“Monika, you must realize that I take no pointless actions. There is a purpose behind every policy, every interaction. With these seemingly unnecessarily cruel actions I am aiming teach a lesson. What lesson you take is determined by how willing you are to face the truth.” ---- Junko Enoshima.

‘Junkonomics’ refers to a system of policies within the Imperium of Despair that aimed to further the Golden Path, unbeknownst to most Imperium officers at the time.

The first step to achieve this system was the replacement of currency. The old Dollar was replaced with Monomarks, which were then rapidly distributed to reach hyperinflation. By the end of the Imperium, inflation had reached 10^32 times base value, rendering Monomarks mostly worthless. As an example, it was worth less to use the currency as toilet paper rather than to actually purchase toilet paper—if any plants to manufacture it remained in business.

The main result of this was, aside from a massive decrease in standard of living, the rapid reduction of profits for major companies, which rendered them completely subject to the Padishah Kaiserin’s whim, as they relied on her gold subsidies to maintain operations.

The major companies allowed to exist were: McDonalds, the sole provider of food in the Imperium, Lockheed Martin, the Imperium’s weapon manufacturer, and Microsoft, the provider of electronics and other such technological needs.

The second part of Junkonomics was an engineered decrease in living standards; that is to say, the removal of minimum wage, as well as the extension of the workday to 20 hours. This, compounded with the effects of Monomark hyperinflation, meant that those who were not billionaires would all be affected and forced to find other ways of survival aside from the conformity to capitalism they had once. As the Golden Path predicted, this massively strengthened the Red Army.

Junkonomics ended following the death of the Padishah Kaiserin and the subsequent collapse of the Imperium, giving way to global socialist planned economy.

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