ITNES I - An Epoch of Change

Thanks alot! Remember, it's an IC drama. Been reading Maria Stuart (Schiller) and Romeo&Juliet lately, so sorry :P.
 
1EP/LVL. MjM is confused and deluded. ;) Also, if you do any more than 2 growths in a given service (Army or Navy) without paying to "Maintain Training" your training will drop. Rule of thumb is 1EP for every 2 Growths to maintain, making it rather expensive to field large, high quality armies.
 
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EXCERPTS FROM “THE PRINCIPLE OF ECONOMY”[1]
Authored By Dian Chaiman
Published 16.04.0893AF

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“It is worth the digression, for the sake of clarity, to distinguish between two different and equally important forms of economic expansion: the vertical and the horizontal. Vertical expansion is, as its name might suggestion, expansion in depth, while horizontal expansion is expansion in breadth. In effect this is an expression of quantity versus quality; a man might have five fields that out-produce another man’s ten fields by being more efficient, or the man with ten fields might out-produce a man with five fields by simply having more of them. There has been considerable variation in practice over which of these systems is better implemented and much debate over which is superior, with no clear consensus on the matter. In practice, vertical expansion can best be viewed as the infrastructure of a nation—its territorial quality—and horizontal expansion can be viewed as the land ruled by a nation—its territorial quantity”

"Although it is an accepted fact of modern economic theory that an absolute limitation on capital and currency (mercantilism) is an outdated concept, this does not necessarily mean that wealth may simply grow uncontrolled in an infinite fashion. Quite the contrary, as has been demonstrated by the exploits of the Asian powers, there is a certain point beyond which markets can no longer easily grow—this is known as market saturation[2], when a market has become too inundated with goods and competition for it to easily shift. This form of stagnation therefore places an upper limit upon the maximum possible extent of vertical expansion.”

“Relative to vertical expansion, horizontal expansion can be relatively inexpensive. Its manner of acquisition is of a different kind than vertical expansion, though it too also costs capital. Its price however, is more often measured in lives than gold or other currencies. Rather than springing forth from the coin of the merchant or the back of the laborer, more often than not horizontal expansion instead comes from the sword of a soldier. Land is most easily acquired through force of arms, and as a result, from war, in this case from the distinctly political form of war[3]. The historic problems with expansion through conquest have been well-noted in other sources, including rebellion, regionalism, and fragmentation […]”

“It has been historically observed in most successful nations that their success has been achieved through a combination of both horizontal and vertical growth, although these have been implemented to varying degrees by different powers. Exceptions do occur, but it is notable that most nations that employ one method over another tend to falter in the long run. A historical example of a horizontal expansion nation is Bactrasha; despite being powerful and vast in area, its internal cohesion and support structure was limited, and with insufficient public support the entire system collapsed almost spontaneously. At the opposite end, in vertical expansion, is Choson. Despite being compact and highly efficient its relative lack of territorial expansion has often lead to its conquest by surrounding powers; notable China and Nihon. Further examples are readily available […]”

“The examples of nations which have successfully managed to balance these two concerns would constitute a listing too vast to be encompassed even within this work, but it is neither hyperbole, exaggeration, or nationalistic[4] to assert that the Khmer Empire has been amongst the most successful in this endeavor, not just for its current scope, but also for its sheer longevity […]”

“A third method of economic growth is to be had, although it is only truly an option for nations already possessing a measure of capital, and that is tangential growth. It is possible, by virtue of investiture in client states, to increase their vertical or horizontal expansion in order to return an investment on that investiture. This philosophy of economics is only a recently developed one compared to its brethren, and is consequently lacking in historical examples, however those examples that exist demonstrate its potential viability as a competing strategy […]”

“What does the future hold? It is safe to say a point will be reached beyond which the new opportunities for growth are no longer in growth. It will always be possible to continue all three forms of expansion; however, eventually territory will run out, markets will reach saturation, and investments in foreign markets will yield diminishing returns. It is impossible for trade to continue to increase in perpetuity in established markets. The chief measure for economic growth, both past, present, and future, will be the continual progress of man’s understanding of nature, and his application of that knowledge in creating new, developing markets of as-yet-unknown products and services.”

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[1] Known later as “Principia Frugalita” in the west, among other titles.
[2] Which is a different concept here than OTL market saturation, more akin to market maturation.
[3] See also Court Transcripts, Empress Aya Aidan, 12.03.0852AF
[4] Similar connotations to OTL, but more related to egotism or jingoism of a nation or a nation’s citizens toward the nation. More pride or superiority than patriotism.
 
From: Tiwanaku
To: Huancac

You had inflicted damage on our land as well, so we are probably even; we will not pay tribute. Apart from that, your proposal is acceptable.

We will agree.
 
In the interest of piece we are willing to assist Tiwanaku in repaying you, though not for all you asked for here. In five years time (i.e. update 10) we will render you the sum of [1 EP] and in the meantime send our people to help reconstruction in your southern territories, just as we will be offering our technical assistence to the Tiwanaku state. All we ask for in return is open access to your markets and that the peace agreement be adhered to.
Thank you, but peace has been made. Trade with us is permitted, but we will control access to our markets and our nation.
OCC: Just a tip Birdjaguar, if you feel the need to fake some more PM'd diplo in the future, try and put some proper effort in ;).
Hmm IIRC, I mostly deleted some stuff and sent along an abreviated version. Those Tiwanakus have short attention spans and don't read well enough to grasp the content of long documents.
 
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