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Railway is good if you have Lespia as ally and want war and not confident you get economic recovery or get free market bonus so you have Lespia airforce
Higwhway is good if you still want Agnolia's deal while tighten immigration, and want Agnolia's army support at war.
Building railway or giving project to Underhall also improves relations with Oligarchs
Completing mega project also gives popularity boost.
Don't want any of that? Yes you can skip it and fund something else, like funding branch, signs worker's bill, or maybe lower some tax to fix economy. Play your card right and you should still popular when you fund welfare.
You can invest in company stocks that does the project. It improves transport, and therefore, the GDP growth and unemployment.
Even if you want to be Ancap, go and do it. You can refuse bribe, STILL award the contract to Underhall construction, invest in the company legally and get rich, AND make Tusk happy. You can get more money later and tax some alcohol. Plus the construction WILL pay off big. I say do the railroad.
God bless Keynes.
The Highway is useful for the rumberg war to redeploy Agnolian troops for a blitzkrieg the railway is useful if lespia is your ally.
Making the Oligarchs happy is also helpful if you want to pass an authoritarian constitution since one of the reformist judges is on the Oligarchs payrole
That said, to achieve the above requires very careful decisions all the way through, and you don't actually NEED to get all green in economic indicators, since you can max out your economy rating without that.
As others have stated, each of these projects may provide other benefits depending on who your ally is if you end up in a war with Rumburg.
And I suspect completing the first one probably makes it easier to repair the recession earlier?
Also, if you don't invest in the first infrastructure project then you can't choose Underhall for it, which likely means it won't grow as fast, which probably affects your potential investment opportunities later.
I thought the infrastructure project is helpful only when you DO have allies - at least the first one can potentially help one of your allies get in position in time, with each project potentially helping a different ally.
I didn't think the first one had an impact when you don't have any allies at all? Or does it affect your own troops in a similar fashion?