time of war if the company decide to do this.
This can be use in the Weapon industry, the Gift industry, the Moving industry, and even the food industry to prevent famine. These contracts will guarantee a constant production of Canadian goods all the time at a far price. With these industries working at full production, the housing industry will pick up because more eCanadian will be able to afford houses.
All of this will be in a contract sign by both party and enforce by the admin. There will be a clause in the contract that will turn over the company to the Government if the company decide to pull a fast one on them.
In Real life I work in procurement at Health Canada and we purchase 5000 new PC that we put in inventory until they are needed. The ended costing lest those 50% the regular price and the company still made a good profit of this. This is how the real government actually circulated the money in the economy. There is no reason that we can’t do the same in eRep. Actually, in eRep it better because there is no expiration date on goods so a Q4 bought now is still a Q4 five month from now.
There are mentions of a new entity in V1 that will replace the SO account; depending on how they will function we might be able to use them to stockpile the goods instead of the company holding them for us.
Comments
This looks like an incredible idea.
I like the idea but I also want the mortgage system in place. With a mortgage system that will revive 3 markets.
1) Houses will be in demand
2) People can buy cheaper quality food
3) People can use cheaper gifts
Also, this is essentially buying in bulk and if the mortgage system does come in place I will sell in bulk of houses for Canada at cheaper prices
This sounds great. All we need is V1 to come out so we can see what changes are coming. Then we can better work to improve our country.
We need to start doing this before V1 so that we are ready for it. The resource sector will need to be develop so if all the Manifacturing company are closing shop now then they will not have the goods to produce once V1 is launch. They need to be at full capacity to ensure a strong eCanada once V1 is launch. hoarding a bunch of Gold will not help out are economy if we are force to buy foreign goods because the privite sector can`t function.
Why are not Norsefire in power 😞
Because you all voted for Cottus because Tanis had a real live crisis and wasn`t able to be active before the election.
I agree with this 100% and have brought it up in Cabinet (even though I\'m only Foreign Affairs and have no economic responsibility). We will see if it is implemented by the relevant individuals.
Costco anyone?
Btw I don\'t think it\'s fair to compare this strategy to the computers in the real life situation because in real life it costs 1/10th the retail cost to make digital equipment. That digital camera you bought for $300? It costs $15 to make in real life.