I've had a factory for a while, which runs at a loss, but I didn't close it, since I was consuming its outputs myself. I figured it was better for the budget to keep around a factory that loses $10 on each load of small arms than to switch these workers to other factories where they'd make $10 and then have to pay $30+ from my budget. Since I obviously wouldn't be seeing $30 extra in my budget had I put my workers to another factory.
But what this amounts to is making my POPs share the cost of small arms with me, while at the same time not running the most efficient economy money-wise. The POPs only get money when I sell things, so by making my own arms I save the budget money, but don't give as much to my POPs with the possible consequence that they can't afford to buy and invest as much. So my make-it-ourselves scheme is not without a cost to the country, which makes for an interesting tradeoff situation.
What are people's thoughts - is it better to try to make things your government consumes in-house, benefiting the budget, or to import them, benefiting the population?
But what this amounts to is making my POPs share the cost of small arms with me, while at the same time not running the most efficient economy money-wise. The POPs only get money when I sell things, so by making my own arms I save the budget money, but don't give as much to my POPs with the possible consequence that they can't afford to buy and invest as much. So my make-it-ourselves scheme is not without a cost to the country, which makes for an interesting tradeoff situation.
What are people's thoughts - is it better to try to make things your government consumes in-house, benefiting the budget, or to import them, benefiting the population?