The MERS works on the following simplification: if your economy goes down in NS, then your currency will experience inflation in order to attract more investment and exporting, similar to what China is doing now. Once a week, the state of the economy will be checked over and the exchange rate changed accordingly. Here's how the maths works:
Initially, there is currency a and b and the relationship between them, x: a = xb, where you can choose the initial x in the form.
After a week, da represents the change in the state of the economy of a and db represents the change in the state of the economy of b. The formula for the exchange rate is:
a = (x-(db-da))b so if db is larger than da - economy b is doing better - then the final x will be smaller and thus currency b will be more powerful. Currency a will experience inflation with respect to b and this will help it regain competitiveness. Similarly, the inverse currency exchange will be calculated as follows:
Initially: b = a/x then later b = a/(x-(db-da)).
This system is recommended for serious and economic nations. It will only involve five members to keep things simple for now. I hope that others will find this intriguing and promising. Even after you apply, it may take a while before I set up everything.
FORM:
- Code: Select all
Nations Name:
Government type:
Region:
Currency:
Currency three-letter reference:
Name of currency's central bank:
Initial value of x to Plessurli nucleon (PLN):
State of economy/100:
Do you share you currency with any other nations?
Does your government owe money to any of the above nations?
Reasons for joining:
