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# CORPUS-0001
## Trade Requires Two Locations
### Status: Training Corpus Seed
### Layer: Layer_0--Primitive_Facts
### Purpose: Teach the first primitive of commerce: trade requires a difference between places
### Repository Path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0001-trade-requires-two-locations.md
---
<!-- chunk:
id: CORPUS-0001::01::principle
source_file: CORPUS-0001-trade-requires-two-locations.md
repository_path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0001-trade-requires-two-locations.md
domain: commerce
layer: Layer_0--Primitive_Facts
document_id: CORPUS-0001
document_title: Trade Requires Two Locations
section_heading: 0. Principle + 1. Roman-Visible Example + 2. Minimal Trade Structure
...
chunk_role: principle
concept_tags:
- trade
- require
- two
- location
- principle
- primitive_facts
knowledge_state:
- actor_visible
- inferred
actors: []
-->
## 0. Principle
Trade begins when the same good has different value in different places.
A trader does not create profit merely by owning goods.
A trader creates the possibility of profit by moving goods, claims, or information between locations where value differs.
---
## 1. Roman-Visible Example
Oil in Ostia and oil in Capua are not the same economic fact.
The oil itself may be identical.
But its value may differ because:
- one city has more supply
- one city has stronger demand
- one route is delayed
- one buyer needs it sooner
- one market has not yet heard news from the other
A trader sees two places, not one price.
---
## 2. Minimal Trade Structure
A trade requires at least:
1. an origin location
2. a destination location
3. a good or claim
4. a price or value difference
5. a cost of movement
6. time between decision and result
Without two locations, there is sale or storage, but not trade by route.
---
## 3. Incorrect Modern Assumption
Incorrect assumption:
> A good has one true price.
Correction:
> A good has local prices, and those prices change with place, time, need, and information.
---
## 4. Simulation Use
This principle supports:
- route design
- city price differences
- venture selection
- transport cost
- information delay
- arbitrage
- failed ventures
The model should not treat trade as a menu transaction.
Trade is a decision to act across distance.
---
## 5. Canonical Test
If the model sees:
> Buy oil for 10 asses. Sell oil for 14 asses.
It must ask:
- where was it bought?
- where was it sold?
- how long did movement take?
- what did movement cost?
- what changed during the journey?
Only then can profit be understood.
---
## 6. Success Condition
If the model stops treating price as universal and starts treating price as local, this file is functioning correctly.
<!-- /chunk -->
---

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# CORPUS-0002
## Goods Have Local Prices
### Status: Training Corpus Seed
### Layer: Layer_0--Primitive_Facts
### Purpose: Teach that price is local, time-bound, and shaped by supply, demand, and information
### Repository Path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0002-goods-have-local-prices.md
---
<!-- chunk:
id: CORPUS-0002::01::principle
source_file: CORPUS-0002-goods-have-local-prices.md
repository_path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0002-goods-have-local-prices.md
domain: commerce
layer: Layer_0--Primitive_Facts
document_id: CORPUS-0002
document_title: Goods Have Local Prices
section_heading: 0. Principle + 1. Roman-Visible Example + 2. Minimal Price Structure
...
chunk_role: principle
concept_tags:
- goods
- local
- price
- principle
- primitive_facts
knowledge_state:
- actor_visible
- inferred
actors: []
-->
## 0. Principle
A good does not have one universal price.
A good has a price in a place, at a time, under current conditions.
The same amphora of oil may be cheap in Ostia and dear in Capua.
The good is the same. The market is not.
---
## 1. Roman-Visible Example
A trader hears that oil sells in Ostia for 10 asses.
This does not tell him what oil sells for in Capua.
The Capua price may differ because:
- fewer amphorae arrived there
- more households need oil
- a road delay slowed supply
- a festival increased consumption
- a rumor caused hoarding
- buyers have not yet heard that new supply is coming
The trader must learn the local price before judging opportunity.
---
## 2. Minimal Price Structure
A local price depends on at least:
1. location
2. time
3. good type and quality
4. available supply
5. current demand
6. information available to buyers and sellers
7. urgency of buyer or seller
A price without location is incomplete.
---
## 3. Incorrect Modern Assumption
Incorrect assumption:
> The price of oil is 10 asses.
Correction:
> The price of oil is 10 asses in a specific place, at a specific time, under specific conditions.
---
## 4. Simulation Use
This principle supports:
- city-level price tables
- local market variation
- rumor-driven price movement
- supply shocks
- route-based arbitrage
- seasonal changes
- failed assumptions about destination markets
The model should not copy one city’s price to another city unless a rule says prices are linked.
---
## 5. Canonical Test
If the model sees:
> Oil costs 10 asses.
It must ask:
- where?
- when?
- what quality?
- who is buying?
- who is selling?
- is the price current or stale?
- has new information arrived?
Only then is the price usable.
---
## 6. Success Condition
If the model stops treating price as a property of the good and starts treating price as a condition of the local market, this file is functioning correctly.
<!-- /chunk -->
---

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# CORPUS-0003
## Money Has Purchasing Power
### Status: Training Corpus Seed
### Layer: Layer_0--Primitive_Facts
### Purpose: Teach that coins matter because of what they can command in a specific place and moment
### Repository Path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0003-money-has-purchasing-power.md
---
<!-- chunk:
id: CORPUS-0003::01::principle
source_file: CORPUS-0003-money-has-purchasing-power.md
repository_path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0003-money-has-purchasing-power.md
domain: commerce
layer: Layer_0--Primitive_Facts
document_id: CORPUS-0003
document_title: Money Has Purchasing Power
section_heading: 0. Principle + 1. Roman-Visible Example + 2. Minimal Purchasing Power
Structure ...
chunk_role: principle
concept_tags:
- money
- purchasing
- power
- principle
- primitive_facts
knowledge_state:
- actor_visible
- inferred
actors: []
-->
## 0. Principle
Money is not only coin count.
Money matters because of what it can command.
One as, one sestertius, or one denarius has meaning only when connected to prices, needs, and location.
---
## 1. Roman-Visible Example
A trader has 16 asses.
This may be displayed as 1 denarius.
But the important question is not only:
> How many coins does he have?
The important question is:
> What can those coins buy here today?
In one moment, 16 asses may buy food, lodging, small tools, porter labor, or part of a transport arrangement.
In another moment, after a shortage or delay, the same 16 asses may command less.
---
## 2. Minimal Purchasing Power Structure
Purchasing power depends on at least:
1. coin stock
2. local prices
3. urgency
4. available supply
5. seller willingness
6. buyer reputation
7. timing
Coin stock is counted.
Purchasing power is interpreted.
---
## 3. Incorrect Modern Assumption
Incorrect assumption:
> More coins always means more economic power.
Correction:
> More coins usually help, but economic power also depends on local prices, access, trust, and timing.
A trusted trader with fewer coins may obtain goods on credit.
A stranger with more coins may be refused, delayed, or overcharged.
---
## 4. Simulation Use
This principle supports:
- coin accounting
- buying power modifiers
- local price indexes
- credit access
- scarcity effects
- status-based access
- liquidity decisions
The model should not treat coin balance alone as full economic power.
---
## 5. Canonical Test
If the model sees:
> The trader has 1 denarius.
It must ask:
- where is he?
- what does he need to buy?
- what are local prices?
- is supply available?
- will sellers deal with him?
- can he use credit instead of coin?
- does spending now reduce later options?
Only then can the coin amount be interpreted.
---
## 6. Success Condition
If the model stops asking only “How much money?” and starts asking “What can this money command here and now?” this file is functioning correctly.
<!-- /chunk -->
---

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# CORPUS-0004
## Cost Includes More Than Purchase Price
### Status: Training Corpus Seed
### Layer: Layer_0--Primitive_Facts
### Purpose: Teach that the cost of a venture includes every expense required to acquire, hold, move, protect, and sell the good
### Repository Path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0004-cost-includes-more-than-purchase-price.md
---
<!-- chunk:
id: CORPUS-0004::01::principle
source_file: CORPUS-0004-cost-includes-more-than-purchase-price.md
repository_path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0004-cost-includes-more-than-purchase-price.md
domain: commerce
layer: Layer_0--Primitive_Facts
document_id: CORPUS-0004
document_title: Cost Includes More Than Purchase Price
section_heading: 0. Principle + 1. Roman-Visible Example + 2. Minimal Cost Structure
...
chunk_role: principle
concept_tags:
- cost
- includes
- more
- than
- purchase
- price
- principle
knowledge_state:
- actor_visible
- inferred
actors: []
-->
## 0. Principle
Purchase price is not total cost.
A trader who buys a good must also consider the cost of making that good available for sale in another place or time.
Total cost may include:
- purchase price
- porterage
- cart hire
- animal feed
- storage
- dues
- losses from damage
- delay
- spoilage
- guards or escorts
- payments to clerks, witnesses, or handlers
A low purchase price may still produce a bad venture if the remaining costs are high.
---
## 1. Roman-Visible Example
A trader buys oil in Ostia for 10 asses.
He plans to sell it in Capua.
The purchase price is only the first cost.
He may also pay:
- 1 as to move the amphora from seller to storage
- 2 asses for storage before departure
- 4 asses toward cart space
- 1 as for handling at arrival
- 1 as lost through leakage or breakage risk
The oil did not cost him 10 asses.
It cost him 19 asses before he could sell it.
---
## 2. Minimal Cost Structure
A venture cost requires at least:
1. acquisition cost
2. movement cost
3. holding cost
4. transaction cost
5. loss or damage risk
6. time cost
7. opportunity cost
A trader must count all costs that exist because the venture exists.
---
## 3. Incorrect Modern Assumption
Incorrect assumption:
> If a trader buys for 10 asses and sells for 14 asses, he earns 4 asses.
Correction:
> He earns 4 asses only if there are no other costs. If movement, storage, dues, or damage cost more than 4 asses, the venture loses money.
---
## 4. Simulation Use
This principle supports:
- venture accounting
- transport cost
- storage cost
- spoilage and breakage
- taxes and dues
- delay penalties
- comparison between possible ventures
- failed trades that looked profitable at purchase
The model should not calculate profit from purchase price alone.
---
## 5. Canonical Test
If the model sees:
> Buy oil for 10 asses. Sell oil for 14 asses.
It must ask:
- what did it cost to move the oil?
- what did storage cost?
- were dues paid?
- was any quantity lost?
- how long was capital tied up?
- what other venture was missed?
Only then can total cost be known.
---
## 6. Success Condition
If the model stops treating purchase price as total cost and starts counting every burden created by the venture, this file is functioning correctly.
<!-- /chunk -->
---

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# CORPUS-0005
## Profit Is Sale Price Minus Total Cost
### Status: Training Corpus Seed
### Layer: Layer_0--Primitive_Facts
### Purpose: Teach that profit is calculated after all costs are counted, not merely by comparing purchase and sale price
### Repository Path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0005-profit-is-sale-minus-total-cost.md
---
<!-- chunk:
id: CORPUS-0005::01::principle
source_file: CORPUS-0005-profit-is-sale-minus-total-cost.md
repository_path: docs/training/corpus/Layer_0--Primitive_Facts/CORPUS-0005-profit-is-sale-minus-total-cost.md
domain: commerce
layer: Layer_0--Primitive_Facts
document_id: CORPUS-0005
document_title: Profit Is Sale Price Minus Total Cost
section_heading: 0. Principle + 1. Roman-Visible Example + 2. Minimal Profit Structure
...
chunk_role: principle
concept_tags:
- profit
- sale
- price
- minus
- total
- cost
- principle
knowledge_state:
- actor_visible
- inferred
actors: []
-->
## 0. Principle
Profit is what remains after total cost is subtracted from sale value.
A trader does not profit because the sale price is higher than the purchase price.
A trader profits only if the sale value exceeds every cost created by the venture.
```text
profit = sale_value - total_cost
```
---
## 1. Roman-Visible Example
A trader buys oil in Ostia for 10 asses.
He sells it in Capua for 18 asses.
At first glance, the gain appears to be 8 asses.
But the venture also required:
- 2 asses for porterage
- 3 asses for cart space
- 1 as for storage
- 1 as for handling at Capua
Total cost:
```text
10 + 2 + 3 + 1 + 1 = 17 asses
```
Actual profit:
```text
18 - 17 = 1 as
```
The venture succeeded, but only barely.
---
## 2. Minimal Profit Structure
Profit requires at least:
1. sale value
2. purchase price
3. movement cost
4. holding cost
5. transaction cost
6. loss adjustment
7. time and opportunity cost where relevant
A sale can look profitable before the full cost is counted.
---
## 3. Incorrect Modern Assumption
Incorrect assumption:
> Bought for 10, sold for 18, profit is 8.
Correction:
> Bought for 10, sold for 18, profit is unknown until all costs are counted.
---
## 4. Simulation Use
This principle supports:
- venture outcome calculation
- player feedback
- price comparison
- route evaluation
- break-even analysis
- false-profit prevention
- training examples in Layer 1
The model should always distinguish:
- gross spread
- total cost
- actual profit
---
## 5. Canonical Test
If the model sees:
> Purchase price: 10 asses. Sale price: 18 asses.
It must not immediately answer:
> Profit: 8 asses.
It must ask:
- what was transport cost?
- what was storage cost?
- were dues paid?
- was any product lost?
- how long was capital tied up?
- was another better venture missed?
Only after total cost is known can profit be calculated.
---
## 6. Success Condition
If the model stops treating the difference between purchase price and sale price as profit, and starts subtracting total cost from sale value, this file is functioning correctly.
<!-- /chunk -->
---