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Nominal Interest - Printable Version

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Nominal Interest - Dennis Skinner - 28.05.2018 13:57

Basically in my state 'Right Angles' the nominal interest rate has crashed over the last 12 or so quarters (maybe longer). In that period I had lowered it once at most, but it kept on tumbling down.

Now it has reached 1%. In the last quarter (budget quarter) I raised it as much as I could. It is still at 1% (ought to be 1.2%).

I can't see a way of getting it back up? I seem to vaguely remember when I tried playing this game before (years ago now) that something similar happened.

So am I missing a way to get the nominal interest rate up? It has screwed up inflation pretty badly, going from ~4% average to ~6% now.

RE: Nominal Interest - MrProper - 28.05.2018 21:12

If your state continues to accumulate debts, the nominal interest will eventually start increasing by itself as well again. (Of course you can than "push" this development in you budget)

If you decided to repay your states debt later on, just make sure the nominal interest stays in a regime where your changes in the budget are significant enough to keep the interest at a sufficiently high level. Making a wild guess, I would say that a nominal interest above 4% with maximum increases should be enough.