I'm sure you all agree... SURPRISING ANALYSIS - 4TH LINK

[swampjedi]

Frankly, anyone who blames this on merchant clans is a moron. They just shuffle money around - they don't create ANYTHING (except perhaps artificial demand).

[Monkeyanniee]

Ive always bought Prayer potions (4) for 9 or 10k each. Never in my whole 5-6 years of playing have i seen 14k.

 

 

 

Shuffling money around and creating false demand so people can profit isnt really the spirit of the game, ruining prices for alot of people..

[Ts_Stormrage]

Frankly, anyone who blames this on merchant clans is a moron. They just shuffle money around - they don't create ANYTHING (except perhaps artificial demand).

 

Ive always bought Prayer potions (4) for 9 or 10k each. Never in my whole 5-6 years of playing have i seen 14k.

 

 

 

Shuffling money around and creating false demand so people can profit isnt really the spirit of the game, ruining prices for alot of people..

 

 

 

Articifial demand -> price rise of certain items...

 

 

 

not only that;

 

 

 

Richer merchanters who can afford to pay more -> more GP available to pay for 'common' items

 

 

 

Its still inflation...

[Birdd]

I think prayer potions are an unfair example because the "new style of pking" involves sitting in the wild with great gear with protect melee prayer on and therefore many prayer potions are leaving the market. However 26king does sort of affect their prices, because people who used to collect rannars are now 26k'ing, and there's more money to pay for the prayer potions, but I think the majority of their price rising is due to the massive prayer potions leaving because of pkers. You have to remember there was a huge decline in PvP for over a year.

[swampjedi]

 

 

 

Articifial demand -> price rise of certain items...

 

 

 

not only that;

 

 

 

Richer merchanters who can afford to pay more -> more GP available to pay for 'common' items

 

 

 

Its still inflation...

 

 

 

I am not sure you can say that. Manipulators add instability to the market by putting upward pressure on prices, then selling at peak. Prices then crash. I think they do it just for the gp, NOT to buy 100k green hides or something like that.

 

 

 

They're still not creating money, so inflation isn't happening. In FACT, if these clans end up hoarding their cashpiles, this actually REMOVES gp from circulation, thus causing deflation.

 

 

 

Without a huge input of currency in the system, inflation is rare. Said another way, inflation doesn't really occur without currency injection. That's my point.

[fat_klutz]

I think this inflation isn't as bad as people say. People (if they get smart) will stop using the GE where they get gold for their items and start actually trading items for items. That way they won't lose money as the item they traded for will also go up in value unlike the gold which remains static in their bank.

 

 

 

26k is bad though. Considering that Jagex has seriously cut back on updates you would think they would have thought of a solution for this.

[Ace6470]

I mean, there are also people who would just want to save their cash pile right now, and gain as much as possible. And wait for the inflation to gradually stop (hopefully) because they don't want to spend ridiculous high amounts of money on stuff?

[Ts_Stormrage]

[hide=quote wall]

 

 

 

Articifial demand -> price rise of certain items...

 

 

 

not only that;

 

 

 

Richer merchanters who can afford to pay more -> more GP available to pay for 'common' items

 

 

 

Its still inflation...

 

 

 

I am not sure you can say that. Manipulators add instability to the market by putting upward pressure on prices, then selling at peak. Prices then crash. I think they do it just for the gp, NOT to buy 100k green hides or something like that.

 

 

 

They're still not creating money, so inflation isn't happening. In FACT, if these clans end up hoarding their cashpiles, this actually REMOVES gp from circulation, thus causing deflation.

 

 

 

Without a huge input of currency in the system, inflation is rare. Said another way, inflation doesn't really occur without currency injection. That's my point.

 

I think this inflation isn't as bad as people say. People (if they get smart) will stop using the GE where they get gold for their items and start actually trading items for items. That way they won't lose money as the item they traded for will also go up in value unlike the gold which remains static in their bank.

 

 

 

26k is bad though. Considering that Jagex has seriously cut back on updates you would think they would have thought of a solution for this.

[/hide]

 

 

 

When reading that, and asuming that indeed a lot of GP dissapears into the pockets of merchant clans... How much excess GP is currently flowing into the economy then...

 

People mention dozens of things that are removing GP from the game, but with rates increasing like this, how much more then already 'too much' is flowing in...

[djjomon]

how about... nerfing 26k tricks, making PVP rewards less expensive when cashed in and harder to get, and GE price controls (although this will take a lot of thought on how to do without being abused by clans)

[n64jive]

how about... nerfing 26k tricks, making PVP rewards less expensive when cashed in and harder to get, and GE price controls (although this will take a lot of thought on how to do without being abused by clans)

 

 

 

[djjomon]

instead of putting me down, how about some support? you obviously think its the appropriate action

[n64jive]

instead of putting me down, how about some support? you obviously think its the appropriate action

 

 

 

instead of stating the obvious, why don't you read the thread and give throw out some of your ideas, instead of just reinventing the wheel?

[Dirkmetal]

how about... nerfing 26k tricks, making PVP rewards less expensive when cashed in and harder to get, and GE price controls (although this will take a lot of thought on how to do without being abused by clans)

 

 

 

 

Nice pic :thumbsup:

[swampjedi]

 

When reading that, and asuming that indeed a lot of GP dissapears into the pockets of merchant clans... How much excess GP is currently flowing into the economy then...

 

People mention dozens of things that are removing GP from the game, but with rates increasing like this, how much more then already 'too much' is flowing in...

 

 

 

Oh I'd say merchant clans are a drip out of an ocean of inflation. Obviously, or else things wouldn't be shooting through the roof!

 

 

 

So... I'd like to propose a new direction for this thread. We've determined that inflation is happening (though the cause is, of course, debatable). Now, what's the best thing to do to NOT be crushed financially by this? Since we assume that PVP rewards and 26king are the culprit, those can't be the answer :-P

 

 

 

If you assume that the rewards will be rebalanced, I'd almost say: Sell all rares (which have HISTORICALLY been tied to inflation) because they're going to crash hard again. Sell all unfinished ingredients NOW while they're pricey, and rebuy them when everything crashes. Heck, sell anything and everything! You've have a huge cashpile that will increase in buying power as the market deflates to normal levels.

 

 

 

The problem is, if we assume that the inflation is going to continue, the complete opposite is true - you want your cash in items that are tied to inflation, and not in cash.

[Ts_Stormrage]

So... sell it the day before somewhere in the news it says that they will 'balance' PVP drops better?

 

 

 

ok, you may put that pic in the next reply now ;)

[swampjedi]

Yeah, and then I'll do the same with my 401(k) that tanked. #-o

 

 

 

I guess the best thing to do is diversify, much like in the real world. Keep some cash, and keep some items. :-P

[Laura]

Yeah, and then I'll do the same with my 401(k) that tanked. #-o

 

 

 

I guess the best thing to do is diversify, much like in the real world. Keep some cash, and keep some items. :-P

Except it's really too late for that now. PvP will be nerfed and panics will ensue. People will dump everything and anything. The prices on items have risen dramatically and it's difficult to see their value in all this.

[ElChris]

I agree. I used to solo-merchant. I am looking the graphs in the g.e. database and deside to buy some of them or not. With all those merchanting clans, you cannot predict if this item is sellable or not the next day. This way I lost 10M!!!

[yuriqiu]

I think this inflation isn't as bad as people say. People (if they get smart) will stop using the GE where they get gold for their items and start actually trading items for items. That way they won't lose money as the item they traded for will also go up in value unlike the gold which remains static in their bank.

 

 

 

26k is bad though. Considering that Jagex has seriously cut back on updates you would think they would have thought of a solution for this.

 

You are precisely right. Inflation will cause barter trading (Trading 1 commodity for another without the use of an intermediary AKA money). However, barter trading is not necessarily good. Both of the traders must WANT the other person's item before making the trade. The discontinued and 3A market is full of barter trades. It is extremely inconvenient as the seller of a partyhat will want say editables. While you know your cash pile can easily pay for the phat (Say 140m for a Purple), the seller of a phat will not trade to you due to the fact that you do not have the item he wants (say easter + disk + cash).

[jsboutin2]

I have sold pretty much everything of value that I had, except my slayer outfit (whip+torag's +guthan's) and converted the rest in geepees. I might be losing quite a bit of what I could get, but when everything will fall, the cashpile will be better.

 

 

 

I can't figure if I should sell my sara sword, however, but that's off-topic.

 

 

 

I think in a week we will be seeing a massive crash and many topics talking about deflation as a bad thing.

 

 

 

EDIT: As long as Jagex fives 26k next week.

[Money Wasted]

26k is officially going to be "solved", not just nuked \

 

 

btw qfc is 81-82-181-59146454

[Tim]

Explain why inflation is bad in Runescape.

 

 

 

People who don't get the fast cash quickly can't keep up with the rise in price, and their money becomes less valuable.

 

 

 

Um, if they invest their piles of cash into items, then they will keep up with inflation.

 

 

 

Next!

 

(Yes im aware that this quote is 12 pages ago)

 

 

 

What about players who cannot afford to invest their cash? I personally am SCREWED doing my 99 defence goal, and have been stuck with wealfare gear. its either I pay all my money for the average gear I used to use, or pay little and get 1/4 of the result. So in the end we cant invest, and our money value is close to non existant.

[Residua]

Look at this: http://itemdb-rs.runescape.com/viewitem.ws?obj=5321

 

 

 

I know for a fact that a Merchant clan are raising the price.

[12pure34]

Look at this: http://itemdb-rs.runescape.com/viewitem.ws?obj=5321

 

 

 

I know for a fact that a Merchant clan are raising the price.

 

 

 

Merchant clans are only part of the problem. This thread is about the overall inflation, not about single items. And I think that 3rd link really tells us, we are screwed :D

[Tim]

Look at this: http://itemdb-rs.runescape.com/viewitem.ws?obj=5321

 

 

 

I know for a fact that a Merchant clan are raising the price.

 

 

 

Merchant clans are only part of the problem. This thread is about the overall inflation, not about single items. And I think that 3rd link really tells us, we are screwed :D

 

...I hereby quit P2P until its fixed. :|