(Sorry for the delayed response here. Right then, going to dig right in. If I miss something, please let me know.)
As for the frequency itself, to be fair i'd consider it differently while still tied, as a separate event, to reputation. Say you have a base standard 50% chance of getting searched per faction initially. If you get searched and are found with contraband, it gets bumped up to 60% chance, with that faction, and say it scales down universally with other factions (55% say), up to whatever limit you see reasonable, 90%/100%. If you often smuggle and get caught smuggling, you'll be targeted more often, and eventually raise that chance even with factions you don't trade with.. 'being notorious'. This will fit in with the reputation system that if you do get caught and they look the other way, it won't affect that chance more.
If you engage in legal trade, get inspected, and found all clear, that percentage drops. If you carry food to starving children and medicine to far-flung worlds, i'm sure everyone eventually will think of you as a trader-saint, even if you do eventually end up smuggling some drugs with the medicine. Still, this should be capped at say 10% just to make sure you can't 'saint' yourself in consequence-free smuggling.
Hmm. This... basically sounds equivalent to the reputation system, as the chance of being inspected already depends on your standing. If you get caught, your standing drops, and the chance goes up. It's nearly identictal
Aside from that, any way there could be a situation where i'd suck in the fines and STILL make a profit off smuggling? That'd be broken. I don't think you mentioned if the inspectors confiscate your contraband or not? If you can't pay the tolls they should just rob you blind.
I don't know if it'd be broken, but whatever contraband is found does get confiscated. Unless you refuse to hand it over, in which case you take a much bigger rep hit.
Oh, and as a last thing, would it be possible to target periods of high activity, when inspectors are overrun with scanning other fleets (if that even happens), so you can make a break for it? I'd love a lot more interaction and gameplay on the galaxy map.
If there are enemy fleets around, patrols won't perform inspections, so there's that.
I'm not sure how much I like once per month scans (unless it's scan whenever, and tolls once a month), since you can go into a system, get scanned, then grab whatever contraband you want with no consequence
I'm not sure you ever *want* to get scanned; that's a lot of credits down the drain. But yeah, tweaking some things re: that.
It keeps track of what's actually being traded/transported, and that factors into the salvage.
Any idea yet if boarding will factor into this?
Only in the way it does now, increasing the amount of stuff you get from salvage a bit.
Question: How much is the average profit a starting fleet(a medusa & a mule) will make if they only engage in legal trades?
Can't really say, since that's down to that balancing pass I've been talking about. Also, I'm not sure what kind of answer you'd expect here. "Some?"
It also depends on what you're trading, whether you're taking advantage of events, whether you're successfully avoiding tolls, etc etc.
Any special bonuses planned for phase ships regarding smuggling or detection of illegal cargo onboard?
No - that might factor in later if phase ships get special campaign-level abilities, but for now, I think adding special cases like this for phase ships would just be adding baggage to sort through later.
This really raises some questions about communication abilities of ships out in the void. If I get pulled over by a customs inspector while I'm smuggling and blast him to peices with no witnesses, do they automatically know you killed them back home or do they just come up with a lost patrol? Do they have instantaneous (ish) communication in system or black boxes or something?
This is one of those things where gameplay squarely trumps any sort of realism. I mean, you can imagine how word gets around (rumors, your own crew talking, black boxes, distress signals, etc), but actually simulating much of that would, I think, be going way overboard.
Edit: also, will there be any possibility of trickery such as sneaking into a market amidst a neutral trade fleet to kind of blend in with traffic?
Hmm. Messing around now with making patrols occasionally inspect NPC fleets (which would create a "distraction"); will see how that goes.