Beating an Economic Dead Horse to Death.

[rtrentc]

I know that this is a medival world. I chose gasoline as my example because it would be something everyone is familiar with. The economic rules that apply now would appy then as well. The only thing that would be different in the medival world case is the exact items that are being bought and sold. You would still have staple items, like wheat, barely, corn. You would still have manufactured items, like swords, shields, horseshoes, doors, tables, etc. Even though the method of production from modern to medival would be different the rules of supply and demand, of labor and capitol would still be the same.

[zanzibar]

The same rules did apply, but my impression is that such changes in value would be more gradual and less severe.  There is one event that comes to my mind though, but it's not medieval - it's in the 17th century.

In the beginning of the 17th century, the tulip was starting to be used as a garden decoration in addition to its medicinal use. It soon gained major popularity as a trading product, especially in Holland. The interest in the flower was huge and bulbs sold for unbelievably high prices. Botanists began to hybridize the flower. They soon found ways of making the tulip even more decorative and tempting. Hybrids and mutations of the flower were seen as rarities and a sign of high status. In the months of late 1636 to early 1637, there was a complete “Tulipmania” in the Netherlands. Some varieties could cost more than an Amsterdam house at that time. Even ordinary men took part in the business. They saw how much money the upper class made in the commodity and thought it was an easy way of getting lots of money with no risk. The bulbs were usually sold by weight while they were still in the ground. This trade in un-sprouted flowers came to be called “wind trade”.

The traders made huge amounts of money every month. People started selling their businesses, family homes, farm animals, furnishing and dowries to participate. The government could not do anything to stop “Tulipmania”; the trade was all about access and demand. Finally, the tulip did not appear to quite so rare as to justify such high prices. Over-supply led to lower prices and dealers went bankrupt while many people lost their savings because of the trade. This “Tulip Crash” made the government introduce special trading restrictions on the flower.

http://www.holland.nl/uk/holland/sights/tulips-history.html



I think the question is "How stable do we want the economy to be?"  because this is a fantasy universe.

[Nikodemus]

I would like the economy to be as today. I think, we won't create economy as it was 600-500 years ago. Simply because people think differently. There is way too many people who wouldn't try to act like they would 5 senturies ago. I wound't because i don't even know how.
I can only suppose it was different once. The economy isn't only about supply and demand. There are exceptions and they are because of people. People have different needs and feelings, sometimes irrational. People was different once and thats why i except the principles of economy to be different once. Also today we have different potentiality, globalisation and so thigs are hoe they are, but not really exactly as they were once.

I believe we can have similiar economy in game and I want it because I don't like being enforced by the game mehanics. This always lead to ooc conclusions, you have to ignore if you want to keep RPing. Because this would lead to you not being able to RP any role you want. Coz the more restricted you are, the more ooc things must be enforced at you. Thats why we don't really call diablo a RPG. Because RP is about playing any role. If not, PS is same RPG as Diablo is. Only in Diablo you are restricted more to what you can RP.

So finnaly, for me the question is if you want realistic economy or not. If realistic economy is unstable, then it is the economy i want. I remind the famous crash on Wallstreet.
I always laught the the complaing common people i this situation: A group of rich players does something to the economy, by accumulating a lot of some product and then releasing it at once. The prices drop and other players massively start complaing at these few richplayers^^ This is called realism. And i like it. Sooner or later the balance must come back and while it isn't, people shoiuld complain ICly, not OCCly.

[thingythekid]

It seems that one question that has arisen is:
"What is gold used for within Yliakum?"
Which means that because the game is incomplete, some resources are not resources but simply a means of taking money from NPCs. So, is there a use intended for gold? Obviously, as the currency in Yliakum is made out of crystals, its traditional use on Earth is already filled. So, what are the other areas in which Gold can be used? I'm a little unsure as to exactly what skills and professions are intended for the final game, but presumably there are the following among them:

Resource Gathering (Primary Industry):
Mining
Farming
Hunting

Player Item/Consumable Production (Secondary Industry):
Smithing
Cooking

Looking at the Fantasy genre, it would also be fairly normal for the following tertiary industries to exist:
Mercenaries
Enchantment
Guarding

Now, one solution that popped into my head as I was reading this thread was that perhaps:

Gold has a high natural affinity for magical energy. Therefore, it keeps magical charges for longer than just plain iron and steel. This means that an enchanter would prefer to bind a weapon's handle with a gold wire in order to make it deal fire damage than to just enchant the weapon normally, because it would be easier. This could be represented ingame by either the wire-bound weapon costing less mana to enchant, or better enchantments being available for it.

This problem probably doesn't solely apply to gold. With the resources available within the game, similar questions are likely to keep arising, and so they need answering. This post is sort of a translation of the way I would think about the problem. I by no means would presume to tell other people that they should think like me, but I think that the more ways people are exposed to looking at issues, the easier it is for them to form their own unique techniques and therefore solutions.

If I'm repeating an idea or thought process that's been explored in another thread I haven't read, then I apologise - I haven't looked at the forums in a long while.

Anyway, that's my 2 euro-cents. If anyone else has thoughts on the subject, I'd be glad to hear them - I find problems like this quite interesting.

[joshua6021]

Being in the business of trading on this game I can't agree with you more. I have two thousand daggers comming my way and no one is buying them. I am happy to help out future blacksmiths but considering the return I have to buy at acheaper price. But no I can sell to Harliquest for more. NPCs are great but as for supply and demand it is useless!

[joshua6021]

Yea try to sell to those people on this game. Harq gives 200 for a sword they want 2500 from you???


Make it stable set some prices and rely more on hand made stuff at lower than 50,000 Trais then economy will move in the right direction. Right now though it is just like the game make believe because nothing demands chance inside the game. If a player doesn't get the price they want they just use it up becuse resources are plentiful with no cap to ake it harder to obtain things. So Untill something is changed PS is only going to be something we claim is life like. Another thing to say on this topic is that nothing can be done because Everyday new people join and if it is too hard to get into the game due to restrictions on goods then only the oldest of players will be able to survive. Unless a faction picks you up but even then how would a new player play without getting a sword for say a month until one was handed down or they dug in the dirt for a year to get one of Harqs 50/50 merchandise. Don't get me wrong I love the game We just have to figure out what is important before true economy can be discovered!