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More complex scenarios
Once a simple scenario has been demonstrated, more complex features may be introduced, for example:
- land titles and defence? Implement a land register. Register which the agent which has title to the land.
- different crops and corresponding climatic zones - places good for potatoes, wheat, grapes
- exchange of grain for services or other crops
- other forms of primary production, eg mining fuel, fishing, forestry
When an agent dies, their land titles pass to other agents, perhaps through automatic rules to pass to other members of the household, progeny and siblings.
We want to establish and demonstrate the preconditions for a monarchy and landed aristocracy to develop. Such structures developed everywhere that land tenure become transmissible as a private right through the establishment of property titles enforced through a coercive power.
We want to "discover" economic location rent in the form of the real surplus of a location over that at the margin of production.
For example, a tax on land is virtually ubiquitous in the development of societies. In a simple implementation, tokens issued by an aggregated banking sector are demanded from land title holders, otherwise defence of that title holder's tenure fails. Tax has three parts:
- A poll tax on all persons
- A tithe (tenths) of the crop
- A land tax, fixed on each plot
Want to see those living off the state respond to economic surpluses. If the intrinsic productivity improves, more people can and do become agents of the state. (see Zhou Dynasty of ancient China, lasting three-quarters of a millennium, 1046BC - 256BC) Population naturally bifurcates into peasant producers and powerful consumers.
Once there is a system of taxation, experiments in tax incidence can be conducted.
- Oxen to facilitate sowing and harvesting
- Oxen have an owner
Capital functions by taking in a vector of inputs, transforming into a vector of outputs by the application of a process. A bit like a chemical reaction.
- (Iron, Furnace) -> (magnet)
- (Air, Natural Gas) -> (Nitrogen, CO2, NH3) (involves the Haber Process)
- (NH3, HNO3) -> (Fertiliser)
- (Land, Seed, Labour) -> (Crop) (the basic form of agriculture)
- (Iron, Labour) -> (Plough) (a basic manufacture/capital production)
- (Fertiliser, Land, Seed, Oxen) -> (Crop) (a more advanced agriculture)
Need to know the quantities of each input, the yield of output, and the time involved for the transformation. Processes generally produce waste products, by-products and/or co-products. Products which are not sold may build up or disperse into the environment, potentially giving rise to external costs and/or benefits.
How can we fit economic destruction/coercion into this? (Gun, Labour) -> (Fatal wound)
What do we need to demonstrate the instability of land finance? Basic production. Land titles. Bank credit.
Want to be able to load in/configure for things like:
- The Irish potato crop failure and starvation - basic agricultural production + Land titles + Banking + Coercion
- Weimar hyperinflation - issue irredeemable bonds, onerous reparations, then privatise the central bank
- Zimbabwe hyperinflation associated with land tenure transfers from successful businesses for foreign currency
- Japan's economic miracle and subsequent land price bubble and 27 year old "Lost Decade"
- Construction of the pyramids in Ancient Egypt - how was the economy structured to do this?
- They collapse of the Ancien Régime and the French Revolution
- Stagnation of the Soviet economy
- Systemic bogosity in modern Greece - odious debt created by corrupt politicians and bankers uniting against the public