Hey, feel free to use the Nationstates general thread for real issues along with RP, thats why it was established.
To answer your question, the nations are apparently based on several different numerical values. Each issue does math to these values and the words that you see are just there to cover up what your choice is doing to your numbers. Therefore, most issues do not set policy, but insted a general numerical change to one of the values that your nation possesses. Eventualy you will probaly come across many of the issues again and again, and you can change it there. Its not the only issue that will affect econ. There are at least two out there that will rocket your econ to new strengths, and any one issue will not lock your nation in any one way. Keep playing and see how your choices affect your government, its not stuck in a slump permanently especialy since you can choose a different option the next time you get that issue
BTW, thats just my theory on how it determines your nations make up. Some issues, like those on gambling, may affect stats like what your economy is strong in, which means they add more than just numbers to some of those values.