"For three decades, the US Army (along with other government entities and NGOs) has contracted with gaming vendors to build simulations for training and education."
Actually, training and entertainment approach it very differently. Simulators used by the military for training don't have a lot of the "gamification" elements you describe, but games designed with some military oversight will.
While gamification is a neat idea, I think we should probably be cautious at this point. I don't know if all people will really respond positively to gamification.
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