New macro economic indicators

[David]

As you know, we have been working on the game design for Capitalism 2 Add-on. The economic simulation module will be enhanced - there are going to be more macro economic indicators such as:

Inflation
Consumer Price Index

Real Wage Rate
Unemployment Rate

Economic Climate
GDP Growth

Money Supply
Money Demand

Attached is a mock-up screen with these economic indicators.

Please let us know your initial thoughts on this.

David
Enlight

[Cap4Ever]

David,

First, very very nice. If we can get our hands on this add-on, please provide the (download) information. I am willing to pay for that.

I saw this forum, and saw this post, so I registered instantly.

David, do you know, there are many more people playing this game? A more busy forum can you found here: www.neoseeker.com/forums/2236/
With a load of suggestions and idea's for the add-on you are working on: (of course we call it Capitalism 3)
http://www.neoseeker.com/forums/2236/t1 ... alism-iii/

And those are less relevant:
http://www.neoseeker.com/forums/2236/t1 ... alism-iii/
http://www.neoseeker.com/forums/2236/t1 ... -iii-soon/

Just to let you know: we are loving this game, and although this is a small communitysite, there are still people out there who are waiting at this information.

[bijou666]

First of all let me tell you I love Capitalism 2 and still play it every few days

as Cap4ever said Id be willing to pay for a good add-on and your post really interests me, I like the idea of new economic indicators and I think it would bring more depth to the game

also two things I would really like to see implemented is taxes and sponsoring, such as sponsoring community events aswell as major international events

I look forward to new updates and thank you for deciding to possibly create an add-on

Michel

[edqmaster]

Like the idea of macro economic indicators
What about expanding the amount of products that you can make like trucks,gasoline, weapons,other agricultural products, video games,software, and maybe actually being able to control a company with ai help like vivendi owns activision but also has blizzard and blizzard north...in other the ability to creat Conglomerate(GE,SB&D,TimeWarner) would be nice i like the micromanging of all my industrial dominance but would like some help by having separate companies(or division of a company ) instead of hiring a guy that some times sell product for a loss and having to go do it by your self

maybe the possibility of goverment intervention like they posted before me maybe taxes , goverment contracts, auctions purcashing land able to sell it and watch the city grow on the map
take off the posibility of owning a mansion and add the ability to make your headquaters able to sell some office space
up date the graphics no 3d in Railroad Tycoon 2 you can set you self up as CEo so long as you have a majority of stocks but were kicked off if you only had 30% of a company and were making a loss also you had the ability to open as many companies as posible would like that to be implemented in capitalism 2 (this would solve the subsidary parent question) and the illusion ot synergy begins

sorry for my bad spelling
-EQ

[David]

We are now in the process of implementing Money Demand and Money Supply into Cap2's economic engine.

Anybody who are interested in economics may feel free to comment on the following implementation details. Your inputs may affect the final implementation.

//
// Factors Which Increase the Demand for Money:
//
// 1. A reduction in the interest rate.
// (use eco.interest_saving)
//
// 2. A rise in the demand for consumer spending
// (increased consumer population or increased consumer disposal income will lead to increased GDP, which will lead to this)
//
// 3. A rise in inflation causes a rise in the nominal money demand but real money demand stays constant.
//
void Economy::update_money_supply_demand()
{
//---------- update money demand --------//

money_demand = ( 5+inflation_rate*100 ) * (average_GDP_growth() + interest_saving);

// the 5+ in ( 5+inflation_rate*100 ) is to provide a base to minimize the fluctuation caused by changes int he inflation rate

//----- money supply is determined by the central bank decisions and willingness of commercial banks to loan money ----//

money_supply = 60; // assume the central bank maintains a constant money supply. This code will be changed later
}

[JML0328]

David,

Have you considered a Producer Price Index? This would gauge inflation among suppliers. This is critical if you decide to take the gameplay route of a manufacturer.

I would also suggest an economic price on the major commodities (oil, gold, etc). You don't have to do this with all the resources, but the price of oil has such an effect on inflation (if the target city is a heavy importer), that maybe that should be monitored as well.

As for gold (silver), that tends to move as a reaction to economic events and I would deem it less important.

Also, could you consider some sort of notification when these variables change? If unemployment ticks up in Istanbul, I want to know about it immediately (maybe put that in the news bar?)

Thanks so much for deciding to do this. I have been waiting a long time.

[David]

David,

Have you considered a Producer Price Index? This would gauge inflation among suppliers. This is critical if you decide to take the gameplay route of a manufacturer.

Since producers (including factories, mines and etc) in Cap2 can set prices of their outputs at their disposal and the prices can fluctuate greatly. The Producer Price Index be too volatile to serve as a meaningful indicator of the whole sale prices.

In the real world, PPI aggregate from a huge number of producers and therefore the average is less volatile.

[David]

David,

I would also suggest an economic price on the major commodities (oil, gold, etc). You don't have to do this with all the resources, but the price of oil has such an effect on inflation (if the target city is a heavy importer), that maybe that should be monitored as well.

As for gold (silver), that tends to move as a reaction to economic events and I would deem it less important.

Also, could you consider some sort of notification when these variables change? If unemployment ticks up in Istanbul, I want to know about it immediately (maybe put that in the news bar?)

Thanks so much for deciding to do this. I have been waiting a long time.

I have just posted a new message about natural resources and commodity. You post your ideas and thoughts in that thread.

[JML0328]

David,

Have you considered a Producer Price Index? This would gauge inflation among suppliers. This is critical if you decide to take the gameplay route of a manufacturer.

Since producers (including factories, mines and etc) in Cap2 can set prices of their outputs at their disposal and the prices can fluctuate greatly. The Producer Price Index be too volatile to serve as a meaningful indicator of the whole sale prices.

In the real world, PPI aggregate from a huge number of producers and therefore the average is less volatile.

Yeah, that sounds reasonable. Thanks for the response and glad to see you taking on natural resources markets.

[adj_boy]

Will fluctuations in interest rates, GDP and inflation have an impact on the currency "exchange rates"? (and thus the price ratios between different economies?)

I know this will be difficult to model given that everything is modelled around a single currency. It could be done by adding a variable to the inflation parameter which will look at the economic indicators of a given country in relationship to the "global" average, but this would be sort of wrong as it's not inflation per se.

As it is now the economies are like isolated islands, the players being the only "bridge builders" and thereby making it too easy to reap the benefits of international trade even in the long term. I would much more like to see (or have the option to see) an economic model where cities are affecting and being affected by eachother dynamically, thereby forcing players to adapt to changes or risk losing their competitive edge.