NationStates Jolt Archive


Kroandon Kapitalizm [Open for Comment]

Kroando
19-10-2007, 04:10
Kroandon Kapitalizm
Overview

Kroandon Kapitalizm is in the most general of terms, a capitalistic economy in which the government does not merely abide by a laissez-faire ideology, they take a hands on approach to back business. The only two areas completely funded and controlled by the Koalitionist Government are that of the military, and the Law and Order sector. [Actually incorrect, prisons are privitized]. There exist very few written laws regarding issues such as minimum wage, labor practices and organized labor unions. However there are certain incentives and competing intrests which push big business to pay adequate prices, the first being the fact that certain industries are controlled by the same 'Korporations' [Kroandon Word for large Coporations that dominate economies]. If the owner of the factory also owns the apartment complex that the worker lives in, he will not pay the worker so little that he cannot extract the rent from him.

Additionally, unlike in most countries, there is no large unemployed labor market from which companies may go to should they wish to lower their wages. The unemployed are sucked up by the government, and thrown into either the army, or forced labor. Furthermore Kroandon companies cannot outsource labor in mass quantities. The reason is simple. It is extremely expensive to ship goods from foriegn nations to Kroando [due to the 5,000 miles of separation and artic conditions to name a few], thus, the money saved in production would be spent ten fold in transportation.

However this is getting to specific. In general, the Korporations in Kroando are so powerful and their human resources so limited, it is actually in their intrest that the people be well enough off so that they may continue working at an maximum level. The Kroandon people work hard, and they are compensated for this work. It is however important to note that there are several non-Korporation controlled industries, which are moderately protected by the government. Small scale distributors, businesses and retailers exist merely because it would not be worth the economic output needed to harness them, and therefor, they constitute a small percentage of overall business. Additionally there are scores of medical and legal professionals who operate outside the control of the Korporations.

Raw Resources - Colonies and Developing Countries

Kroando is for the most part, situated on the island of Antartika in South Atlantic. Antartika initially had large coal, uranium and iron ore deposits. The coal and iron was quickly depleted, due to the vast requirements of the growing country in the construction of the eight MegaCities. The uranium however was not only underexploited, it was by far the most vast of the various resources. And it would turn out to be to the Kroandon's benefit, as nuclear power generates the entire country, with minimal exceptions for geothermal energy.

However needless to say, this leaves a massive need for foriegn materials. Not merely obvious goods such as lumber and coal, but simply material which they could use. Trash, garbage, shattered concrete, old tar, things which most the world takes for granted, actually holds value in Kroando. Korporations such as Junkers Korp. rake in billions every year simply by using their vast transportation fleets to pick up shit from around the world, and selling it to other companies inside Kroando.

Developing countries and Kroandon colonies are therefor extremely exploited for the good of the Antartikan MegaCities. Some economists call Kroandon Kapitalizm, 'Pirate Economics', for their policies of 'stealing' from foriegners for their own benefit. In a world where the ends always justify the means, Korporations rarely hesitate to install dictators into 3rd World Countries in order to procure mining rights and political slaves from which to harvest the resources. Forests are leveled, mass quantities of raw goods are purchased with promises of protection, and it is even said that cities are leveled simply so that the material it was made from can be taken to Kroando and remade.

Various Industries and their Korporate Controllers

HydroKorp. HydroKorp began as the sole provider of water in the country, making it one of the most powerful Korporations in the nation. They run over 1,475 'Ice Harvesting Plants' throughout Antartika, positioned in the areas of the country with the heaviest snowfall. That snowfall is harvested through massive tractors, torching facilities, men with shovels and various other means. The snow is melted en masse, millions of gallons an hour, and transported via subsurface-heated pipe to the cities. Additionally they pump millions of gallons directly out of the ocean, and push it through desalinization plants faster than any could believe. HydroKorp owns considerable housing, which they lease to their workers, whom only work 4 months a year, yet are housed for 12, and paid for 8. HydroKorp also controls the agricultural sub-terranean farming industry, which in effect, feeds 60% of the nation. [Employs roughly 20% of the workforce]

Helicon Korporation. One of the most high tech and influential Korporations in the nation, it controls all military technology and scientific research. Its cutting edge hardware and military software keeps it as one of the most vital in the Kroandon 'Empire', which requires ever developing military weaponry. It is also heavily involved in civilian computer and communications technology, being the private owner of most Kroandon Satellites, [military and civilian], as well as the producer of computer games, software, spyware, virus programs and anti-virus programs, and many more related fields. [Employs roughly 3% of nation]

The Junkers Konglomerate. The Junkers Korporation absorbed many other smaller rival companies, and now controls the importation of all foriegn goods. As most nations are simply too afraid to attempt shipping goods into Kroando, the Junkers Korp. not only harvests junk and garbage for sale at Kroandon markets, but it also acts as a middle man between Kroando and the rest of the world. It, for all intents and purposes, controls the importing of all goods. [Employs roughly 7% of workforce]

Honvorg Iron&Arms. Honvorg controls the production of steel, iron, tin, copper and all other sorts of processed metals. Conviniently they also contol the production of metal goods, including industrial machinery, automobiles, and all heavy weapons in the Kroandon Military. They are the largest purchasers of Junkers products, as they take in mass amounts of raw material and grind it up into something new. They also control the massive cement industry of Kroando, as well as various other 'heavy industry goods'. They also own a massive proportion of medium and low income housing, which are rented almost exclusively to their own workers. [Employs 45% of workforce

KEK / Kroandon Energy Konglomerate. KEK, as it has come to be called, controls the massive nuclear power plants below every city, as well as the geothermal energy plants scattered throughout the nation. While this is their main source of income, with the various Korporations, and even the government paying through the nose to keep KEK on it's feet, they also employ million in their recycling business, on which they have a government sponsered monopoly. The massive amount of recycled goods are made into burnable energy, which is sold and distributed throughout the nation. [5% of Workforce]

Labor Resources

As was stated earlier, it is financially unwise for any of the major Korporations to outsource labor to foriegn markets, simply because the transportation costs of moving the product back to Kroando would exceed the costs saved in labor. Additionally each of the companies is so influential in the nation, their outsourcing of labor would impact the nation so fiercely so as to inhibit the consumers ability to purchase these goods in the first place. Finally, it is very unlikely that the government would allow any significant amount of labor to be taken out of the country.

There is a mandatory labor law within Kroando, thus anyone not employed, it effectively a criminal. The Korporations have a government obligation to employ to their maximum capability, and should they not do so, will suffer reprocussions in the form of fines, penalities and executions. The government additionally employs millions more, providing small, but laborous jobs to civilians in exchange for housing and food. Those that are left [tens of millions], are thrown into forced labor camps, camps which harvet rock and ice, among other things. There is also considerable slave labor in Kroandon Colonial assets.

Another issue is that of child labor. It is infact somewhat common place, with the poorer elements of society often sending their children into the workforce. However where is becomes peculiar is in the realm of education. The government sets aside exactly two cents a year for education, simply so that the Lord Protector can legitimately say he donates funds. The educational sector is run by private schools. The most elite private institutions host about 10% of the nation's children. The sons and daughters of the Capitalists, the Stock Holders, the Lawyers, the Doctors, the Upper-Koalition Member's children... those who run the country go to such insitutions as UVike, Morgon University, and Kharne Univ. However 55% of the nation's child population [18 and under] is enrolled in school. These 45% are those whom are hand picked by other 'Intermediate' schooling institutions. These children are given admission to school, and allowed to learn, free of charge. But who pays for it? The parents usually would not be able to afford such education, the government gives nothing, and charities only educate a small religious minority. The Korporations fund these schools. They are well aware that without another generation of skilled workers, the future is doomed. So while the majority of children work, 45% go to school. And those 45% are the best the country has to offer.

Healthcare and Insurance is obviously not the concern of the government. It is however, the concern of the company. As has been made clear, it is in the best interest of the Korporations to maintain their workforce, to keep it healthy and operating. Thus, medical expenses are taken aboard by the Korporations, with many Korporate Medical Practices and Doctors throughout the nation. However the majority of health professionals are private operators. The Korporations simply cannot afford to have their workers sick, dying or not working properly. They are assets, yes, but they are well treated assets.

[This is completely open to questions, comments, suggestions and 101 Reasons as to why Communism is a better economic system than Capitalism. Feel free to post IC'lly or OOC'lly.]