Realistic Taxes


#1

Let’s be honest, it’s super easy to win Democracy 3 just by increasing the income tax and making a few adjustments to the country. This mod aims to change that by making the tax policies have much more realistic effects on people and the economy. If you have any questions about this mod or have any complaints or suggestions feel free to post in this thread about it.

What this mod does:
V1.11:
Poverty rates for flat income tax have been adjusted so that even a somewhat small flat income tax can substantially increase poverty.
V1.1:
Airline Tax does slightly more damage to the GDP.
Alcohol Tax does a a small amount of damage to the GDP.
Capitalists are now more offended by Capital Gains Tax.
Capital Gains Tax does more damage to the GDP.
Corporation Tax now does more damage to the GDP.
Capitalists don’t get that mad about Flat Income Tax until it is high.
Flat Income Tax no longer hinders equality.
Now everybody doesn’t like Flat Income Tax.
Flat Income Tax now reduces the GDP.
Poor, Middle, and High Earnings are now damaged equally by Flat Income Tax.
At higher rates Flat Income Tax will drastically increase poverty.
Graduate Tax now harms education.
Wealthy people now hate income tax even more, and they won’t just not care about smaller income tax rates anymore.
Income Tax now enrages capitalists a bit more.
Everybody doesn’t like Income Tax.
Income Tax now hurts the GDP.
People who belong in the Middle Income group don’t hate Income Tax as much.
Income Tax will now increase poverty, at higher levels especially.
Everybody hates Internet Tax now.
Poor people now dislike Internet Tax.
Luxury Goods Tax now damages the GDP a bit.
Petrol Tax now will still damage GDP at lower rates.
Property Tax hurts Private Housing.
Everybody doesn’t like Sales Tax.
Sales Tax will hurt the GDP.
Tobacco Tax now hurts the GDP.
Realistic Taxes 1.11.rar (6.89 KB)
Realistic Taxes 1.1.rar (6.62 KB)


#2

I love the concept and most of the execution of this mod. I will speak out about one issue that I take with the mod however, and that is how the Flat Income Tax affects different groups equally now. This is not very realistic. I think an example is in order here. Suppose the government sets a flat tax rate of 20%. Let’s say that I earn $20,000 a year, while my friend earns $200,000 a year. Who is more affected? Well, since the poor spend more money as a percentage of their income (they usually have to spend more than their income and go into debt) than the rich do (a lot more of their money goes into savings), than it should be clear that I, who has to spend every penny that I earn, am far more affected than my friend who has money left over to save. As such, a flat tax would most likely start to exacerbate poverty at what appear to be relatively low levels, because taking a fifth of a poor man’s money does way more harm than taking a fifth of a rich man’s money. This is the reason why the flat taxes hinders equality in the base game.


#3

Thank you for your constructive criticism. I have changed the way that flat income tax affects poverty, so even at smaller rates such as 20% it will still have a discernible effect on it. If you have any more suggestions or critique for this mod then I would be happy to try to change this mod for the better based on your suggestions.


#4

I’m very new to this, so please excuse me if I’m way off base. I bought my first game, Democracy 3, because I wanted to see what replacing all taxes with an automated transaction tax would do to the economy…guidance on this?