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A workable fantasy economy?
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<blockquote data-quote="Jezrael" data-source="post: 5018414" data-attributes="member: 1591"><p>When someone asked a similar question on RPGnet, back in May I posted this:</p><p></p><p>Honestly? Until the fantasy version of Adam Smith comes to being in your world the nations of that world will probably follow either a Feudal or Mercantilist economic philosophy.</p><p></p><p>Feudal economics is more a matter of power dynamics brought about by the lack of central governmental and administrative authority. Lots of barter, some coin amongst a rising middle class and the aristocracy, and a desire by the ruler of a country to start lowering the power of feudal lords and concentrating it into himself.</p><p></p><p>Such a concentration of power will lead somewhat naturally to Mercantilism, it appeals to the desire to concentrate power in the hands of the ruler. So the typical fantasy country united by a single ruler will most likely have a Mercantilist system.</p><p></p><p>Which basically states that a nation's amount of capital (represented by gold and silver bullion) is the most important thing and that the volume of international trade is unchangeable.</p><p></p><p>A given country will try to:</p><p></p><p>- Use every last scrap of the countries national resources for the good of the country (ie the ruler)</p><p>- Limit imports of finished goods from foreign countries.</p><p>- Attempt to fob off their surplus finished goods to other countries</p><p>- Attempt to get as much gold and silver as possible in the treasury in order to limit the capital of other foreign countries.</p><p></p><p>In Mercantilism, unlike Capitalism, the economy is a zero-sum game. If Fantasyland 1's economy is growing, Fantasyland 2's is falling.</p><p></p><p>Some things mercantilism gave us on Earth were government supported monopolies such as the East India Trade Company and the idea of letters of patent.</p><p></p><p>In a fantasy setting, on a day to day basis this means:</p><p></p><p>- a limit on the number of companies trading in items. Prices will be stable because of monopoly and lack of inflation (only so much gold to go around). This means the prices won't be that much different from your player's book prices</p><p>- A high incidence of black markets, as a way around monopoly.</p><p>- Imperial ambitions on the part of most of the countries in the world.</p><p></p><p></p><p>Adding in magic:</p><p>- First, assume that the ruler has someway to keep a powerful magic-user(s) from deposing him or else that'll probably be what happens.</p><p></p><p>- Perhaps Magical might is seen as a new type of Capital to hoard. Magic items for sale? No f'ing way, at least not on the normal markets. Such items are too important for the security of the state.</p><p></p><p>- You most likely start getting alliances of wizards that want to monopolize magical theory and power getting corporate charters from the ruler. If you don't go with them you suddenly and mysteriously explode. Perhaps title and prominent positions in the government as well. See the Noblesse de Rabe of Louis XIV.</p><p></p><p>-Clerical magic...well it depends. I'll have to think about that some.</p><p></p><p>Adding in the actions of the typical adventurer:</p><p>- You slew the dragon, took its hoard, and the king gave you a nice title, some lands (probably in new conquests or frontier areas), and maybe let you keep some of the gold and a couple of lesser items. The rest, he will nationalise, or rather he'll send his wizard cadres to do so.</p><p></p><p>- You decide to throw the king the finger and keep it all. You might actually succeed in a game like D&D, you're there to disrupt the status quo. But you run a high likelihood of an early grave, because you now no longer have the protection of the local ruler. Now everyone wants the nice shiny capital you uncovered. get ready for a big ass fight. Hundred Years War Style.</p><p></p><p>- Whatever the case you actually give the economy an inflationary boost, prices start significantly changing for the first time in a long time.</p><p></p><p>Conclusion: For the most part nothing changes for the players. The prices in whatever PHB you're using stay roughly the same for long periods and then have some bumps as treasure is found. The thing that changes the most are the actions of NPCs. For most barter is the way things are done. Coinage will exist especially in cities, but the peasants will stay peasants. The rulers of nations will want to keep a close eye on adventurers so that they can swoop in and try and nationalize hoards and such. Magical items will be made for the security of the state and anyone with a sideline in the black market will be punished swiftly if found out.</p><p></p><p>I'm still not sure what kind of effect Clerical Orders will have, they will either be totally concerned with spiritual matters and the protection of their flocks, or more likely you'll get many tiny versions of the Papal States with priests and clerics in various countries as a kind of ambassadorial corps. The smart ruler brings the various churches into his administration, so that they owe more to him than to his 'Papal State' sponsor.</p></blockquote><p></p>
[QUOTE="Jezrael, post: 5018414, member: 1591"] When someone asked a similar question on RPGnet, back in May I posted this: Honestly? Until the fantasy version of Adam Smith comes to being in your world the nations of that world will probably follow either a Feudal or Mercantilist economic philosophy. Feudal economics is more a matter of power dynamics brought about by the lack of central governmental and administrative authority. Lots of barter, some coin amongst a rising middle class and the aristocracy, and a desire by the ruler of a country to start lowering the power of feudal lords and concentrating it into himself. Such a concentration of power will lead somewhat naturally to Mercantilism, it appeals to the desire to concentrate power in the hands of the ruler. So the typical fantasy country united by a single ruler will most likely have a Mercantilist system. Which basically states that a nation's amount of capital (represented by gold and silver bullion) is the most important thing and that the volume of international trade is unchangeable. A given country will try to: - Use every last scrap of the countries national resources for the good of the country (ie the ruler) - Limit imports of finished goods from foreign countries. - Attempt to fob off their surplus finished goods to other countries - Attempt to get as much gold and silver as possible in the treasury in order to limit the capital of other foreign countries. In Mercantilism, unlike Capitalism, the economy is a zero-sum game. If Fantasyland 1's economy is growing, Fantasyland 2's is falling. Some things mercantilism gave us on Earth were government supported monopolies such as the East India Trade Company and the idea of letters of patent. In a fantasy setting, on a day to day basis this means: - a limit on the number of companies trading in items. Prices will be stable because of monopoly and lack of inflation (only so much gold to go around). This means the prices won't be that much different from your player's book prices - A high incidence of black markets, as a way around monopoly. - Imperial ambitions on the part of most of the countries in the world. Adding in magic: - First, assume that the ruler has someway to keep a powerful magic-user(s) from deposing him or else that'll probably be what happens. - Perhaps Magical might is seen as a new type of Capital to hoard. Magic items for sale? No f'ing way, at least not on the normal markets. Such items are too important for the security of the state. - You most likely start getting alliances of wizards that want to monopolize magical theory and power getting corporate charters from the ruler. If you don't go with them you suddenly and mysteriously explode. Perhaps title and prominent positions in the government as well. See the Noblesse de Rabe of Louis XIV. -Clerical magic...well it depends. I'll have to think about that some. Adding in the actions of the typical adventurer: - You slew the dragon, took its hoard, and the king gave you a nice title, some lands (probably in new conquests or frontier areas), and maybe let you keep some of the gold and a couple of lesser items. The rest, he will nationalise, or rather he'll send his wizard cadres to do so. - You decide to throw the king the finger and keep it all. You might actually succeed in a game like D&D, you're there to disrupt the status quo. But you run a high likelihood of an early grave, because you now no longer have the protection of the local ruler. Now everyone wants the nice shiny capital you uncovered. get ready for a big ass fight. Hundred Years War Style. - Whatever the case you actually give the economy an inflationary boost, prices start significantly changing for the first time in a long time. Conclusion: For the most part nothing changes for the players. The prices in whatever PHB you're using stay roughly the same for long periods and then have some bumps as treasure is found. The thing that changes the most are the actions of NPCs. For most barter is the way things are done. Coinage will exist especially in cities, but the peasants will stay peasants. The rulers of nations will want to keep a close eye on adventurers so that they can swoop in and try and nationalize hoards and such. Magical items will be made for the security of the state and anyone with a sideline in the black market will be punished swiftly if found out. I'm still not sure what kind of effect Clerical Orders will have, they will either be totally concerned with spiritual matters and the protection of their flocks, or more likely you'll get many tiny versions of the Papal States with priests and clerics in various countries as a kind of ambassadorial corps. The smart ruler brings the various churches into his administration, so that they owe more to him than to his 'Papal State' sponsor. [/QUOTE]
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