How the money inflow affects prices or not

[rncd147]

Well i don't really post a lot as u can see form my post count, but I have grow some what of confused about the RS economy.

 

 

 

Well I see people left and right screaming about how the amount of money that is currently coming into the game is affecting in game prices. For me its kind of weird how the rising amount of money is affecting the prices for most I think the people are mistaken its not the money inflow that lowers the prices itÃÆââââ¬Å¡Ã¬Ã¢ââ¬Å¾Ã¢s the amount of people that is able to make these items or kill monsters tog get them like the abyssal whip. If the money inflow affected the prices I would be that there would be inflation and the prices would go up instead of going down just as it is in the real world. But here its different lets take a look at the whip prices IÃÆââââ¬Å¡Ã¬Ã¢ââ¬Å¾Ã¢ll talk about them since so many people were criticizing the whip price drop. Personally I thin its great that it happened since more people can buy them. On the other hand rich people are starting to loose the advantage over some what less fortunate comrades. Well anyhow the prices dropped since so many people are able to kill the demons and not because the alchers bring so much money into the game.

 

 

 

Well If u look at the situation another way it is possible to say that the alcher some what stimulate the price drops. Lets take the same example with the whip. I wont discus it as much as the first statement since its know by most people how it works.

 

 

 

A person alches to get money, he uses that money to train skills faster in this case slayer then more people have 85 slayer and are able to kill the demons for the whip thus again bringing us to the whip price droppings.

 

 

 

I have made my statement you be the judge and say what you believe is true.

[Guitarted7]

makes sense... :)

[Stilev]

well obviosuly :?

 

 

 

lol but really you are right, the more people with 85 slayer = more whips, more whips = more comptition = lower your price to get a sale

[hellbellz]

Well, if everyone kept stuff at same price, people would get mad because they wouldn't lower it, then people who lower it way down so other people can buy it - make it higher, then people would lose 1000's. So other than the rare economy, everything seems fine. :D

[Peronix]

Umm... money inflow does not = lower prices. The more money in the economy the higher the price someone is willing to pay, which means higher prices. The reason whips and barrows stuff is dropping is the huge moneysink of the Construction skill. I contributed in taking about 6m cash out of the game by training that skill to 72. Ever since Construction, prices have dropped like a rock. Whips fown from 3.5 to 1.9, D Sqs to like 1.5, chains to 16 (keep in mind that before chains were always steady at around 24-25m), and barrows items have also seen a fairly sizeable drop in price. Yes, these items were already dropping in price because more were coming into the game, but the deflation recently has been as much or more of a contributing factor to that than supply inflow.

[evilrodyle]

More amount of gp in the economy means gp is worth less= higher prices. Lower whip prices really imo have nothing to do with how many people are killing abbies. Just look at everything. Prices are dropping on every item left and right. Dragon sq is 1.4\all barrows is at an all time low\obsidian items(cape,sheild) are terribly low\Fremmnick rings are extremely low also. This is because of construction. Since construction there has been tons of way to drain gp from the economy. Less gp= worth more=the item will cost LESS gp. Jagex is the one at fault for this. Construction honestly should have been done different because all it is doing now is draining all the gp from the economy. Don't blame merchants, dont blame the amount of whips\barrows items coming into the economy, blame JAGEX!!! :x

[mini193]

yeah i agree

[WolfhunterXZ]

More amount of gp in the economy means gp is worth less= higher prices. Lower whip prices really imo have nothing to do with how many people are killing abbies. Just look at everything. Prices are dropping on every item left and right. Dragon sq is 1.4\all barrows is at an all time low\obsidian items(cape,sheild) are terribly low\Fremmnick rings are extremely low also. This is because of construction. Since construction there has been tons of way to drain gp from the economy. Less gp= worth more=the item will cost LESS gp. Jagex is the one at fault for this. Construction honestly should have been done different because all it is doing now is draining all the gp from the economy. Don't blame merchants, dont blame the amount of whips\barrows items coming into the economy, blame JAGEX!!! :x

 

 

 

Why blame them? Applaud them. All the items were expensive due to inflation. Which as you said is, more money in the economy = higher prices because lots of people have MORE. Jagex has lowered the inflation by I'd say 1/3rd or so. There's much too many factors for all of it, for whips. Inflation, AND the more 85 slayers is making the price drop. Also look to the D2H, more D2h = lower price. I predicted right at the beginning when it came out, that it'd eventually lower to a normal priced dragon weapon, and it's getting there, it's about 1m away now.

[G0D_Zmorak]

Jagex doesn't involve itself with the economy of Runescape like the creaters of, say, Everquest involve themselves with it's economy. May RPGs include very stable, realistic economies just as the real world economy does. Depressions in Everquest, FF XI, and WoW relate to Runescape as a 100k drop in a whip, at the most. Great depressions are comperable, but very rare as the economy is set.

 

 

 

RS's economy is based on players doing their best, not like the stable economies of other RPGs which are monitered by the creators and (sometimes) investers..

[evilrodyle]

We are heading into runescapes first great depression. Soon you will be seeing andrewvilles all around runescape.

[Jard_Y_Dooku]

If all prices drop by the same amount, no harm done though.

[cool75155]

Yeah your right i guess

[rncd147]

Umm... money inflow does not = lower prices. The more money in the economy the higher the price someone is willing to pay, which means higher prices. The reason whips and barrows stuff is dropping is the huge moneysink of the Construction skill. I contributed in taking about 6m cash out of the game by training that skill to 72. Ever since Construction, prices have dropped like a rock. Whips fown from 3.5 to 1.9, D Sqs to like 1.5, chains to 16 (keep in mind that before chains were always steady at around 24-25m), and barrows items have also seen a fairly sizeable drop in price. Yes, these items were already dropping in price because more were coming into the game, but the deflation recently has been as much or more of a contributing factor to that than supply inflow.

 

 

 

If u carefully read through the post you will see the example that i give shows the indirect way how inflation affects prices. More money more = possibilities to train faster.

 

 

 

But the thing with construction I personally donÃÆââââ¬Å¡Ã¬Ã¢ââ¬Å¾Ã¢t completely agree with you on that. You say that the only factor that affects the prices atm is the money drain that was introduced with construction into the game. I think that itÃÆââââ¬Å¡Ã¬Ã¢ââ¬Å¾Ã¢s more that the items have been around for a while and there are 10's of millions of them in the game already it was just a matter of time before they dropped to normal prices. It is due to their abundance not the deflation that is currently happening. ItÃÆââââ¬Å¡Ã¬Ã¢ââ¬Å¾Ã¢s the basic economical formula more the sellers selling the same items = more competition = lower prices.

[KingJD]

Jagex does have market controls. The amount you get for alching and selling at a general stores are their controls. They give it a price that such an item will most likely never drop below. (I guess rune meds are an exception since they're sold for 10k when they're worth 11,520)

 

 

 

Jagex has determined that the real value of the whip is only that of X.

 

 

 

If what you can get for alching a d-long is 40k (i have no idea what it alchs for, never tried it, but thats what it is) then the price of a whip, which has stats only slightly better than the d-long would logically be somewhere in the area of it.

 

 

 

whips are obviously going to drop until they drop to, or around, the preset market equilibrium..

 

 

 

i dont know why everyone complains that whips are dropping in prices.. that was forseeable from the day they came out.. since they were going to be continually introduced via drops.. just like the dragon med :roll:

[Jard_Y_Dooku]

I remember the Med when it was 2.5m.

 

 

 

I think the barrows bug where meds were very common for a while greatly contributed to it. I got my first dragon drop there. :D Recently though, way after the bug was fixed.

[rncd147]

I remember the Med when it was 2.5m.

 

 

 

I think the barrows bug where meds were very common for a while greatly contributed to it. I got my first dragon drop there. :D Recently though, way after the bug was fixed.

 

 

 

thats dragon i remember when rune meds came out they were around 1mil at first. I was just drooling all over them I wanted one so bad got it when it was around 150k i think. that was a fortune for me back then gave the guy so much addy he could resist. Now they are at a amazingly low price from 1mil to 10k. but its all inevitable ( i hope i spelled it right :P ). In some time this will happen to all of the items that can't be bought in stores. That is one of the reasons why D-axe Long and dagger haven't drop as much as a whip. The price for them was set and it was optimal, but with the whip players set their own price and the current situation was inevitable.

 

 

 

I'm waiting for the day when D-chain will be 10k ill buy a 29 of them i'd wear one and have my inventory full of D-chains :lol: .

[malo2]

It does affect the prices, but little. The reason for most of the price changes, is the fact that more and more people are obtaining theese items (ex. more 85 slayers, more barrow runners, more dagg king kills)

[transcript80]

Economy is about supply and demand.

 

 

 

Example: whip/barrows/obsidian stuff: This goed down because more people are able to get them (more players are slayer85+, the rest: the longer an item is in-game, the more copies there are going to be, since it is a fixed "chance" rate) thus more supply. Demand stays about equal-> prices drop.

 

 

 

Also, when someone is eager to sell an item becaus he/she needs money (for levelling construction for example), he/she will accept a lower price because the seller wants to get rid of it FAST.

 

 

 

Furthermore, more GP/player in-game means (as stated above) that people have more gp to spend, and thus are willing to pay MORE for an item, especially if they want it FAST. The 2 reasons above are the main source in the existence of merchanters.

 

 

 

Also, when something new is introduced in the game, it is rare (not much time to drop for a %) and thus expensive. If you compare the high-alchemy value of a whip (or worse, party-hat!) with its in-game value, you'll be stunned! The the whip is STILL over-price (dropped to about 2M now, if I'm correct), not to mention the party hat.

 

 

 

Just a nut shell......

[Mollerz]

I remember the Med when it was 2.5m.

 

 

 

I think the barrows bug where meds were very common for a while greatly contributed to it. I got my first dragon drop there. :D Recently though, way after the bug was fixed.

 

 

 

thats dragon i remember when rune meds came out they were around 1mil at first. I was just drooling all over them I wanted one so bad got it when it was around 150k i think. that was a fortune for me back then gave the guy so much addy he could resist. Now they are at a amazingly low price from 1mil to 10k. but its all inevitable ( i hope i spelled it right :P ). In some time this will happen to all of the items that can't be bought in stores. That is one of the reasons why D-axe Long and dagger haven't drop as much as a whip. The price for them was set and it was optimal, but with the whip players set their own price and the current situation was inevitable.

 

 

 

I'm waiting for the day when D-chain will be 10k ill buy a 29 of them i'd wear one and have my inventory full of D-chains :lol: .

 

 

 

D long and D dagger will never drop again, because that is their alchemy price, as Dragon Chains will NEVER EVER EVER drop below 150k, that how much it alchs for...

[pinotl]

How come merchant stockpiling of money is never mentioned in the drop in item prices?

 

 

 

I might have overlooked an important factor here, but it occurs to me that the longer merchants keep buying low - selling high, the more unevenly distributed the cash flow becomes - like in the real world where 10% of the people own 90% of the wealth - the other 90% of people with 10% of the wealth will umm & ahh over paying a small amount for something because they only have a small amount total.

 

 

 

I appreciate the RS economy does not obey the laws of the real world economy all the time for a number of reasons (being able to conjure money out of air for one, and being able to harvest an unlimited pool of resources being another) so all a person has to do is make 500 air battlestaves or make 2084 yew longs etc and a new millionaire is born. But still, do the rules of money hoarding apply here?

[rncd147]

Oh juat noticed thi topic got pushed to page 2. Im bumping it if anyone wants to post go right ahead if not then just let this topic die

[Made0f12une]

if everyone that COULD mine rune, and would mine rune, and could mine rune without being pked, all mined rune, banked it, and smithed a ton of items, they COULD bring prices down.

 

 

 

The less of the item there is in the game the higher the price is. Thats why when Dchain, Dlegs, Whips, and Barrows armor were so exspensive when they came out, because nobody had them and everyone wanted one