Compendium: Domestic Accounts for Inflowing Arbeit, Outflowing Geld

Total Productive PotentialIncome (TPP Account)Production (LER Account)Mobilization (SI-EF Accounts)
(State Budget + People’s Geld)(RTEP + RTFP)(NSFIs + State Investments)  
Over the course of the entry and the next three, we will be expanding our previous math equations to include other variables still unaccounted for this Section. Prior to the entry, all of our equations have been designed from the premise that the Socialist nation is still relying on 19th and 20th century technologies, not 21st and 22nd technologies. Thus, expect the table to expand because everything will be consolidated in the final three entries of this Section.

For this SMP Compendium entry and the next three entries, we will be working with four separate sets of expanded equations that address all factors which have not yet been accounted for under the Command-Obedience Account Bookkeeping and the TPP equation. Our goal is to consolidate everything learned from the other Sections in the rest of the Compendium, organizing them under the TPP equation’s “Income,” “Production,” and “Mobilization.” Every equation discussed from hereon will fall under those three categories.

The term “Inflowing Arbeit” refers to the fact that Arbeit is entering the Life-Energy Reserve without any direct intervention from the State. Everything discussed here has the State receiving Arbeit from the Totality or another nation in the context of Real Trade Agreements. As for the term “Outflowing Geld,” it refers to the fact that the State is sending Geld to the Totality or another nation in the context of Real Trade Agreements. Included here are Taxes, State Investments and Foreign Investments, Digital Arbeit and Digital Geld, People’s Surcharges, Imports and Exports.  

Pay very close attention and understand the Intent that went into creating the following equations. I am about to demonstrate what is going to happen if the Socialist nation makes a shift from 19th and 20th century analog technologies to more recent 21st and 22nd century digital technologies. All equations up until this entry were written to simulate the Socialist nation still relying on older analog technologies and is recently beginning to develop digital technologies.

1. Equations of LERE (Life-Energization Reciprocal Electrification) processes

The LERE (Life-Energization Reciprocal Electrification) process has Digital Arbeit and Digital Geld originating from all economic and financial activities on the national Intranet of the Socialist nation, its access to the international Internet and a national Intranet of another Socialist nation with its Currency pegged to the Work-Standard. We will need to determine how Digital Arbeit and Digital Geld are both converted into actual Arbeit and Geld before converging on the Life-Energization Reciprocity process. The LERE process begins with us perceiving the equation for the LER Account as this:

LER Account = (RTEP + RTFP) + LERE

LERE = EDW + EDM

EDW = Electrified Quality of Digital Arbeit

EDM = Electrified Quality of Digital Geld

What we need to do is mathematically rewrite the entire equations for the TEP and TFP Formulas so that the LER Account then reads:

LER Account = RTEP + RTFP

RTEP = (TEP + EDW) / Attrition Rate

Attrition = (TEP + EDW / RTEP) * 100

RTFP = (TEP + EDW) + (TFP + EDM) / Attrition Rate

Attrition = [(TEP + EDW) + (TFP + EDM) / (RTEP + RTFP)] * 100

By doing so, we can account for all of the Digital Arbeit and Digital Geld that originated from the the Socialist nation’s Intranet and access to the Internet and other Intranets. A special equation is needed by LERE Refineries convert the Digital Arbeit and Digital Geld into physical ones.

2. Equations for conversions of LERE to LER (Life-Energization Reciprocity)

Once the LER process is brought online vis-à-vis the LERE process, the Socialist nation can now achieve economic growth from within its own national Intranet. The secret is the implementation of a special “Blockcycle” where the owner of a website contributes Arbeit by offering an online service. Any Vocation that engages in both offline and online services will receive a bonus Force Multiplier by 1.00 to account for the Blockcycle, which is a huge difference when one realizes that most Vocations in the VCS Economy generally have FMs ranging from 1.00 to 2.00. 

The Blockcycle basically involves the Quality of Arbeit and Quality of Geld equations in digital forms. Begin with the first step in the Quality of Arbeit (QW) Formula to a special variant of the Final Quality of Arbeit (FQW) called the “Electrified Quality of Digital Arbeit” (EDW). Important areas of interest are boldfaced, italicized, and underlined to demonstrate the Blockcycle:

Electrified Quality of Digital Arbeit (EDW) Formula

[Only Applicable if the VCS Economy is operating an Information Sector!]

([WP (FM) – WI] * All Vocations) = AP1 (Arbeit of a Profession)

Next, combine AP1 with the Digital Arbeit:

AP1 + ([WP(FM) – WI] * (All MATVs + MARVs + C-Wings + Robotics)) = DAP (Digital Arbeit of a Profession)

DAP * Mechanization Rate = Quality of Digital Arbeit for a Profession (QDP1)

Technology electrifies the whole Socialist nation when fielded by the Figure of the Arbeiter. The Arbeiter contributes way more Arbeit by programming his Technology to assist himself, tremendously boosting his own Quality of Arbeit through the electrification of his Will-to-Power.  

Continue the same operation for the rest of the Quality of Digital Arbeit equations.

(DAP+ … + DAPx) * Enterprises = Digital Arbeit of all Professions within an Enterprise (DAE1)

(DAE1 + … + DAEx) * Mechanization Rate = Quality of Digital Arbeit for an Enterprise (QDE1)

(QDE+ … + QDEx) * Industries = Arbeit of all Enterprises within an Industry (DAI1)   

(DAI1 + … + DAI) * Mechanization Rate = Quality of Digital Arbeit for an Industry (QDI1)

QDP + QDE + QDI = Electrified Quality of Digital Arbeit for the Digital Economy (EDW)  

Note: the EDW variable applies only for the Information Sector of the VCS Economy, which has only been around since the 1970s. Every economic activity in the national Intranet falls under the economic governance of that Sector. When we want to extend the Blockcycle’s EDW into the FQW as it enters the Life-Energy Reserve, we mark the transaction with a “LERE-Stamp.” Carefully encrypted, the LERE-Stamp includes the Arbeiter’s Rank, Name, Profession, Enterprise, and Industry. It also includes their Technology’s Manufacturer, Model, Variant (and Subvariant or Derivative, if any), Production Serial Number, as well as its Whereabouts, Dates and Times, Intents and the Schwerpunkt (Focal Point) of its activities.

The Blockcycle is halfway finished upon discovery of the EDW. It proceeds to find the special variant of the Quality of Geld Formula, the “Electrified Quality of Digital Geld” (EDM).

Electrified Quality of Digital Geld (EDM) Formula

[Only Applicable if the VCS Economy is operating an Information Sector!]

We begin with the first two steps in the formula to find the Quality of Geld, which was to find the Geld of Vocations within a Vocation (MP):

QP + (ES+ … + ESx) * No. of Vocations = Geld of Vocations within a Profession (MP)

MP1 * SR= Quality of Geld for Professions across Professions (MQP)

QP = Quality of Arbeit within a Profession

ES1 = Economic Socialization

SR1 = Scale / Duration of Production

Please remember that we are not relying on Final Quality of Arbeit (FQW). We are instead relying on the Electrified Quality of Digital Arbeit (EDW). Like the Quality of Arbeit Formula, the Quality of Geld Formula also changes. Therefore, we rewrite those first two steps as such:

[QDP1 + (ES+ … + ESx)] * (All Vocations + MATVs + MARVs + C-Wings + Robotics) = Geld of the Arbeiter’s Vocations and Technology (DMP1)

DMP1 * SR= Quality of Digital Geld for Professions with the Arbeiter’s Technologies (QDMP)

QDE1 + (ES+ … + ESx) * No. of Enterprises = Geld of the Arbeiter’s Enterprises and Technology (DME1)

DME1 * SR= Quality of Digital Geld for Enterprises with the Arbeiter’s Technologies (QDME)

[QDI1 + (ES+ … + ESx)] * (All Vocations + MATVs + MARVs + C-Wings + Robotics) = Geld of the Arbeiter’s Enterprises and Technology (DMI1)

DMI1 * SR= Quality of Digital Geld for Industries with the Arbeiter’s Technologies (QDMI)

QDMP + QDME + QDMI = Electrified Quality of Digital Geld (EDM)

Notice that I did not use the “MS” variable in the Electrified Quality of Digital Geld Formula. The “MS” variable, if one has already forgotten, was the “Geld of Sectors in the Economy” (MS) from the original Quality of Geld Formula. The same is also true for the “AN” variable, which is the “Arbeit of Industries within the Sectors of the Economy” for the original Quality of Arbeit Formula. Digital Arbeit and Digital Geld are created by the Information Sector, which exists as part of the VCS Economy.  

The process in which we integrate EDW with FQW for RTEP and EDM with FQM for RTFP bears an uncanny resemblance to that one famous Soviet slogan that Vladimir Lenin proclaimed in his speeches from 1920:

Communism is Soviet Power plus the Electrification of the Whole Country. Otherwise the country will remain a small-peasant country, and we must clearly realize that. We are weaker than Liberal Capitalism, not only on the world scale, but also within the country. That is common knowledge. We have realized it, and we shall see to it that the economic basis is transformed from a small-peasant basis into a large-scale industrial basis. Only when the country has been electrified, and industry, agriculture and transport have been placed on the technical basis of modern large-scale industry, only then shall we be fully victorious.”

[Read: Communism = Soviet Power + Electrification of the Whole Country]

What Lenin really meant was:

The Hegelian “Total Mobilization of Production for Dasein” is the Nietzschean “Will-to-Power of the Arbeiter” and the Kantian “Electrification of the Totality.”

The “Total Mobilization of Production for Dasein” is conducted by the ‘State’, “Will-to-Power of the Arbeiter” flows from an individual ‘Self’, and “Electrification of the Totality” is the whole Socialist nation. This is basically the Command-Obedience Account Bookkeeping discussed previously.

That accounting equation is “State = Self + Totality” or “State = Totality + Self.” The Arbeiter is only one Individual, a Self who exists as part of something greater, the Totality. The State is governed by the Totality in a functioning Council Democracy. Turning Lenin’s vague, metaphorical riddle of a slogan into mathematical language, we merge EQW and EQM into the Attrition/Inaction Rate and the variables TEP and TFP, the latter two of which will help us find RTEP and RTFP. 

3. Equations for State Foreignization Investments of Arbeit and Geld

International trade, specifically the Arbeit and Geld of State Enterprises operating in other countries and the Arbeit and Geld from Economic Foreignization by other nations. That includes any exportations and importations of goods and services at specialty department stores and shops where they are sold in foreign currencies. Thus, we will need two “State Foreignization Investment” (SFI) variables, one for RTEP and the other for RTFP. Both SFI variables must be integrated into the equations to find RTEP and RTFP.

Begin by finding the Attrition/Inaction Rate.

Attrition/Inaction Rate Equation (Only Applicable if RTEP and RTFP are Unavailable but TEP and TFP are being Electrified by EQW and EQM!)

[A/I] = Final Quality of Arbeit (FQW) + EQW / Final Quality of Geld (FQM) + EQM

We now know where EQW and EQM fit within the framework of Attrition/Inaction Rate. That means we know the rate at which Technology will contribute to Currency Depreciation/Appreciation. Proceeding to TEP, we revise that equation’s fourth step.

Total Economic Potential (TEP) Formula

[(WP(FM) – WI) * Number of Vocations] = Arbeit of all Professions (AAP)

(Arbeit of a Profession – Expenditures) * No. of Enterprises = Arbeit of all Industries (AAE)

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

[Sector + (Other Sectors – Expenditures)] * Mechanization Rate = TEP of Economy (AN1)

The VCS Economy has five Sectors: Natural, Industrial, Services, Information and Government. The value of “Other Sectors” for AN1 will always be three (3).  This is because we still need to account for EQW and SFI (State Foreignization Investments). We still do not know where EQW exists in the TEP Formula. Therefore, we determine the variable SFI1.

SFI1 is the difference of TXR (Total Economic Socialization Rate) and NOR (Net Economic Foreignization Rate) for all Arbeit and Geld that the Socialist nation gains from international trade.

SFI1 = TXR1 – NOR1

TXR1 = (Foreign Arbeit – Domestic Expenditures) + (Domestic Geld – Foreign Schuld)

NOR1 = (Domestic Arbeit – Foreign Expenditures) + (Foreign Geld – Domestic Schuld)

The TEP Formula for AN1 should now look like this:

[Sector + (Other Sectors – Expenditures) + SFI1] * Mechanization Rate = AN1

If we still do not know where EQW goes, the rest of the TEP Formula is:

AN1 + (AN2 * MR) + (AN3 * MR) + (AN4 * MR)+ (AN5 * MR) = TEP of the Whole Nation

AN1 = TEP of National Economy

AN2 = TEP of Student Economy

AN3 = TEP of Financial System

AN4 = TEP of Central Government

AN5 = TEP of International Trades

The significance of AN5will become clear in the other three entries. For now, we need to “electrify” the VCS Economy by rewriting those steps to find “EAN1”:

EDW + [(Sector + (Other Sectors – Expenditures) + SFI1) * Mechanization Rate] = EAN1

EAN1 + [EQW + (AN2 * MR)] + [EQW + (AN3 * MR)] + [EQW + (AN4 * MR)] = TEP

Or alternatively, “EAN1 + EAN2 + EAN3 + EAN4 = TEP”

EAN1 = The Will-to-Power of the Arbeiter and TEP of the National Economy

EAN2 = The Will-to-Power of the Arbeiter and TEP of the Student Economy

EAN3 = The Will-to-Power of the Arbeiter and TEP of the Financial System

EAN4 = The Will-to-Power of the Arbeiter and TEP of the Central Government

EAN5 = The Will-to-Power of the Arbeiter and TEP of the International Trades

With the most difficult aspects of the Work-Standard dealt with, the TEP Formula, we can finally determine where EQM fits within the TFP Formula.

Total Financial Potential (TFP) Formula

(MP + Revenue) * SR2 = Geld of all Professions (MAP)

(ME + Revenue) * SR2 = Geld of all Enterprises (MAE)

(MI + Revenue) * SR2 = Geld of all Industries (MAI)

(MS + Revenue) * SR2 = Geld of all Sectors (MAS)

SR= Density / Scope of Production

MAP + MAE + MAI + MAS = TFP of the Economy (MN1)

MN1 + (MN2 + Revenue * SR2) + (MN3 + Revenue * SR2) + (MN4 + Revenue * SR2) + (MN5 + Revenue * SR2) = TFP of the Whole Nation

MN1 = TFP of the National Economy

MN2 = Geld of the SSE

MN3 = Geld of the Financial Regime

MN4 = Geld of the State

MN5 = Geld from International Trade

Remember that the above equations were only for the VCS Economy alone. More importantly, we must now assume that the MN1 variable never accounted for both EQW and SFI2. We must determine SFI2, integrating it and the EDM into variables MAP, MAE, MAI and MAS by finding their sum to yield “EMN1” instead of just MN1.

SFI2 = TXR2 – NOR2

TXR = (Domestic NSFIs – Foreign Service Fee) + (Domestic Investments – Foreign Expenses)

NOR = (Foreign NSFIs – Domestic Service Fee) + (Foreign Investments – Domestic Expenses)

[(EDM + Revenue) * SR2] + [(MP + Revenue) * SR2]= MAP

[(EDM + Revenue) * SR2] + [(ME + Revenue) * SR2]= MAE

[(EDM + Revenue) * SR2] + [(MI + Revenue) * SR2] = MAI

[(EDM + Revenue) * SR2] + [(MS + Revenue) * SR2] = MAS

(MAP + SFI2) + (MAE + SFI2) + (MAI + SFI2) + (MAS + SFI2) = EMN1

EMN1 + (EMN2 * SR2) + (EMN3 * SR2) + (EMN4 * SR2) + (EMN5 * SR2) = TFP

EDM + MN2 + Revenues = EMN2

EDM + MN3 + Revenues = EMN3

EDM + MN4 + Revenues = EMN4

EDM + MN5 + Revenues = EMN5

RTEP and RTFP Equations (If TEP, TFP, and Attrition are all given)

RTEP = TEP / Attrition Rate

Attrition = (TEP / RTEP) * 100

RTFP = TEP + TFP / Attrition

Attrition = (TFP / RTFP) * 100

RTEP and RTFP Equations (Applicable Only if the TEP, the TFP, and the Attrition/Inaction Rate are receiving Electrification from EDW and EDM!)

LER Account = RTEP + RTFP

RTEP = (TEP + EDW) / Attrition Rate

Attrition = (TEP + EDW / RTEP) * 100

RTFP = (TEP + EDW) + (TFP + EDM) / Attrition Rate

Attrition = [(TEP + EDW) + (TFP + EDM) / (RTEP + RTFP)] * 100

Do you remember this? I demonstrated them at the beginning of this Compendium entry. What we have been up until this point is to organize everything for the LER Account, showing where everything goes, including how the EDW enhances by the Mechanization Rate (MR) without the input of the State and how the EDM enhances the Solidarity Rate (SR) without the input of the VCS Economy.

4. Equations for State Taxes, Loans, Investments, People’s Surcharges, Imports and Exports

Under the Work-Standard, Taxation is limited to those which are intended to promote certain behaviors and dissuade those which have the potential of harming the Totality. After Mobilization and Production are accounted for, the next move is to calculate the LER and SI-EF Accounts toward the State Revenues, subtracting them from State Expenses to find the State Budget.

State Revenue = LER Account + SI-EF Accounts

State Budget = State Revenue – State Expense

Remember that all Paygrades are issued to the Totality by the State at the end of each fiscal week. All Paygrades count towards the State Expense. Since Arbeit and Geld are the overriding factors in the Work-Standard, Schuld will not begin accumulating until the State and the Totality are running budgetary deficits. Excessive government spending and excessive consumer spending can and will create budgetary deficits. Always strive to live within one’s own means of production.

Upon finding the State Budget, the TPP Account can now be determined:

TPP Account = (State Budget + TX – SH) + (People’s Geld – TX – SH)

TX = Taxes

SH = Schuld

With the TPP and LER Accounts now found, all that remains are the SI-EF Accounts. The SI-EF Accounts includes all NSFIs, all Loans to nationals and foreigners, all Exports and Imports, State Investments to the VCS Economy of the Socialist nation, and the People’s Surcharge:

SI-EF Accounts = NSFIs + NSB + SI + EF Account

NSB = Loans issued to the Totality, State or Self

SI = State Investments from Sonderabgaben (Special Charges)

EF Account = (FNSB + EX) + (IM + PS)

FNSB = Loans issued to Foreign Totality, Foreign State or Foreign Self

EX = Exported goods and services

IM = Imported goods and services  

PS = People’s Surcharge from all State specialty department stores and shops

Upon finding the SI-EF Accounts, we can now determine the sum of the TPP equation:

TPP = TPP Account + LER Account + SI-EF Account

In the next entry, we will be exploring four different sets of equations. “Outflowing Arbeit” in the context of that entry entails the State giving people Arbeit.  One equation pertains to the Arbeit of those between the ages of 17 and 34 who never realized their Vocation and instead received a draft card from the State. Another equation pertains to the Arbeit of the inmates of the Socialist nation’s penitentiary system and educational system. The schools and universities of the Socialist Student Economy (SSE) conduct their own economic activities, but the student government requires Arbeit from the State itself. Meanwhile, in the prison blocks and State penitentiaries, the State shall ensure that every inmate is provided Arbeit for their personal allowances. All inmates will receive Geld from the State while serving their prison sentences, especially those with the Explicit Intent of abandoning criminality and pursuing Meaningful Work. Every student and every inmate will be given the proper treatment that they deserve from the State.     

“Inflowing Geld” pertain to the issuances of NSFIs and the Reciprocal-Reserve Banking System. Offices I, II, III, IV, and VI within each Kontor will offer an NSFI to potential investors. The State relies on Office V to provide Work-Tenures for NSBs and State Banks. Apart from Office VIII (‘Administrative Facility’) for obvious reasons, the only Office to not be discussed in that entry is Office VII, which was the overriding factor for this entry within the realm of international trade. And as stated earlier, these two entries are focusing more on AN5 and MN5 as their electrified equivalents, EAN5 and EMN5. But for now, spend some time reviewing these equations because almost most of the equations that to find RTEP and RTFP in the LER Account have been found.   



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  1. Update (21 September 2021) – The Fourth Estate
  2. Compendium: Foreign Accounts for Inflowing Arbeit, Outflowing Geld – The Fourth Estate

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