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And then this happens. A massive shift in policy, happening overnight. It completely took me by surprise. There had been no discussion of it this term. We had discussed it in the previous term, and president
Jude Connors agreed at the time that making this change would be a bad move. And yet here it happened, in the literal dark of the night. There was no discussion on the forums. There was no discussion with Congress. I sure wasn't involved in any such discussions. And interestingly, you'll note that comments are disabled on that article. Why would our esteemed Secretary of the Treasury 
Fredrick Jackson be so set on avoiding discussing such a momentous move? I'm sure I have no idea.
But it seems clear to me that there's really no point in myself continuing in any sort of advisory role, if I'm not going to be brought in on such major discussions. To, y'know, advise. Consider this my resignation.
Now, onto the policy.
The peg is a complicated mechanism. It exists to control the release of currency (USD) into the economy, so that the money supply matches the necessary amount to maintain the peg amount. A certain value of USD correlates to the demand of the economy. USD is constantly being removed from the economy via taxation and via dead people taking it to their graves. So to maintain a steady value, the government must sell USD to counterbalance it. If the economy booms, demand for USD will increase, and the supply needed to maintain that steady value will increase as well. The economy has been booming lately, which has led to a need for currency prints. This USD sells, the government makes gold, the value of the currency is maintained, and all is well.
But what happens if you try to double the strength of the currency overnight, as the government just did? Now you need half as many USD as you have to maintain that value. But you have twice as much as you need floating around. This means your USD isn't selling. It either needs to be bought back, at huge quantities and huge expense, or it will be slowly removed by taxes and attrition. Until the money supply is brought to half the level it was before (all else being equal), the government is not making gold.
But anyone who is holding USD is profiting. Profiting wildly. Each dollar is worth twice what it was before now. I certainly hope nobody in on this decision to double the strength of the USD took the opportunity to stock up on USD before making the move. But the net effect here is the government essentially giving thousands upon thousands of gold to whoever happened to be holding it at the time of the shift. According to the SoT's estimations, there is 400,000 USD in private circulation. That's 8,000 gold worth at the previous value. It's 16,000 gold worth at the new value. That extra 8,000 has to come from somewhere. That gold is either coming from the government coffers, or coming out of future revenues.
This shift is costing the government 8,000 gold. Don't talk to me about gold spent on printing. It's a pittance compared to this. This move takes 8,000 gold out of government coffers, and gives it to whoever happens to be holding the USD out in circulation. And a whole lot of it is held by non-Americans.
Nevermind the short-term damage this shock will cause to our economy. Nevermind the reduction in price flexibility this will inflict upon our raw material markets. This move cost our country an enormous amount of gold, but spurious benefits. This will not destroy our country, but it will hurt.
I will be charitable and attribute this to a misunderstanding of economics. A terribly disappointing one.
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About the game:
USA as a world power? In E-Sim it is possible!
In E-Sim we have a huge, living world, which is a mirror copy of the Earth. Well, maybe not completely mirrored, because the balance of power in this virtual world looks a bit different than in real life. In E-Sim, USA does not have to be a world superpower, It can be efficiently managed as a much smaller country that has entrepreneurial citizens that support it's foundation. Everything depends on the players themselves and how they decide to shape the political map of the game.
Work for the good of your country and see it rise to an empire.
Activities in this game are divided into several modules. First is the economy as a citizen in a country of your choice you must work to earn money, which you will get to spend for example, on food or purchase of weapons which are critical for your progress as a fighter. You will work in either private companies which are owned by players or government companies which are owned by the state. After progressing in the game you will finally get the opportunity to set up your own business and hire other players. If it prospers, we can even change it into a joint-stock company and enter the stock market and get even more money in this way.
In E-Sim, international wars are nothing out of the ordinary.
Become an influential politician.
The second module is a politics. Just like in real life politics in E-Sim are an extremely powerful tool that can be used for your own purposes. From time to time there are elections in the game in which you will not only vote, but also have the ability to run for the head of the party you're in. You can also apply for congress, where once elected you will be given the right to vote on laws proposed by your fellow congress members or your president and propose laws yourself. Voting on laws is important for your country as it can shape the lives of those around you. You can also try to become the head of a given party, and even take part in presidential elections and decide on the shape of the foreign policy of a given state (for example, who to declare war on). Career in politics is obviously not easy and in order to succeed in it, you have to have a good plan and compete for the votes of voters.
You can go bankrupt or become a rich man while playing the stock market.
The international war.
The last and probably the most important module is military. In E-Sim, countries are constantly fighting each other for control over territories which in return grant them access to more valuable raw materials. For this purpose, they form alliances, they fight international wars, but they also have to deal with, for example, uprisings in conquered countries or civil wars, which may explode on their territory. You can also take part in these clashes, although you are also given the opportunity to lead a life as a pacifist who focuses on other activities in the game (for example, running a successful newspaper or selling products).
At the auction you can sell or buy your dream inventory.
E-Sim is a unique browser game. It's creators ensured realistic representation of the mechanisms present in the real world and gave all power to the players who shape the image of the virtual Earth according to their own. So come and join them and help your country achieve its full potential.
Invest, produce and sell - be an entrepreneur in E-Sim.
Take part in numerous events for the E-Sim community.
