The Baltican Economic Hiccup

[Baltica]

 

The Economy in Baltica had never been great. It would often grow little by little, only to experience a crash that would make any progress seemingly insignificant. For centuries it relied on agriculture to make the economic backbone of the nation, but agriculture in the Tundras of Northern Argis would never bring a nation enough coin to satisfy development in other industries. Of course, this would all change during the Baltican civil war, when sons turned against their fathers, and the nation was left to ruin. Fires the size of small countries would rage out in the countryside, destroying the heartland of the Western Ras, alongside the many fields and pasture lands. This mass destruction forced the hand of the nation, with ¼ of all farmland being razed to the ground, it was time to move on. 

The period of 1960-1980 saw the mass urbanisation of the East. Cities like Kretia, Goja, Utna and others started producing all manner of goods, from wooden toys to the so-called white goods that helped spark the growth of others. Many of these industries would fail, either because the products produced were either subpart in quality or far too expensive for the local Balticans or the greater wurld market. With the rise of Industry, people began to migrate towards it, with their old way of life gone, the cities offered the only refuge for those seeking to survive in the barely functional state. Many of the companies that were still finding their footing would turn to forestry, a quick and easy way to make money through cheap timber. It would bail out many small businesses, but destroy much of the countryside, especially in the Southern region of Visagris, where the once bountiful forests gave way to fields of stumps and cracked Eurth. The economy would grow, but at what cost? 

Algridas, leader of the nation, considered it all necessary. He alone would bring the nation from a petty rural republic to an industrial powerhouse in the great lakes, and whoever tried to stop him would face the wrath of him and the new infatuated young generation. Gone were the ways of the old and ageing noble Ras farmer, and it was the age of the poor and unhealthy Dolch factory worker. Against all odds… it worked. In 20 years the economy tripled, GDP per capita rose by 350%, and the Urban population finally surpassed the rural. Surprisingly, the money generated began to flow back into the nation, increasing the quality and availability of both education and healthcare alike. Life was more “livable” than ever, and it seemed like the scars of the civil war were finally beginning to heal. 

Around this era of security and stability, came the great seven. The Great Seven are the leading largest companies of Baltica, specialising in everything from Telecommunications to oil extraction or even farming. These came around mainly due to the rise of monopolies that were greatly unregulated by the government. As time passed, big companies would acquire smaller ones, until no small ones remained. The Oligarchs that were birthed from this were vicious and cruel. They held immense power over the nation, and by the time Algridas realised, it was far too late. If he rescued disturbing the lucrative dealings of these oligarchs the nation would fall into yet another civil war, or he and his family would be mercilessly killed. At least by appeasing them, he could continue the economic growth of the nation until he could finally remove the oligarchs from power. His plan would never come to fruition, and the economic growth slowed to a crawl, falling from its high of 10% annual growth to the stagnant 2.1%. And things would continue like this for years to come… Algridas’s grip only worsened as the Great Seven claimed the nation for their own malicious needs.