It is impossible to fund navies at less than 30% of their full spending. Spending on Naval units: The funding level directly correlates with the maximum organization ships have: thus funding at 50% will limit unit organization to 50% of their maximum possible organization.Spending on Land units: The funding level directly correlates with the maximum organization brigades have: thus funding at 50% will limit unit organization to 50% of their maximum possible organization.As of the Heart of Darkness expansion, it has been broken up into three separate sliders: Once the stockpile runs out, troops suffer, and building and units cannot be built. This represents three basic components of gameplay: the army, the navy, and construction. There are 5 types of expenses which can be adjusted in the budget screen, as well as industrial subdisides and diplomatic payments. When there is no more money to borrow from other nations, the funding for national expenses will be automatically reduced (represented by red numbers). When and if the national bank is depleted, loans will then be taken from other nations' national banks. The national bank is used as the first source of lending dollars to a nation in need of money, and it is also used to loan money to other nations. after they have purchased all of their luxury needs and still have money left), acting as a form of savings bonds for the POPs. The National bank is where a country's POPs will put any excess money they have into (e.g. Whenever a nation spends more than it has in its treasury, a loan is taken out. This includes (fellow) puppets and other members of the same sphere of influence. Tariffs are not applied to goods bought from the domestic market. Having tariffs that are too high may cause artisans to be endless poor. This typically benefits Artisans disproportionally as it will allow them a way to remain relevant and profitable. Negative tariffs act as a subsidy: the government will pay to reduce the cost of imported goods.
High tariffs, perhaps counter-intuitively, do not act as a form of protectionism due to the game mechanic that POPs always buy local first. High tariffs may reduce the purchasing power of POPs, since the goods that they need are more expensive. Thus, tariff income is based on the size of a nation's population and how much of their needs cannot be purchased locally. Tariffs are taxes on imported goods, which means that the country is putting a tax on every good its POPs and Factories buy from the world market. The amount of money gained from one precious metal unit is defined by GOLD_TO_CASH_RATE, a value in a which is standard 1.5 (AHD) or 0.5 (HoD). Unlike other goods, precious metals are minted directly into currency. The effective tax rate will be 0.5 X 0.2 = 0.1 = 10%. The effective tax rate = tax rate (slider) x tax efficiency.įor example, Belgium sets the poor strata tax slider to 50% and it has a tax efficiency of 20%. The standard efficiency is 20% this can be altered by certain events and technologies. Tax efficiency is the rate at which your collectors are actually able to impose your tax legislation on the people. Note however that other factors are involved in meeting POP needs including employment and market availability of goods. It may even cause artisans to be endless poor.
When POP needs are met, militancy will decrease and when luxury needs are met consciousness will increase. Taxes therefore only indirectly effect POP attitudes such as militancy: if taxes are too high, POPs may not be able to meet their life needs. Taxes simply take money from POPs, which may reduce their ability to meet their needs. There are three tax sliders, one each for the poor, middle, and rich classes. Additionally Events and Decision can add money to the treasury. There are 3 main ways to gain an income for the state treasury: Taxes, Precious Metal RGOs and Tariffs.
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