Tariffs

[Kosta]

Hey guys,

Politics and War is a very diverse game with regards to politics, communities and diplomacy. However it is also a very diverse game in terms of economies and economic systems. Many alliances vouch for large government controls and regulations of the economy, whilst other alliances vouch for moderate or even no regulation or taxation of the economy.

I would like to suggest the addition of tariffs to the game. 

First of all what is a Tariff?

• "A tax or duty to be paid on a particular class of imports or exports." (Google)
• "A tariff is a tax on imported goods and services, and is also called a customs duty." (Economics Online)

What are the two types of tariffs?

• "A specific tariff is levied as a fixed fee based on the type of item, such as a $1,000 tariff on a car.
• An ad-valorem tariff is levied based on the item's value, such as 10% of the value of the vehicle." (Investopedia)

What can tariffs be placed on?

• Imports - raising the price of imports into a country for citizens.
• Exports - raising the price of exports out of a country to foreigners.

Why Governments Impose Tariffs in real life?

• "Governments may impose tariffs to raise revenue,

• or to protect domestic industries—especially nascent ones—from foreign competition. By making foreign-produced goods more expensive, tariffs can make domestically produced alternatives seem more attractive. Governments that use tariffs to benefit particular industries often do so to protect companies and jobs.

• Tariffs can also be used as an extension of foreign policy as their imposition on a trading partner's main exports may be used to exert economic leverage." (Investopedia)

What does this mean in a Politics and War sense? 

• Alex could add import/export tariffs for alliance leaders to add to the Global or Alliance market (they should be separate) as an alliance tool. 

But why?

• Alliance leaders can impose a specific tariff (eg. $100 on the price of Iron) or a ad-valorem tariff (eg. 10% on the price of Iron) on imports to raise tax revenue for their alliance on the global market. Members who scroll through the market would, for example, have all iron prices increased by $100 or 10% of which would directly go to the alliance bank.
• Import tariffs can be used to persuade/force members to only use the alliance market. For example, an alliance could place a 100% tariff on the global market which would dissuade members from buying from there and instead use the tariff-free alliance-market. (This is for alliances with closed markets). This is similar with export tariffs, to dissuade foreign members from purchasing locally produced alliance member goods.
• This could help with the creation of tariff-free sphere markets. 
• This could also be a selling point for alliances who pride themselves on their economic system (eg. no tariffs for economically free alliances or alliance exclusive markets for socialist or similar alliances). Hence, allows for greater role play. 

 

I hope this could be considered.

Thanks,

Kosta.

[JadenStar10]

2 minutes ago, Kosta said:

Hey guys,

Politics and War is a very diverse game with regards to politics, communities and diplomacy. However it is also a very diverse game in terms of economies and economic systems. Many alliances vouch for large government controls and regulations of the economy, whilst other alliances vouch for moderate or even no regulation or taxation of the economy.

I would like to suggest the addition of tariffs to the game. 

First of all what is a Tariff?

• "A tax or duty to be paid on a particular class of imports or exports." (Google)
• "A tariff is a tax on imported goods and services, and is also called a customs duty." (Economics Online)

What are the two types of tariffs?

• "A specific tariff is levied as a fixed fee based on the type of item, such as a $1,000 tariff on a car.
• An ad-valorem tariff is levied based on the item's value, such as 10% of the value of the vehicle." (Investopedia)

What can tariffs be placed on?

• Imports - raising the price of imports into a country for citizens.
• Exports - raising the price of exports out of a country to foreigners.

Why Governments Impose Tariffs in real life?

• "Governments may impose tariffs to raise revenue,

• or to protect domestic industries—especially nascent ones—from foreign competition. By making foreign-produced goods more expensive, tariffs can make domestically produced alternatives seem more attractive. Governments that use tariffs to benefit particular industries often do so to protect companies and jobs.

• Tariffs can also be used as an extension of foreign policy as their imposition on a trading partner's main exports may be used to exert economic leverage." (Investopedia)

What does this mean in a Politics and War sense? 

• Alex could add import/export tariffs for alliance leaders to add to the Global or Alliance market (they should be separate) as an alliance tool. 

But why?

• Alliance leaders can impose a specific tariff (eg. $100 on the price of Iron) or a ad-valorem tariff (eg. 10% on the price of Iron) on imports to raise tax revenue for their alliance on the global market. Members who scroll through the market would, for example, have all iron prices increased by $100 or 10% of which would directly go to the alliance bank.
• Import tariffs can be used to persuade/force members to only use the alliance market. For example, an alliance could place a 100% tariff on the global market which would dissuade members from buying from there and instead use the tariff-free alliance-market. (This is for alliances with closed markets). This is similar with export tariffs, to dissuade foreign members from purchasing locally produced alliance member goods.
• This could help with the creation of tariff-free sphere markets. 
• This could also be a selling point for alliances who pride themselves on their economic system (eg. no tariffs for economically free alliances or alliance exclusive markets for socialist or similar alliances). Hence, allows for greater role play. 

 

I hope this could be considered.

Thanks,

Kosta.

To add on to this, I think tariffs should be augmented to different players kindof like different tax brackets in an alliance. for Example, for alliances have traders to flip the market. putting import/export tariffs on them would hinder what they're trying to do.

[Kosta]

1 minute ago, Suyash Adhikari said:

To add on to this, I think tariffs should be augmented to different players kindof like different tax brackets in an alliance. for Example, for alliances have traders to flip the market. putting import/export tariffs on them would hinder what they're trying to do.

I suppose tariff brackets could add more flavour to this.

[Ramona]

So effectively a way to tax traders a bit of their trading profits (I mean, i'm not really in favor of traders since most of them pixelhug hard)?

[Kosta]

Just now, Ramona said:

So effectively a way to tax traders a bit of their trading profits (I mean, i'm not really in favor of traders since most of them pixelhug hard)?

Yeah. This allows for a bit of a dynamic between tax rates and tariffs rates.  More choices for alliance leaders, and more avenues for revenue. 

[MinesomeMC]

I’d like to add Tarifs that target specific alliances or an alliance goods. So like I dislike Camelot so I put Tarifs on them to get members to buy from other alliances or just Camelot’s iron. Could make for an interesting addition to game politics.

[Dullard]

I like it, would have to make sure there’s no bugs. Seems very abusable without proper testing....

[BelgiumFury]

I like this (assuming it is executed well).
(and my alliance will hopefully stay reasonable and not tax my shit off)

 

Edited August 10, 2021 by BelgiumFury

[Sweeeeet Ronny D]

Please implement this, so my guys will have an even easier time selling their goods while alliances try to get greedy and steal more money from their members.

[Darthscifiguy]

18 hours ago, Kosta said:

Yeah. This allows for a bit of a dynamic between tax rates and tariffs rates.  More choices for alliance leaders, and more avenues for revenue. 

I love this idea! Tariffs with Tax brackets sounds awesome to me.

[Mohammad]

Definitely would be a great idea. Would finally encourage people to use the aa markets, as well as market sharing. 

 

Also a cool challenge for u econ people, is find a way to maybe incorporate Color Blocs into this. Maybe have it so you cant put tarrifs on aa in ur color bloc ect....

[Kosta]

2 hours ago, Mohammad.badawy4 said:

Definitely would be a great idea. Would finally encourage people to use the aa markets, as well as market sharing. 

 

Also a cool challenge for u econ people, is find a way to maybe incorporate Color Blocs into this. Maybe have it so you cant put tarrifs on aa in ur color bloc ect....

Exactly! I feel like changes like this could be a stepping stone for further development in the economic mechanics field.