Serene Repose
Perkone
Caldari State
435
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Posted - 2012.03.29 03:54:00 -
[1] - Quote
It's all inextricably bound to the nature of numbers (sic values). The fact ISK is currency in circulation, but isn't (by its nature) governable by activities normally used to control the value of currency, there had to eventuate a slippage in the value of ISK. The "normal" control in economics is the printing and issuing of currency based on economic indicators. ISK is neither printed, nor issued, therefore the control is unavailable.
This showed itself, establishing the values at game launch and letting them ride, when insurance payouts for vessels exceeded the purchase cost of the same vessel. It became profitable to buy and self-destruct ships for the insurance payout. By the same token, it became unprofitable to manufacture ships. The result would have been the destruction of all ships on the market (conceiveably) with no manufacturing to replace them. Upon seeing this, CCP hired a phd in economics to troubleshoot the system.
All they could do is move ore of a certain rarity and desired value into more remote areas, reduce the amount of ore garnered from droids as mission drops, and (supposedly) lower the amount of drops in normal missions, while increasing the value of the drops (understanding that mission drops are reprocessed into ore). Other things being discussed at present include manipulating the tax mechanism.
According to every economist who ever won a Nobel, this will all be peripheral since the foundational economic mechanism, that of controlling currency supply, doesn't apply here. The one thing CCP might attempt, which wouldn't go over too well, is deny ISK entering the economy until the value stabalizes. Of course, that means no bounties on NPCs and no mission payouts. At the same time they'd have to seize control of the market and force price standards to stabalize those. When the appropriate values of ISK and items are reached with this "nature of numbers", then relinquish control. This they will never do.
It's like creating a monster that doesn't reveal itself until it EATS you. GULP!! If economists are correct, regardless of what CCP might attempt other than the above stated (which won't work, either, in the long run) prices should continue to rise, and the value of ISK should continue to fall.
Smokestack lightnin' shinin' just like gold. |