Taking Economic Simulation to a New Level

The City Economic Simulation DLC features the most realistic simulation of macroeconomics ever implemented in a game, enabling your business decisions to impact the city economy in a meaningful way.

Starting with the simulation of the GDP (Gross Domestic Product), it uses highly sophisticated simulation models to simulate the following components of the GDP.

1st GDP component: Consumption is the total value of goods and services that are bought by the population simulated in the game.

2nd GDP component: Investment is the total investment made by the player and AI corporations in setting up new businesses.

3rd GDP component: Government Expenditure is the total expenditure of the city government, which can be run by a player controlled mayor.

4th GDP component: Net Exports equal to exports minus imports. Imports occur when companies in the game purchase products from suppliers in a different city. Exports occur when companies sell products to business clients in another city.

Together, they contribute to the GDP growth and make a huge impact on the economy, leading to booms and busts in the economic cycle, affecting inflation, employment rates, wage rates, and interest rates.

For example, when your company embarks on a large-scale business expansion in a city, it increases the Investment component of GDP, which in turn contributes to the GDP growth and kicks the economy into the high gear. The newly established companies create jobs for the city, lowering the unemployment rate. Subsequently the tightening labor market will force companies to raise salaries of their employees.

Further along in this chain of effects, a higher wage rate leads to increased consumer spending, setting the stage for inflation to rise. When rising inflation is unchecked and eventually runs rampant, the central bank will have no choice but to put a break on it by hiking the interest rate aggressively, which will inevitably drag the economy into recession.