“Introduction to Work-Standard Accounting Practices”

After spending what has now been a full year not devoting any new posts to the equations and accounting practices of the Work-Standard, I am convinced that a proper revisiting of its formulas and equations is in proper order. With the completion of The Third Place (1st Ed.) finally behind me, I decided that the current formulas and equations should be simplified as part of outlining the basis for the Work-Standard’s general accounting practices.

For those who do not know or need to refresh their memory, the conception of Currency under the Work-Standard is a Sociable Currency whose overall Value and Price are backed by the Quality of Arbeit, which takes on the form of the TPP Value in the Life-Energy Reserve.

The TPP Value is the sum of the State Budget and the People’s Geld, the RTEP (Real Total Economic Potential) RTFP (Real Total Financial Potential), the Value of all NSFIs (National-Socialized Financial Instruments) and State Investments. How many units of Sociable Currency may be created by the Central Bank, known as the Reciprocal Productive Forces (RPF), is ultimately dependent on the TPP Value. And unlike the Gold Standard, the TPP Value is capable of rising as quickly or as slowly as needed through the right combinations of national policies.

So far, I have been able to compile two Reference Charts outlining the Quality of Arbeit and Quality of Geld Formulas:

Speaking of which, the variables QW5 and QM5 become applicable in Real Trade Agreements (RTAs):

There are two sets of equations in The Work-Standard (2nd Ed.) where those variables require their own Reference Chart:

SFI1 = TXR1 – NOR1

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

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

SFI2 = TXR2 – NOR2
TXR2 = (Domestic NSFIs – Foreign Service Fee) + (Domestic Investments – Foreign Expenses)
NOR2 = (Foreign NSFIs – Domestic Service Fee) + (Foreign Investments – Domestic Expenses)

Those two variables need their own Reference Chart as part of consolidating the concepts and ideas discussed in The Third Place (1st Ed.). After that, I can then move on to the other Formulas of the Work-Standard. At some point, I will be planning to write a new Treatise devoted entirely to Work-Standard accounting practices and principles. That will come sometime later this year.

Categories: Compendium, Financial Warfare