Preliminary Draft on Finding the Total Economic Potential

To begin, I should address the fact that this will be a regular blog post, rather than a new entry in the SMP Compendium. The reason is because I am still working on my readings of Der Arbeiter and articulating the equations of the Work-Standard. It would seem that Der Arbeiter was critically acclaimed and even banned by the Hitlerists during the Third Reich years. The book’s pre-1945 reputation for providing an unconventional metaphysics on Nationalism and Socialism perpetuated itself post-1945. I will elaborate on that in “Part V of VII.”

Speaking of which, during my efforts to update the Blog and register a new free domain, I have been experimenting with the equations used to find the Quality of Arbeit. The ideas therein proved vital in trying to figure out the other equations used by the Work-Standard. The equations in question for the Quality of Arbeit formula were as follows:

WP(FM) – WI = Arbeit of a single Vocation

[WP (FM) – WI] * Number of all Vocations = Arbeit of an entire Profession

Profession * Mechanization Rate = Quality of Arbeit

(Quality of Arbeit / Vocations) – Paygrades – Dependent Payments = State Revenue

Given these equations, we can deduce how to find the equations needed for the formula to determine the “Total Economic Potential” (TEP). With TEP and given values for the “Total Economic Socialization Rate” (TXR) and the Attrition Rate, I can find the “Real Total Economic Potential” (RTEP). And if I know all of the above, I can figure out the formulas and equations used in the financial side of the Work-Standard. That includes the “Quality of Geld,” “Total Financial Potential” (TFP), “Real Total Financial Potential” (RTFP), and so forth.

To find the TEP, finding the Arbeit of the entire national economy is needed. The equations I had used in the Quality of Arbeit formula only went as far as finding the Arbeit of a single profession, independent of the rest of the national economy. Going back to the first two equations, they would be formatted as such:

[(WP(FM) – WI) * Number of Vocations] = Arbeit of a Profession

(Arbeit of a Profession – Expenditures) * No. of Enterprises = Arbeit of an Industry

Industry + (Other Industries – Expenditures) = Arbeit of an Economic Sector

[Sector + (Other Sectors – Expenditures)] * Mechanization Rate = Total Economic Potential

Basically, we would determine the Arbeit of 1 Vocation, multiplied by all of the Vocations that constitute a given Profession. We then proceed to find the product of the Enterprises that they are employed under and deduct their expenses to find the Arbeit of their Industry. Do the same for all of the Industries within each Economic Sector before finding the sum of Arbeit for the whole Sector. Add the Sector we chose to the other Sectors of the national economy, subtract the expenses of the other Sectors before finally multiplying the Mechanization Rate to find the Total Economic Potential.  Note that Quality of Arbeit enables us to figure out how much Arbeit can be generated by 1 Vocation before it can be converted into Geld at any given point in Zeit.

As for the “Total Economic Socialization Rate” (TXR), in this context, it will be a given value. The equations and formulas for it and the “Net Economic Foreignization Rate” (NOR) will need to be explored in future post or Compendium entry. The same will also be true for the other formulas and equations for the financial side of the Work-Standard, where we can finally convert Arbeit into Geld. That includes finding the State Revenue, which is also one of the financial sides of the Work-Standard.  

Categories: Blog Post, Compendium

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