I've noticed at the end of each game I've played that all of the major AI players have an average tax rate of 39%, even on varying intelligence levels. Do you guys notice the same thing yourselves?
This leads me to wonder if the AI knows something I don't. Has the computer calculated the optimal tax rate for balancing population growth and income? I'm wondering if following in the computer's steps will help balance the tables for me, as sometimes I simply cannot fathom where all the funds to maintain their fleets comes from. (And I haven't even used the two highest intelligence settings yet)
Has the computer calculated the optimal tax rate for balancing population growth and income?
Don't forget morale. The obivous effect of taxes rate is on moral and income. After that, morale has some effect on production and on population growth.
I simply cannot fathom where all the funds to maintain their fleets comes from.
Don't forget that taxes are only a part of the income. The others parts are trade routes and tribute. And sometimes you will see messages than some minor were unable to pay tribute to a major AI.
They can also reduce some depenses (like spying and destabilization).