Financial system: Difference between revisions
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''From Wikipedia, the free encyclopedia'' | ''From Wikipedia, the free encyclopedia'' | ||
In production, research, retail, and accounting, a cost is the value of money that has been used up to produce something, and hence is not available for use anymore. In business, the cost may be one of acquisition, in which case the amount of money expended to acquire it is counted as cost. In this case, money is the input that is gone in order to acquire the thing. This acquisition cost may be the sum of the cost of production as incurred by the original producer, and further costs of transaction as incurred by the acquiring party over and above the price paid to the producer. Usually, the price also includes a mark-up for profit over the cost of production. | |||
More generalized in the field of economics, cost is a metric that is totalling up as a result of a process or as a differential for the result of a decision. Hence cost is the metric used in the standard modelling paradigm applied to economic processes. | |||
====Construction costs==== | ====Construction costs==== | ||
Revision as of 12:22, 29 October 2014
After reading this page:
- you've learned what a financial system is
- you've learned what role the financial system plays in the Tygron Engine
- you've learned about the elements of the financial system in the Tygron Engine
- you've learned how to adjust the financial system in the Tygron Engine
Financial System
From Wikipedia, the free encyclopedia
In finance, the financial system is the system that allows the transfer of money between savers (and investors) and borrowers. A financial system can operate on a global, regional or firm specific level. Gurusamy, writing in Financial Services and Systems has described it as comprising "a set of complex and closely interconnected financial institutions, markets, instruments, services, practices, and transactions."
- According to Franklin Allen and Douglas Gale in Comparing Financial Systems:
- Financial systems are crucial to the allocation of resources in a modern economy. They channel household savings to the corporate sector and allocate investment funds among firms; they allow inter-temporal smoothing of consumption by households and expenditures by firms; and they enable households and firms to share risks. These functions are common to the financial systems of most developed economies. Yet the form of these financial systems varies widely.
Financial systems depend on the countries viewpoint on freedom of trade. Some countries i.e. The Soviet Union had socialist financial systems because they value centralized organized state funded trading rather than freedom of trade by everyone.
The Financial System in the Tygron Engine
The Financial System in the Tygron Engine is the system that allows money transfers between the different (playable and non-playable) stakeholders and the facilitator. Players and the facilitator can transfer money in game to each other in order to negotiate. The system enables land transactions, and the granting of subsidies and (bank) loans. The system also takes extra costs, such as buy out fees when demolishing non-vacant structures, into consideration. The financial system in the Tygron Engine uses default values and calculations. However, by customizing these values, the financial system can be tailored to use specific financial data that a user might have at his disposal.
Elements of the Financial System in the Tygron Engine
The financial system in the Tygron Engine consists of certain basic elements. These elements can be divided over two distinct groups: costs and income.
Costs
From Wikipedia, the free encyclopedia
In production, research, retail, and accounting, a cost is the value of money that has been used up to produce something, and hence is not available for use anymore. In business, the cost may be one of acquisition, in which case the amount of money expended to acquire it is counted as cost. In this case, money is the input that is gone in order to acquire the thing. This acquisition cost may be the sum of the cost of production as incurred by the original producer, and further costs of transaction as incurred by the acquiring party over and above the price paid to the producer. Usually, the price also includes a mark-up for profit over the cost of production.
More generalized in the field of economics, cost is a metric that is totalling up as a result of a process or as a differential for the result of a decision. Hence cost is the metric used in the standard modelling paradigm applied to economic processes.