Compendium: Paygrade Scaling, Accounting and Distribution (Pt. II of III)

To begin, recall the three variations of the TPP equation discussed in the previous entry:

TPP = Income + Production + Mobilization

TPP = (State Budget + People’s Geld) + (RTEP + RTFP) + (NSFIs + SI)

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

The Council State of the Socialist nation relies on the second and third versions. The State has a Constitutional Obligation to know how much Arbeit and Geld are being created in the Socialist nation under the Work-Standard. That means knowing the origins of every source of Arbeit and Geld and how they impact the State Budget and the People’s Geld under a functioning Council Democracy. The Totality, the real power behind the State, is supposed to know what is being done with their Arbeit and Geld and they can contact their delegates to the State Council about the State Budget. Suggestions may be offered to them as part of the drafting of a budgetary proposal.

Since the State relies on the second version of the TPP equation, the central planners have a Legal Duty to submit weekly reports to the State Council on overall economic conditions. The central planners receive their information from subordinates communicating with them in person, by telephone, by mailed or emailed communiques, or holding online meetings on a “governmental social networking website.” This governmental social networking website, unlike their Liberal Capitalist rivals, is restricted to government officials, administrators, bureaucrats, and civil servants with Vocations in any part of the State itself. It requires a special software program that can only be a run on a desktop computer inside a government office building.

The software is designed to facilitate the State’s ability to make real-time adjustments to the State Budget by means of the TPP equation. This table of equations will always be shown in one of the tabs on this software program:

Most government officials, administrators, and bureaucrats can narrow everything down to different government ministries, the armed forces and intelligence services, economic sectors and specific enterprises, and various state, social and foreign spending. They can communicate with everyone from the rest of the central government about the TPP equation. They can study and review everything together, but none of them cannot make any adjustments by increasing or decreasing the amount of Geld being allocated to them from the State Budget.

The central planners, in addition to the state functionaries running the student government of the Socialist Student Economy (SSE) within the national educational system, have a special version of this computer software. The central planners and the SSE’s student government maintain social networks of inspectors who act as the superiors of economic planners and their retinues of accountants. Also included in their social networks are state commissars from the State Commissariats of Wages and Prices, bankers at the State Banks and the NSBs (National-Socialized Banks) in close communications with the Central Bank, and the administrators at Office VIII (“Administrative Faculty”) of the Kontore.  

All of them are in constant communications, sending and receiving instant notifications, leaving status updates about the VCS Economy and the Reciprocal-Reserve Banking System. When none of them are at their computers, everyone carries a PDA (Personal Digital Assistant) as opposed to an off-the-shelf smartphone due to the sensitive nature of their Vocations. Their government and PDAs will tell them exactly how much Geld is being allocated from the State Budget and precisely how much, all the way down to the smallest PDE (Public-Directed Enterprise) in the remotest parts of the country. Should the State remove Geld from the State Budget, all of them will receive a notification on their government-issue computers and PDAs.

Their ability to adjust any allocations of Geld from the State is limited to the powers provided to them by the Financial Regime, which are the Central Bank, the State Council and the Head of State. None of them have direct access to the People’s Geld or the State Budget, an important consideration related to the Socialist conception of Property. If they request more or less allocations of Geld, the Financial Regime will be notified on their copies of the software. But if there are no alterations, the central planners must submit their weekly reports on the same day as the Central Bank is supposed to send their own weekly reports as printed documents and digital copies. The Explicit Intent is to inform the Council State on the overall conditions of the economic and financial lives of the Socialist nation.

If I had to give the software a proper designation, inspired by the “Luminar internet” from Ernst Jünger’s novels, it would be something like “Luminar Triumvirate.” The ‘Triumvirate’ is chosen to refer to the three important groups with access to the software program: “the Central Planners, the Central Bank, and the Council State.”

How does the Council State decide on the State Budget?

When the State Budget runs a budgetary deficit, all Geld will be spent to restore a balanced budget. Any Sovereign Schuld from the Central Bank will be paid back in full without any Interest whatsoever. The goal is to restore the balance between Arbeit and Geld through the elimination of Schuld, thereby preventing Geld from degenerating into Kapital.     

When the State Budget breaks even, the Council State is only restricted to redistributing all allocations of Geld to every aspect of the Socialist nation. This is because the State Budget has neither grown nor shrank. No matter how much Geld has been moved around, the TPP equation remains unchanged so long as the Socialist nation is not already accumulating Sovereign Schuld.

And when the State Budget runs budgetary surplus, the Council State is presented with an opportunity to decide whether the additional Geld should remain in the State Budget or be allocated elsewhere. Both choices are possible because the TPP equation is now increasing. Under no circumstances shall the State reduce any allocation of Geld below its “Required Minimum.”

There are two groups in the Financial Regime who are allowed under the Constitution to alter the State Budget as part of their official state functions: the Head of State and the State Council.

The Head of State and their Cabinet in the Council of Ministers are allowed to decide on where the allocations of Geld should go. Any decision to change the State Budget on their parts will require a majority vote from the State Council. If the Head of State vetoes, a two-thirds majority vote is required before the Head of State signs the budgetary proposal into law.

The Head of Government and their State Delegates in the State Council are also allowed to decide on where the allocations of Geld should go as well. Any decision to change the State Budget on their parts will require the signature of the Head of State. If the Head of State vetoes, a two-thirds majority vote is required before the Head of State signs the budgetary proposal into law.

Regardless of who initiated the decision to submit a budgetary proposal, they must be debated by the State Council and the Head of Government. Everyone will be given their chance to speak and raise objections about the budgetary proposal. The debates in the State Council will be broadcasted live on State-run radio and television and livestreamed on computers and smartphone accessing the State Council’s government website from the national Intranet.

The State Delegates will bring their decision to a vote. The Head of Government will also vote, acting as the tiebreaker in the event of a tie. Only with a majority vote will the budgetary proposal reach the desk of the Head of State, who must either sign it into law or veto it.

If the Head of State signs it, the budgetary proposal is to be enforced by law. But if the Head of State vetoes it, they can offer their own budgetary proposal, which will require a two-thirds majority vote from the State Council. Regardless of which decision was chosen by the Head of State, the Head of Government and State Council are expected to follow through with the decision.   

And what is the formatting of this ‘Luminar Triumvirate’ software?

“Luminar Triumvirate” relies on a more refined version of Command-Obedience Account Bookkeeping. Basically, anyone accessing it is able to know the full extent of the Socialist nation’s State Revenues and State Expenses, contributions of Arbeit and Geld, exports and imports, State Investments and NSFIs, and so forth. Everything can be narrowed down to a single Enterprise, where information about its impact on the TPP equation is shown. Even if the Totality lacks any full, direct access to the software, the Central Planners have a Legal Duty to publish the official, unaltered records on their government website in the national Intranet. This means that anyone with an Intranet connection can obtain the records and print them from inside their own home. We can expect the Central Planners to upload the latest one on their government website every Sunday.

The software, in addition to its social networking features, has multiple tabs related to every aspect of the Socialist nation. I have reproduced several examples of how each tab is supposed to appear under Command-Obedience Account Bookkeeping:

It is only more of the same as we continue to narrow everything down from this point onward. The State allows the Totality to access the records from the previous week because every citizen participates in its affairs both politically and economically. The Totality shall be informed about what goes on in the affairs of their State. Any airtight evidence of corruption, forgery, fraud, and embezzlement will be investigated by the State, the perpetrators brought to justice and tried for high crimes in the judicial system.     



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  1. Strategic Accounting and Allocation of the Federal Budget (Pt. III of IV) – The Fourth Estate

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