NationStates Jolt Archive

I just want to know if there is a connection between your taxation and your level of economic freedom. How is it that in this game your nation can have high levels of economic freedom yet at the same time have a 100% tax? I was under the impression that with a 100% tax your economic freedoms would go down because all the money your business makes will go straight to the government thus giving your citizens no reason to have a business. A 100% tax would mean that you are totally socialist or communist which would mean that less economic freedom is allowed :confused: Can someone give me the reasoning behind this? Or is there just no relationship.

I'm pretty sure that the level of economic freedom you're referring to (in the table at the top of the page, along with Civil Rights and Political Freedoms?) represents the overall strength of the economy, not its level of freedom.