After the drama with steel, Kylia went on the deal with the state’s shabby laws.
First, the state’s taxation system had to go out the window. With so many different types of taxes stacked on the people, a few rich merchants just ignored them entirely, while corrupt taxes used loopholes in the system to tax the hell out of the common folk.
Kylia eradicated all of those taxes, establishing sales, income and property taxes to take their place. All those who tried to extort money were sent to the fields and any one who ignored these taxes found their land or money forcibly taken away from them.
While this may sound cruel, the new taxes were in fact much lower than the original taxes, plus the money actually went to the government to be spent on the public, instead of sitting in some rich merchant's piggy bank.
With these reforms alone, Roshi estimated that government revenue rose from a measly 5% of the total GDP of the state to a modern country's 35%, while raising the livelihood of the lower class.
Kylia then went to work on land reform.
All of the state’s land is technically owned by Kylia herself, a feudal society where peasants worked for their feudal lords.
Of course Kylia immediately wanted to get rid of this system as quickly as possible and immediately took a capitalist approach. She and her subordinates divided up the state's farmland to all those who worked on it, free of charge. She firmly decided against a debt repayment system because of scarcity of population.
If citizens started to fall into debt traps, how could Kylia ever accept that. A jailed person does not generate any revenue and costs resources to manage. Kylia can not afford moths to feed on what little sustenance the Kylian government has to offer.
Besides, she just recently established new taxes, the government has more than enough money now.
In relation to land, when visiting the newly distributed farmland, Kylia came to a startling situation with how Kylians manage their land, here's how it went.
“So you're telling me that we have raised over 900 cows in the region, given them some unoccupied grassland, left them lying around doing nothing, except when we need to slaughter them, never putting two and two together and using these cows to plow fields instead of with human labor?”
Kylia, with dark, scary, shadows under her eyes coaxed both of her subordinates.
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Trembling, Roshi and Fermer both replied. “No, no, my Valord, we're gonna get started with that right away!”
Kylia smiled with a maniacal grin, ”you better, or I’ll replace both of you with toddlers who can do math better than you can.”
“Yes my Valord” Both practically had tears in their eyes.
With a sudden change of face, Kylia chimed. “Before you go let me give you some new farming techniques I designed with this new approach to animal powered farming.
While you two pass out these techniques to farmers, I’ll just redo all of the farmland we just handed out. Kylia creeplily stared at both of them.
The two just gulped as they quickly left the oppressive atmosphere in the room.
In the end farmers received at least 10 times the amount of land they previously worked on. With the animal powered plows farmers could venture out farther from the capital during the day and plow larger fields at the same time, significantly increasing food production.
With increased food production, some former peasants were put to use in the steel plant as much needed blacksmiths could now be used to make tools again instead of wasting their talent on pouring coke into a blast furnace.
While giving away land, Kylia also took the opportunity to zone the entire state for land development.
On the East bank of the Roscof river, both heavy and light industries will mainly be focused around there. Ironworking, Steelworking, Masonries, Workshops, and Blacksmithies.
On the North bank of the Rosian river, with its slower flow, makes it a great place for agricultural activities. Various grains, Vegetables, and Animal Husbandry. No fruits this far up north.
Further inland to the northeast is where the current capital of the state lies, Kylia City.
And to the North east of that is where many goods producing industries lay, lumber and mining.
Kylia also went ahead and established an air force wing to the armed forces of Kylia.
The Kylian armed forces are comprised of the following-
The Blue Army-26
The Kylian Navy-22
The Kylian Air Force-2
As of right now the Kylian Air Force is really more for show than an actual wing of the military, however it can be further expanded in the future when more people join the army
The Kylian navy is composed of two sail/paddle driven ships, each manned by 11 sailors. Each boat is capable of running a flurry of arrows onto an enemy ship and if needed, a grappling hook can be thrown to board the opposing enemy deck.
The Blue army is made up of an elite force of knights, being the backbone of the Blue army of a mobilized Kylian state. Each knight has a full set of steel chainmail armor, covering head to toe, a steel helmet armed with a variety of weapons from steel maces, axes, swords, halberds, and crossbows. If needed, these knights can also be supplied with war horses, making them an even deadlier existence.
As the end of the year came, Kylia decided to establish a military service law. The State of Kylia is surrounded by enemies from all sides, if it wants to survive every man who can be recruited must be recruited.
For a normal medieval country, at most only a maximum 5% of the population will be mobilized in an event of war. This is because the rest of the population lacks the productivity to support more troops.
However, with the industrialization of Kylia, soon the state will reach the point where it could mobilize up to 10% of its population in a time of war. To ensure that the men mobilized are not cannon fodder, every male the age of 18 to 200 had to perform drills once a week during the winter. This will ensure newly recruited troops have at least some combat effectiveness before they get sent out to the battlefield.
Compared to the state of Kylia one year ago, the national strength of the state had increased by a decent amount, but what is really important is that the core of national strength, steel production, is no longer tied to the Hylian chariot.
This means that Kylia’s national strength is not artificially supported like the other states, and can choose to declare war against Hyrule without any serious repercussions.
Of course this does not mean Kylia’s is strong enough to compete against Hyrule. Infact Hyrule’s national strength is probably around 140x stronger than Kylia’s, but it is a good start.