Would it be possible to create a computer in a game which is (hardware wise) better than the computer you are using to run the program you are building the computer in? Or is it limited in other ways?

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You could simulate a more powerful computer, it just wouldn’t be able to run in real time (it would run slower than its actual speed) Ex the simulated computer thinks it’s running a game at 60 fps since that’s what it’s simulated clock is telling it, but in reality it’s running (likely much) slower than that. You could simulate a quantum computer on a regular computer, it would just be extremely slow.

If you’re asking if it could run faster than the real computer, then no, that would be impossible.

(Sorry for giving this really long response :P)

long response is fine especially for something in depth like this. I figured it would run slower but imagine simulating an RTX 4090 on like a GTX 1050.

Yeah that would probably be pretty slow lol. There are programs like Logisim which allow you to design and simulate circuits, im guessing it would be pretty slow if you tried simulating anything relatively modern though. It’s pretty fun to mess around with though.