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Uilliam Nebel
24th Imperial Crusade
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Posted - 2008.06.23 23:37:00 -
[1]
Edited by: Uilliam Nebel on 23/06/2008 23:39:44
*A document written by Uilliam Nebel meant for the Tash-Murkon corporation which has been leaked over the GALnet.*
A proposal to extirpate the institution of thralldom within the Tash-Murkon region and develop a new economic system.
To the Lady Catiz Tash-Murkon, and to the Board of Directors for the Tash-Murkon Corporation.
The following paper details an economic plan for the future viability and development of the Tash-Murkon region. It will outline certain obstacles which it will face in the near future which need to be addressed now. And lay down a ground work to build upon for the continued needs and prosperity of the Udorian people in the post war era.
Part One: The case for extirpation of thralldom within the region.
The economic system that rest upon thralldom is no longer a viable solution to meet the growing challenges of the next hundred years and beyond. Continued sophistication of the Gallente workforce through automated means, and the development of specialized artificial intelligence for mass production management will have the following effects upon the the Empires as a whole, and by consequence the Tash-Murkon region.
1. Gallente produced consumer goods will lower in price.
2. Gallente produced consumer goods will continually rise in quality.
3. Gallente produced goods will use fewer resources, and have less waste with every production run. Becoming perfectly efficient once true nano-technology production is the standard in the Federation over the next ten years.
4. These goods will take up the majority of the market share. They will also expand the market to new consumers, who previously could not afford these goods. Thereby actually making the market grow at an exponential, not linear, rate as quality and demand continues to rise but cost continues to decrease.
5. Amarr produced goods will be to expensive to manufacture at a profit with current production methods and labor practices.
In ten years time, if current technological progress within the Federation continues, the other Empires would be faced with an 'upside' down market for the production of their goods. Meaning that raw materials would be worth more then the end products they would be manufactured into versus their Gallentee competition in their markets. I.E. There would be no manufactured good another Empire could produce without taking a loss.
Critical weaknesses of the current Amarrian economic system.
1. The ability of a thrall to be efficient enough to make up for their true cost of ownership (Initial cost of purchase, food, shelter, medical care, down time.) is rapidly declining. Ten generations ago a thrall was estimated to make a manufacture eight times what their true cost was over a lifetime. Two generations ago it is estimated that a thrall would only return a .05 percent profit against their true cost over a lifetime. Now thralls are only meeting their true cost over a lifetime, with no possibility of profit in the long term. Even though cost of food, shelter, and medical care have continually lowered, and work routines optimized, it has not been in pace to compete with automated production operations elsewhere which continue to advance with increasing gain.
2. Thralls are not a fast enough renewable resource. Reproducing thralls makes their cost exponentially higher. Efficiency is lost with adult thralls requiring time to rear young. New born thralls do not have the physical and mental capacity for profitable work until about a dozen years after birth, but still have a cost. Thralls also come without a calculable degree of productivity between thralls, making all estimates of man power and efficiency between production runs unacceptably inaccurate for future business planning given the competition of the Gallente Federation in the cluster free market.
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
24th Imperial Crusade
|
Posted - 2008.06.23 23:38:00 -
[2]
Edited by: Uilliam Nebel on 23/06/2008 23:42:01
3. While thrall expenses can be cut back, and thralls pushed to extreme levels of production, and work age lowered, their lack of being a timely renewable resource ultimately will result in such practices having a negative impact. (I.E. Thralls will be worked too death in numbers to fast to maintain a continued population of workers. And send thrall prices soaring as the Amarr Empire will still be dependent on them for labor.)
In conclusion, thralldom is a economic system which can be progressed no further. The practices and benefits of this system have been completely optimized, and should be considered an obsolete economic technology. The circumstances which made thralldom a viable system to begin with no longer exist. As the Amarr Empire expanded rapidly with the Reclamation, their was an abundance of resources to gather but an extreme shortage of labor to do so. However, over the last thousand years this model has changed. Their are still abundant resources, but has colonies have spread out and developed through the Empire we now have a surplus of able bodied laborers when coupled with available automation technology. There are also the inherent 'Dead Weight Losses' of the thralldom system. The need for enforcement of the system in terms of thrall population control, run away thrall patrols, and disenfranchising of free workers from the labor force take a tremendous toll on the Amarrian Empires economy.
(To be continued.)
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
24th Imperial Crusade
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Posted - 2008.06.25 23:10:00 -
[3]
Part II: How to begin the deconstruction of thralldom within the region.
When faced with the monumental challenge of the extirpation of thralldom from the Tash-Murkon region, only three choices of action are in fact feasible.
The first, selling off of thralls to other regions within the Amarr Empire.
Which would give a high short term return and influx of new capitol. However it has some severe limitations. With a sudden influx of so many thralls into the market, price will drop significantly. Price will also be further pushed down as perspective buyers shall have to weigh the cost and risk of shipment of thralls. It also will have significant impact to the resources of Tash-Murkon as security of systems will have to be shored up against piracy, and fugitive thralls taking advantage of transportation as an opportunity to escape.
The second, an 'Exodus' policy, is even more problematic.
The idea of allowing Matari transports within Tash-Murkon region space is wholly unacceptable. Matari terrorist would be sure to seize it as an opportunity to launch attacks within the Empire. These complications are only magnified by the war. Amarrian ships cannot be risked to take the slaves to a 'neutral' point from where they may make their own way, as this will result in disaster and strained political relations as the Tash-Murkon region will be blamed for dumping millions of refugees onto another region. Whatever system we could choose to deposit thralls to, they would stay in, and have a severe consequence on the areas economy and resources for generations. And lastly, with the current war, and many violent Matari attacks on Amarrians, sending Amarr Empire pilots within Matari space is a wholly unacceptable risk, and little better then a suicide mission. Any Amarrian pilot on such a mission is most likely to be taken prisoner by the local Matari population when their destination is reached, tortured, and murdered after a mock trial.
The releasing of thralls to the Lord's service.
This is not abolishment, it is extirpation of an organized system of thralldom. So let me offer the following once said,
'The violence that scars the history of civilization is testament to the fact that all men are born slaves to different masters. The Empires strength flows from the absolute recognition that there is but one true Master; peace will always elude those who deny Him.'
-Amarrian Ambassador Oturus Feinz, Caille Summit, 23220 AD
I shall not call this a plan for the abolishment of slavery, the idea of complete freedom is fatuous. All peoples are the subjects of God and bound to his will.
We have now, with the vast majority of thralls currently under our guidance had them in this state for about 865 years. We the Udorians, were in a state of thralldom ourselves for a similar length of time from the start of the Amarrian and Udorian wars and the the Reclamation. And after having been deemed worthy through our years of service to the Empire, were elevated to our current status.
While many would be quick to out right object the idea and site the murderous actions of Matari within their so-called Republic. Or the treason recently of many Ammatar during the Elder fleets attack. I would point out these are a wholly separate group of Matari making up the current thrall population in the Tash-Murkon region. And they have been sub servant to us without interruption for far longer, and received our guidance in the true faith the entire time. Past cultural ties have been conditioned away over generations of indoctrination and selective breeding. The overwhelming number are ardent practitioners of the faith, a fact that we under God are obliged to now expand upon.
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
24th Imperial Crusade
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Posted - 2008.06.25 23:11:00 -
[4]
The institute of thralldom has never in the Empire's history been a infinite condition of a conquered people. And now the greater part of a millennium past, we should begin the next phrase of the process, moving into a period of integration as the Udorians and Ni-Kunni have. This is as much a test of us, the faithful of the Tash-Murkon region as them, for it will weigh if we have achieved the Lord's will and brought these people into the fold of the faithful and salvation of God.
(TBC: The laying out of a Integration plan.)
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
Amarr
13th Udorian Rangers
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Posted - 2008.07.15 00:49:00 -
[5]
Part III: Terraforming and colonization project.
The 13th Udorian Rangers have been looking at means to advance an agenda to extirpate thralldom in the Tash-Murkon region. One critical issue which we have been researching is that many thralls, through out history, when raised from their stations do not seek to leave the region where they have lived, worked, and established their communities. But often begin a process of assimilation into the main cultural population they were serviced to, but only as a small ethnic group of the lowest social ranking and consideration.
This can lead to a state of economic disenfranchisement for these peoples, as being elevated out of thralldom pushes them into an immediate state of having to compete in the workforce through continued education, find adequate housing, and being crippled by a total lack of capitol to do either with. Often they are forced to go back to service which is even more grueling then thralldom and amounts to little more then a state of 'economic' serfdom, as their limited skill sets keep them bound to sub par wages and they are seen as 'disposable' assets by unscrupulous employers looking to take advantage of the surplus in free market labor amongst their population hubs. Crime, social collapse, and poverty can move these peoples into a cycle that may take generations to escape, if ever.
The most profitable, and beneficial solution for all parties would be the start of terraforming and gradual colonization projects on the planets within the Tash-Murkon system unable to currently support life. Along with the development of long term moon mining of their local satellites. However certain conditions would have to be put in place to maximize the benefit of such a approach.
1. The abolishment of slave control measures and practices currently utilized.
2. The establishment of local governments, made up of, and instituted by those former thrall populations emigrated to these colonies. However their powers of legislation and enforcement would have to be limited to matters of a strictly planet side nature, and not cross into the realm of those issues which the Tash-Murkon family, and Imperial rule would naturally have domain over.
3. While they should be allowed to develop their own civil services to the fullest extent, including the establishment of professional law enforcement. They must not be allowed to either develop, or pursue the establishment of a military or militia. As none of the holders within the Amarr Empire are allowed this privilege, neither should they.
4. Each planet should be established as a not for profit corporation in regards to cluster economics. As terraforming, and colonization develop, the planets generated resources should in some part be used to repay the initial investments needed to make the planet self-sufficient. While the greater majority should be put back into the planet, and it's populations development. And this process should be over seen by an outside auditing firm, which would issue a yearly report and census to the Tash-Murkon family corporation.
5. The initial funds for the terraforming and colony projects should be financed through investments of capsuleers. As the majority of holder's capitol and resources are tied into their current holdings on the all ready inhabited planets of Tash-Murkon, capsuleers offer a far greater opportunity for, and amount of wealth, to provide for the initial start up and continued investment such an undertaking.
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
Amarr
13th Udorian Rangers
|
Posted - 2008.07.15 00:50:00 -
[6]
6. In order to entice capsuleer interest, especially amongst those within the mining, industrial, and trading fields, investors should be offered various compensation if the forms of,
A. Refining tax breaks.
B. Direct access of their resources and goods into the planets economy at a premium, in exchange for rights to buy planet produced resources and goods at a equally premium price.
C. The establishment of more local research and development infrastructure, which would allow industrialist greater access to develop their products.
(to be continued.)
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
Uilliam Nebel
Amarr
13th Udorian Rangers
|
Posted - 2008.07.28 19:49:00 -
[7]
Part IV: The Advancement of the Tash-Murkonite work force role.
We live in a time of a free cluster market. Even in a state of war, trade goods cross over borders, though through indirect means, from one sovereign state to another. In order for the Tash-Murkon region not to become helplessly swept up in this economic reality an effort must be made to adapt the general population toward becoming a work force able to take full advantage of the region's comparative advantages. And to partner with other regions to trade for the goods they produce with a comparative advantage.
A legitimate criticism to this would be the following argument, often put forth in Gallente economic ideology.
"Free capital mobility totally undercuts the comparative advantage argument for free trade in goods, because that argument is explicitly and essentially premised on capital (and other factors) being immobile between sovereign states. Under the new free cluster market regime, capital tends simply to flow to wherever costs are lowest--that is, to pursue absolute advantage."
However, given the scope of cluster wide economics, it is impossible for any one sovereign state, even if they develop completely efficient production methods through nano-technology and automation to put forth a true absolute advantage in the production of any one good, simply because they will not be the only one capable of this for long.
For example,
Planet A has a workforce primarily composed of young, educated workers, and professionals. Along with abundant raw materials to produce any good which it needs.
Planet B has an aging workforce for one reason or another, poorly educated and trained, and it also has poor amounts of raw material to work with in the production of goods.
At first look, planet A has no reason or incentive to trade with planet B. However, now we enter planet C, which is planet A's direct competitor and actually has the exact same ability to produce goods in equal time and efficiency compared to planet A.
Now, if planet A wishes to break this stale mate with C, it suddenly makes sense to trade and co-develop with planet B. By forming a partnership to re-educate planet B's workers, and focus it's production efforts to an optimized level to produce select base components of A's products.
Therefore to further our analogy,
If A after studying B's current production capabilities and work force determines that B is capable of producing a component in enough numbers, at low enough cost, to make it more profitable for A to narrow the focus of it's production and trade with B for certain components, it now has an advantage over C.
To more clearly illustrate,
A needs to produce 750 individual components to assemble their final product. C needs to do exactly the same. A determines that B can produce one hundred of these components at a slightly higher cost then A. However, with A now focused toward only producing 650 components and importing the other one hundred from B, it sees that it can now produce goods faster then C. Furthermore, A sees it's higher cost of buying these goods from B negated, as their gains for now only producing 650 components outweighs the additional cost of exporting the other hundred.
So here is where the Tash-Murkon workforce needs to be molded. They have to become experts in efficiency, operation, and production. Further more they must develop an educator mentality and must also become life long students themselves. As the work to extirpate thralldom advances, and more and more colonies come on line for goods production, they can then mold these colonial planets toward meeting the requirements to have a comparative advantage for trading with other economies within the Amarr Empire, Caldari State, Khanid Kingdom, and Ammatar Mandate. The basic strategy being to develop 'on demand' comparative advantage trading partners for material and components manufacturing across sovereign state borders.
(to be continued.)
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"Our greatest glory is not in never falling, but in getting up every time we do." - Confucius, Chinese philosopher & reformer (551 BC - 479 BC.) |
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