State-Administered Economy (Lionsroar)

The economy of Lionsroar operates under the System of Royal State-Administration, a state-directed and managed form of regulated capitalism. The state regulates the economy through various institutions, such as the Royal Cartel Office, under the guidance of various absolutist economic committees.

Features

At its core, the Lionsroar is a social market economy with regulated capitalism. A comprehensive social system, including pensions, healthcare, and insurance funds, serves the citizens. Simultaneously, at the most fundamental level of the Lionsroarian market—the small and retail trade—there exists a distinctly free form of capitalism. Subsidies, minimal regulations, and significant tax reductions for these small market forms create a solid foundation for the market. This system is self-sustaining, less dependent on external factors, and promotes competition. It also satisfies citizens by allowing the existence of local resources, shopping options, and forms of local self-governance.

As one moves up the economic hierarchy, the free market becomes more restricted. The largest companies are closely monitored by the state and are only allowed to exist in special cases, such as recognized monopolies or traditional enterprises. High tax rates, regulations, and guidelines restrict these companies and their political power—much to the approval of the noble elite.

State Participation

more in: List of State-Administrated Entities

The largest state-controlled entities, which are fully managed and funded by the state, are reserved for the most critical and state-relevant enterprises. These include the most politically powerful, critical, energy-related, and publicly significant companies. Examples include the Lionsroarian Football Association (LFA), Royal Railway Union, the Royal University of Lowenburg, and many more.

In most cases, the state holds a minority stake in the largest corporations, with its level of involvement varying according to the relevance of each company.