While playing the game Civilization IV I realized that the over-industrialized cities had a great amount of pollution that negatively impacted the people living there, a truth that should be applied to our own society before it is too late. Pollution has always been a great truth that has been either largely denied or ignored, a horrific problem that will only get worse if things continue the way that they are. We live in a world where people care so much about money and products that they are willing to destroy the environment around us to have them. The government does not help this situation, especially with a president who makes ignorant statements such as "I do not believe that global warming exists." There is no reason that any person, especially an educated person, should feel this way within a society where there has been overwhelming research resulting in evidence that proves that global warming very much does exist. During the game when a city becomes over industrialized a green sick face is shown to let the player know that the people are unhappy and ill because of the pollution. If the person playing the game is smart they will attempt to fix this problem, by eliminating some of the industry or finding another way to reduce the pollution. However, when the pollution is ignored the population continues to grow unhappy and ill and eventually the production rate is so low that the city is virtually costing more than it is making. Unfortunately, in the real world there is no automated way of showing the negative effects of pollution, no sick and sad face that shows up on the presidents computer whenever he turns it on. But, even without the sad face, the effects of pollution can be seen and should not be ignored, clear examples like the elimination of our atmosphere, leading to deadly diseases such as skin cancer. In addition, drinking water has been contaminated leading to many health problems, birth defects and mental retardation. Even worse, the air we breathe continues to get worse every year, leading to mass amounts of asthma and other breathing defects, even problems within the lungs. Is the president so stupid that he needs to see the sad face before he does something? Or will he possibly take action before it is too late and the entire United States population becomes ill or in some other way negatively effected by the pollution surrounding them? All of the answers to these questions lay in the future, but hopefully something will be done before it is too late, instead of just ignoring or denying that a problem even exists. While money may be important, if pollution gets too far money will not be able to buy anything, because the world as we know it may not even exist.
Thursday, April 26, 2007
Thursday, April 12, 2007
How much should a government spend?
Determining how much money to spend and what to spend it on has always been a problem for governments worldwide, and also presents an important problem for those people playing Civilization IV as they determine how to allocate their resources. Throughout history many different views have been taken, in many different places, on the role the government should play in the economy. Systems ranged from Marxism to Laissez-faire, with economists claiming each were the best at different time periods and in different nations. In addition, the amount that a government deficit should be has also changed drastically over time, with some economists believing there should not be a deficit at all, and others believing that you had to put money into the economy in order to get money out. All these men beleived they were right, and there is no definite answer, making this one of the most difficult questions to answer, both in the real world and in the game.
According to Heilbroner, during the New Deal of the 1930s the government decided that they were going to spend money in order to benefit society and help to reinvigorate the economy. By creating and funding a GI bill the government allowed "the American system of higher education to grow in leaps and bounds." (140) In addition, during the Cold War massive government spending occured in order to remain equal, or better, than the Soviet Union in the arena of nuclear weapons. Moreover, the government spent a great deal of money on a network of highways that would run nationwide and make transportation within the United States much easier and efficient. Airports were also built at this time to make air travel more affordable and turn it into the travel business that we know so well today. All of these positive changes helped to make American society better for all those citizens living in it, and the government spending clearly was what enabled this to happen, ultimately helping instead of hurting the economy.
While playing the game Civilzation IV the same kind of decisions need to be made, what to build, how much to spend and what resources to use in order to best stablize or invigorate the economy. While the answer to the question of how much the government should spend is never easy, it is clear that government spending is almost always neccessary in order for big projects to be successful. Without government spending things such as air travel and a road system would be nearly impossible to achieve without disastorous effects. In addition, international trade would be almost impossible without officials to regulate and determine the value of different currencies and products. While playing the game it is important to remember that the government should spend money for valuable programs and developments, and also for necessary wars, but should not over-spend because it could lead to the demise of the entire nation. While this happy medium is often difficult to find, it is not impossible, and those players of the game should pay attention to important details and financial situations to ensure that they are making the best decision possible.
According to Heilbroner, during the New Deal of the 1930s the government decided that they were going to spend money in order to benefit society and help to reinvigorate the economy. By creating and funding a GI bill the government allowed "the American system of higher education to grow in leaps and bounds." (140) In addition, during the Cold War massive government spending occured in order to remain equal, or better, than the Soviet Union in the arena of nuclear weapons. Moreover, the government spent a great deal of money on a network of highways that would run nationwide and make transportation within the United States much easier and efficient. Airports were also built at this time to make air travel more affordable and turn it into the travel business that we know so well today. All of these positive changes helped to make American society better for all those citizens living in it, and the government spending clearly was what enabled this to happen, ultimately helping instead of hurting the economy.
While playing the game Civilzation IV the same kind of decisions need to be made, what to build, how much to spend and what resources to use in order to best stablize or invigorate the economy. While the answer to the question of how much the government should spend is never easy, it is clear that government spending is almost always neccessary in order for big projects to be successful. Without government spending things such as air travel and a road system would be nearly impossible to achieve without disastorous effects. In addition, international trade would be almost impossible without officials to regulate and determine the value of different currencies and products. While playing the game it is important to remember that the government should spend money for valuable programs and developments, and also for necessary wars, but should not over-spend because it could lead to the demise of the entire nation. While this happy medium is often difficult to find, it is not impossible, and those players of the game should pay attention to important details and financial situations to ensure that they are making the best decision possible.
Thursday, April 5, 2007
Effects of War Upon the Economy - An Unrealistic Aspect of the Game?
War has been prevalent among nations throughout most of history, a time when increased food, weapons, uniforms and other supplies become neccessary to support soldiers. Therefore, during war time there is increased government spending and often a change in what is produced in order to fulfill these needs. Especially during wars in which a nation is supporting not only itself, but also weaker fighting nations, these demands are incredibly high. Because these demands become so high there is usually a shift in what is being produced, switching to war producing industries instead of consumer goods. Although wars are expensive and often painful, they spark the economy in an interesting way that no other event has ever been able to. Because of this spark, post-war industry is usually at the highest point that a nation sees, with the least unemployment and the greatest amount of consumer spending. However, within the game this change is often not evident, and although the expenses of war take their toll, the post-war economic spark does not seem to be evident.
According to Heilbroner, during World War II "camme a tremendous forced expansion in governent outlays." Prior to this time government intervention in the economy and spending had been limited but this forced the government to increase spending in order to obtain the proper amount of weapons, supplies and food. By 1944 the government had spent over $100 billion, realizing that as long as production grew then a great federal deficit could be manageable. This great spending helped to lift America out of it's economic depression, ending a great amount of the previous unemployment and allowing the economy to revive because of the great amount of money that was now being put into it. Without WWII the depression could have lasted much longer. Even after the war ended unemployment was not as high as expected and the economy did not collapse to the pre-war depression.
However, within the game Civilization IV, war never seems to help an economy but only to hurt it unless another nation is acquired, along with all of it's resources and factories. War, just as in real life, is very expensive and takes an economic toll on the nation but does not seem to do anything to spark the economy. Ultimately, in the game the spending of war only goes to hurt the civilians of a nation instead of helping them, leading only to suffering and poverty but never to prosperity. This is obviously inaccurate, at least historically, and is a part of the game that could possibly be altered to create a more realistic situation.
According to Heilbroner, during World War II "camme a tremendous forced expansion in governent outlays." Prior to this time government intervention in the economy and spending had been limited but this forced the government to increase spending in order to obtain the proper amount of weapons, supplies and food. By 1944 the government had spent over $100 billion, realizing that as long as production grew then a great federal deficit could be manageable. This great spending helped to lift America out of it's economic depression, ending a great amount of the previous unemployment and allowing the economy to revive because of the great amount of money that was now being put into it. Without WWII the depression could have lasted much longer. Even after the war ended unemployment was not as high as expected and the economy did not collapse to the pre-war depression.
However, within the game Civilization IV, war never seems to help an economy but only to hurt it unless another nation is acquired, along with all of it's resources and factories. War, just as in real life, is very expensive and takes an economic toll on the nation but does not seem to do anything to spark the economy. Ultimately, in the game the spending of war only goes to hurt the civilians of a nation instead of helping them, leading only to suffering and poverty but never to prosperity. This is obviously inaccurate, at least historically, and is a part of the game that could possibly be altered to create a more realistic situation.
Wednesday, March 28, 2007
Importance of Competition within a Market
Throughout history, and even today, the importance of competition within a market has been recognized. Without competition it is impossible for the market to be guided by an invisible hand and the economy will ultimately falter, with both consumers and manufacturers suffering. This can be seen both within the game and within a historical perspective, showing the truth that can shine through. Although it is seen on a more global level within the game, the same types of truths can be applied to a a real life domestic situation. Although there have been points in history where this competition was endangered, governments have realized the problems that would result and have taken steps to prevent the endangerment of a free market without restrictions on competition.
Within the American economy there was a time when large trusts and corporations came to dominate the market and essentially eliminate competition, allowing them to set high prices that had to be paid if a certain good or service was desired. As the robber barrons began to take over they dominated the market in their fields, setting high prices and becoming rich while preventing the poor from affording goods and services that were sometimes necessary to their lives. According to Heilbroner in chapter five of The Making of Economic Society, "a production syste originally characterized by large numbers of small enterprises increasingly gave way to one in which production was concentrated in the hands of a relatively few." (88) Although this initially increased competition because small monopolies in small towns were eliminated by the large scale competition, but as trusts were formed and businesses grew even larger than the government prices remained high and sometimes inaffordable. However, the governent realized the danger that these monstrous trusts could cause both on competition and even on the government of the nation and passed laws such as the Sherman Antitrust Act and the Clayton Antitrust Act to prevent these trusts from continuing in such a monopolistic manner.
This same type of logic can be applied in the game, although it will usually be on more of a global scale than a domestic scale. However, even domestically if too much production is concentrated in one city the people become ill because of the fumes and all of the other cities have insufficient funds and food. If this happens then the other cities will suffer and the people in these cities will suffer and may even starve. In the same way, if one nation holds the entire supply of a certain good, service or idea that another nation wants they can either hold it for themselves and be the sole benficiary or can sell it for a very high price. Therefore, it is good to develop the first ideas and technologies in the game, before competitiors, in order to hold a certain type of advantage. However, these ideas and technologies should not be limited to only one city within a nation or the results could be disastorous.
Competition is essential within any market economy and if it disappears the economy will eventually suffer. Although it may seem like a good option at the time, governments have realized the dangers and passed laws to prevent trusts or monopolies from taking over. This same logic can be applied in order to ensure a successful economy within the game.
Within the American economy there was a time when large trusts and corporations came to dominate the market and essentially eliminate competition, allowing them to set high prices that had to be paid if a certain good or service was desired. As the robber barrons began to take over they dominated the market in their fields, setting high prices and becoming rich while preventing the poor from affording goods and services that were sometimes necessary to their lives. According to Heilbroner in chapter five of The Making of Economic Society, "a production syste originally characterized by large numbers of small enterprises increasingly gave way to one in which production was concentrated in the hands of a relatively few." (88) Although this initially increased competition because small monopolies in small towns were eliminated by the large scale competition, but as trusts were formed and businesses grew even larger than the government prices remained high and sometimes inaffordable. However, the governent realized the danger that these monstrous trusts could cause both on competition and even on the government of the nation and passed laws such as the Sherman Antitrust Act and the Clayton Antitrust Act to prevent these trusts from continuing in such a monopolistic manner.
This same type of logic can be applied in the game, although it will usually be on more of a global scale than a domestic scale. However, even domestically if too much production is concentrated in one city the people become ill because of the fumes and all of the other cities have insufficient funds and food. If this happens then the other cities will suffer and the people in these cities will suffer and may even starve. In the same way, if one nation holds the entire supply of a certain good, service or idea that another nation wants they can either hold it for themselves and be the sole benficiary or can sell it for a very high price. Therefore, it is good to develop the first ideas and technologies in the game, before competitiors, in order to hold a certain type of advantage. However, these ideas and technologies should not be limited to only one city within a nation or the results could be disastorous.
Competition is essential within any market economy and if it disappears the economy will eventually suffer. Although it may seem like a good option at the time, governments have realized the dangers and passed laws to prevent trusts or monopolies from taking over. This same logic can be applied in order to ensure a successful economy within the game.
Importance of Competition within a Market
Throughout history, and even today, the importance of competition within a market has been recognized. Without competition it is impossible for the market to be guided by an invisible hand and the economy will ultimately falter, with both consumers and manufacturers suffering. This can be seen both within the game and within a historical perspective, showing the truth that can shine through. Although it is seen on a more global level within the game, the same types of truths can be applied to a a real life domestic situation. Although there have been points in history where this competition was endangered, governments have realized the problems that would result and have taken steps to prevent the endangerment of a free market without restrictions on competition.
Within the American economy there was a time when large trusts and corporations came to dominate the market and essentially eliminate competition, allowing them to set high prices that had to be paid if a certain good or service was desired. As the robber barrons began to take over they dominated the market in their fields, setting high prices and becoming rich while preventing the poor from affording goods and services that were sometimes necessary to their lives. According to Heilbroner in chapter five of The Making of Economic Society, "a production syste originally characterized by large numbers of small enterprises increasingly gave way to one in which production was concentrated in the hands of a relatively few." (88) Although this initially increased competition because small monopolies in small towns were eliminated by the large scale competition, but as trusts were formed and businesses grew even larger than the government prices remained high and sometimes inaffordable. However, the governent realized the danger that these monstrous trusts could cause both on competition and even on the government of the nation and passed laws such as the Sherman Antitrust Act and the Clayton Antitrust Act to prevent these trusts from continuing in such a monopolistic manner.
This same type of logic can be applied in the game, although it will usually be on more of a global scale than a domestic scale. However, even domestically if too much production is concentrated in one city the people become ill because of the fumes and all of the other cities have insufficient funds and food. If this happens then the other cities will suffer and the people in these cities will suffer and may even starve. In the same way, if one nation holds the entire supply of a certain good, service or idea that another nation wants they can either hold it for themselves and be the sole benficiary or can sell it for a very high price. Therefore, it is good to develop the first ideas and technologies in the game, before competitiors, in order to hold a certain type of advantage. However, these ideas and technologies should not be limited to only one city within a nation or the results could be disastorous.
Competition is essential within any market economy and if it disappears the economy will eventually suffer. Although it may seem like a good option at the time, governments have realized the dangers and passed laws to prevent trusts or monopolies from taking over. This same logic can be applied in order to ensure a successful economy within the game.
Within the American economy there was a time when large trusts and corporations came to dominate the market and essentially eliminate competition, allowing them to set high prices that had to be paid if a certain good or service was desired. As the robber barrons began to take over they dominated the market in their fields, setting high prices and becoming rich while preventing the poor from affording goods and services that were sometimes necessary to their lives. According to Heilbroner in chapter five of The Making of Economic Society, "a production syste originally characterized by large numbers of small enterprises increasingly gave way to one in which production was concentrated in the hands of a relatively few." (88) Although this initially increased competition because small monopolies in small towns were eliminated by the large scale competition, but as trusts were formed and businesses grew even larger than the government prices remained high and sometimes inaffordable. However, the governent realized the danger that these monstrous trusts could cause both on competition and even on the government of the nation and passed laws such as the Sherman Antitrust Act and the Clayton Antitrust Act to prevent these trusts from continuing in such a monopolistic manner.
This same type of logic can be applied in the game, although it will usually be on more of a global scale than a domestic scale. However, even domestically if too much production is concentrated in one city the people become ill because of the fumes and all of the other cities have insufficient funds and food. If this happens then the other cities will suffer and the people in these cities will suffer and may even starve. In the same way, if one nation holds the entire supply of a certain good, service or idea that another nation wants they can either hold it for themselves and be the sole benficiary or can sell it for a very high price. Therefore, it is good to develop the first ideas and technologies in the game, before competitiors, in order to hold a certain type of advantage. However, these ideas and technologies should not be limited to only one city within a nation or the results could be disastorous.
Competition is essential within any market economy and if it disappears the economy will eventually suffer. Although it may seem like a good option at the time, governments have realized the dangers and passed laws to prevent trusts or monopolies from taking over. This same logic can be applied in order to ensure a successful economy within the game.
Thursday, March 22, 2007
The Importance of an Industrial Revolution
Throughout history and even into today those nations that are economically most successful are those that were the first to have successful Industrial Revolutions, and the same can be seen when playing the game Civilization IV. Today the most succesful nations economically are the United States, England, France and China, all of which had successful and powerful industrial revolutions that are almost always quickly expanding and growing. In the same way, those nations within the game that are continuously developing new technologies and expanding production are those that are most succesful due to their increased wealth and better tools for fighting in wars and growing food. Essentially, an industrial revolution is completely necessary for a nation that intends to be one of the most succesful, whether in war, food growth or trade.
As Heilbroner explains in chapter four of The Making of Economic Society, "the third essential source of economic wealth is industry," a statement that could not be more true. All of the top powers in the world were able to achieve and maintain that status initially because they could produce more food, later more goods, and therefore more economic wealth. As seen in the game the quicker technologies expand the more money you will have and the more success you will have in wars and trade, making you a powerful ruler that other nations will not attempt to destroy. Although it took nations a long time to develop the monetary stability and cultural status to be ready for an industrial revolution once it happened it was incredibly powerful and changed the nations forever. England had the first Industrial Revolution, with Arkwright's spinning jenny, and the english pound is still one of the most valuable currencies in the world, showing the importance and significance that having the first industrial revolution allowed this nation.
When a nation has an industrial revolution it allos a "transformation of an essentially commercial and agricultural society into one in which industrial mmanufacture became the dominant mode of organizing economic life." (Heilbroner ch. 4) This allowed for the creation of cities as we know the today and a largely increased sense of production. Ultimately, by having an Industrial Revolution a nation "ushers in a rise of living standards on a mass scale unlike anything that the world had ever known." (Heilbroner ch. 4) Even the poor could benefit from this revolution because many new jobs opened up for them and the prices of goods went down because they were now being mass produced by machines instead of produced by hands, reducing the time it took significantly. Therefore, within the game it is always a good idea to have an industrial revolution if the option is presented, and developing technology becomes increasingly important as the game progresses and other nations do so. If a nation falls too far behind technologically it will become inferior and ultimately run out of money or be conquered.
In conclusion, an industrial revolution is necessary for any nation that wishes to be economically successful. In addition, an industrial revolution will help a nation not only economically but also in war through new technologies and in food production. Therefore, by having an industrial revolution the standard of living is garunteed to increase for all people, even if some may benefit more than others. The only time that this will not hold true is when "a country's population is growin even faster than its incresed output." (Heilbroner ch. 4) In the end, the best way to advance a nation is to allow for an industrial revolution, and this truth holds both in the game and in the real world.
As Heilbroner explains in chapter four of The Making of Economic Society, "the third essential source of economic wealth is industry," a statement that could not be more true. All of the top powers in the world were able to achieve and maintain that status initially because they could produce more food, later more goods, and therefore more economic wealth. As seen in the game the quicker technologies expand the more money you will have and the more success you will have in wars and trade, making you a powerful ruler that other nations will not attempt to destroy. Although it took nations a long time to develop the monetary stability and cultural status to be ready for an industrial revolution once it happened it was incredibly powerful and changed the nations forever. England had the first Industrial Revolution, with Arkwright's spinning jenny, and the english pound is still one of the most valuable currencies in the world, showing the importance and significance that having the first industrial revolution allowed this nation.
When a nation has an industrial revolution it allos a "transformation of an essentially commercial and agricultural society into one in which industrial mmanufacture became the dominant mode of organizing economic life." (Heilbroner ch. 4) This allowed for the creation of cities as we know the today and a largely increased sense of production. Ultimately, by having an Industrial Revolution a nation "ushers in a rise of living standards on a mass scale unlike anything that the world had ever known." (Heilbroner ch. 4) Even the poor could benefit from this revolution because many new jobs opened up for them and the prices of goods went down because they were now being mass produced by machines instead of produced by hands, reducing the time it took significantly. Therefore, within the game it is always a good idea to have an industrial revolution if the option is presented, and developing technology becomes increasingly important as the game progresses and other nations do so. If a nation falls too far behind technologically it will become inferior and ultimately run out of money or be conquered.
In conclusion, an industrial revolution is necessary for any nation that wishes to be economically successful. In addition, an industrial revolution will help a nation not only economically but also in war through new technologies and in food production. Therefore, by having an industrial revolution the standard of living is garunteed to increase for all people, even if some may benefit more than others. The only time that this will not hold true is when "a country's population is growin even faster than its incresed output." (Heilbroner ch. 4) In the end, the best way to advance a nation is to allow for an industrial revolution, and this truth holds both in the game and in the real world.
Tuesday, March 6, 2007
Market Economies- Invisible Hand is the Best Way to Determine Supply and Demand
Supply and Demand form vital parts of an economic system, and if not determined properly can cause for extreme over or under production of products, a fact that governments of any nation must take into account, whether in real life or the game. Almost everyone knows the basic idea of supply and demand, including the inverse relationship between the two factors, but very few realize the extreme importance of it within a society. Historically, those rulers who attempted to control the supply and demand within an economy were usually unsuccessful and caused dramatic starvation and lack of goods. However, a market economy, uncontrolled by the government or only with necessary restrictions, seems to be the best means of producing the right amount of goods because everyone involved benefits from the system. Likewise, the sooner that a market economy can be established in Civilization IV the better, usually enhancing both production and gold supply while increasing the happiness of the people.
Historically, and even today, supply and demand are important factors that must be properly balanced in order to assure the economic success of a nation. Supply is defined as "a schedule of quantities a seller is willing to sell per unit of time at various prices, other things constant," while demand is defined as "a schedule of quantities of a good that wil be bought per unit of time at various prices, other things constant." (Colander) When these two things are in corespondance with one another it is known as equilibrium. All nations are working towards equilibrium price and quantity, which basically say that supply and demand are equal to one another and there is no excess or shortage within a nation, defining a perfect economy. Although this ideal is nearly impossible, the closest any nation has come to achieving it is through a market economy and the idea of Adam Smith's invisible hand. Therefore, a market economy is the best way that a ruler of a nation can assure at least partial economic success and it is smart for this to be applied as quickly as possible within a nation.
Likewise, applying a market economy as soon as possible within the game will help a nation achieve the best economic success. As soon as this system is applicable I advise that any gamer choose it as the means for the society because it will allow for the best production and success. It also increases gold supply and happiness of those living within the society. If this is applied trade will prosper and almost every aspect of the nation will improve. It is much easier to allow an invisible hand to determine supply and demand than attempting to do it yourself, a commonly proven fact in nations using socialism or communism.
In conclusion, supply and demand can be best determined within a market economy using an invisible hand. Applying this both in real life and within the game will help to increase success both economically and socially. It allows for competition that results in benefits for both the consumer and the producer within the society. In addition, this competition leads to a better product that will increase trade and make american products more desirable. I believe that market economies are the only logical and successful way to control supply and demand within a society.
Historically, and even today, supply and demand are important factors that must be properly balanced in order to assure the economic success of a nation. Supply is defined as "a schedule of quantities a seller is willing to sell per unit of time at various prices, other things constant," while demand is defined as "a schedule of quantities of a good that wil be bought per unit of time at various prices, other things constant." (Colander) When these two things are in corespondance with one another it is known as equilibrium. All nations are working towards equilibrium price and quantity, which basically say that supply and demand are equal to one another and there is no excess or shortage within a nation, defining a perfect economy. Although this ideal is nearly impossible, the closest any nation has come to achieving it is through a market economy and the idea of Adam Smith's invisible hand. Therefore, a market economy is the best way that a ruler of a nation can assure at least partial economic success and it is smart for this to be applied as quickly as possible within a nation.
Likewise, applying a market economy as soon as possible within the game will help a nation achieve the best economic success. As soon as this system is applicable I advise that any gamer choose it as the means for the society because it will allow for the best production and success. It also increases gold supply and happiness of those living within the society. If this is applied trade will prosper and almost every aspect of the nation will improve. It is much easier to allow an invisible hand to determine supply and demand than attempting to do it yourself, a commonly proven fact in nations using socialism or communism.
In conclusion, supply and demand can be best determined within a market economy using an invisible hand. Applying this both in real life and within the game will help to increase success both economically and socially. It allows for competition that results in benefits for both the consumer and the producer within the society. In addition, this competition leads to a better product that will increase trade and make american products more desirable. I believe that market economies are the only logical and successful way to control supply and demand within a society.
Subscribe to:
Posts (Atom)