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Simcountry is an Online Digital World where you are the President of a country.
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What is Simcountry?

Social Security index (Fearless Blue)

Simcountry: Simcountry Bulletin Board  Social Security index (Fearless Blue)

CorSec Authority (Fearless Blue)

Wednesday, April 13, 2005 - 05:10 pm Click here to edit this post
''actual money itself means nothing besides the value of the paper it is printed on or the metal it is made from''
- once upon a time money *WAS* the gold it was made from (with paper currency used for credit transactions). later the value of money was tied to the value of the gold standard (and to a degree still is today). i'm saying that the valuation of money was defined in terms of the available resources of a country, it's gold bullion.

''WW1 and 2 were not directly profitable. etc etc''

-WW2 (and keynesian spending, JG's favourite subject) was a key factor in finally lifting the US out of the depression. mobilisation provided an even stronger kick to business than the new deal did. access to foreign markets in allied countries and around the world put the US at the center of the world economy, safeguarded by the marshall plan, right up until today. the US is a perfect yardstick of how to make money out of war, both through the domestic industries and the global economy (you can hardly count those who tried to avoid war, or just surrendered). if the axis had won the war they'd be in the position the US was in after the war. the economic booms in the 20s and 50s are due to the wars, not in spite of them. unfortunately, there is no way to replicate this in SC- the markets are too free for the conquerer to adequately control.

similarly, do you think the roman, spanish or british empires were created just to have fun killing barbarians? or for the oligarchs to get filthy, stinking rich? how would you explain the economic primacy of these empires when they were at the height of their military power.

''Put simply, war is a mutual destruction of assets, so how can that ever be directly profitable?''
-wrong, i'm afraid. war is partly about acquiring greater control of markets and resources- it's the ultimate form of economic competition. if you happen to lose some of your assets in the attempt, think of it as an expected risk on your investment, you just try to safeguard it as best as you can. of course, there's also religion and ideology to consider, but this is always mixed in to some degree with economic considerations. i seriously doubt that there's ever been a war where at at least some of the winners got rich.

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