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PLEX: real demand and offer - The Stack system

Author
Dianalexia
Gea'Vii Enterprises
#21 - 2014-11-15 15:18:44 UTC  |  Edited by: Dianalexia
Antillie Sa'Kan wrote:
Dianalexia wrote:
Read above. Dude, just. Stop. Posting...

You have failed to establish the existence of a cartel in the market before asserting its existence as part of an argument. Please, continue with your antics. I find them amusing.

I can't but ignore the straw man arguments you keep presenting. For example, please stop taking things out of context and making connections that I myself never did, like this crap here:
Antillie Sa'Kan wrote:
Dianalexia wrote:
PLEX...cartels...

[Citation Needed]


The whole sentence is this and I can't fine the PLEX anywhere in it. Also please tell me how this is false, be it IRL or EVE:
Dianalexia wrote:
Let's not get into a debate on how speculation and cartels kill free market.


If you would bother to spend a few seconds and read, you would notice that I didn't said anything about plex cartels in EVE. There might be or not (hello moon minerals), probably not even CCP knows.

Also please spend some time and tell me how the Stack system is killing the plex market, how it kills demand and offer, how it is capping the price of plex, how is preventing you to hoard them, how it prevents you to use them as you actually do. The only thing that it does is stopping flipping. And if you're considering that speculation is actually healthy for a free market, please explain. It would be nice to see how the speculation bubble that lead to the 2008 depression actually helped the economy.
Antillie Sa'Kan
Imperial Shipment
Amarr Empire
#22 - 2014-11-15 15:42:33 UTC  |  Edited by: Antillie Sa'Kan
Dianalexia wrote:
The whole sentence is this and I can't fine the PLEX anywhere in it. Also please tell me how this is false, be it IRL or EVE:
Let's not get into a debate on how speculation and cartels kill free market.

The subject at hand is the PLEX market, and you brought up cartels as support for an argument without first establishing that a cartel existed. I don't see what else could be more clear here. While I agree that speculation and cartels are certainly bad for real economies, EVE is not a real economy. Also, we need to clarify the difference between speculation, long term investment (long considered a wise thing to do with PLEX), and inflation (yay incursions!). All three factors are at work here and separating them is rather difficult.

Dianalexia wrote:
Also please spend some time and tell me how the Stack system is killing the plex market, how it kills demand and offer, how it is capping the price of plex, how is preventing you to hoard them, how it prevents you to use them as you actually do. The only thing that it does is stopping flipping. And if you're considering that speculation is actually healthy for a free market, please explain. It would be nice to see how the speculation bubble that lead to the 2008 depression actually helped the economy.

I never said that the stack system would kill the PLEX market or cap prices. That was a different post in response to another poster proposing a price cap. Please learn to read. Although it may kill the PLEX market in certain parts of low and null. Also, once again, EVE is not a real economy.

Also you are assuming that PLEX flipping is occurring often enough to be an issue. You need to prove that before proposing changes to correct the issue.
Dianalexia
Gea'Vii Enterprises
#23 - 2014-11-15 16:07:03 UTC  |  Edited by: Dianalexia
Antillie Sa'Kan wrote:

I never said that the stack system would kill the PLEX market or cap prices. That was a different post in response to another poster proposing a price cap. Please learn to read. Although it may kill the PLEX market in certain parts of low and null. Also, once again, EVE is not a real economy.


I see. How it would kill the plex market in certain parts? Since plex originally created keeps having the same properties as it has now? As long as it doesn't go into the Stack, nothing changes. In order for a plex to go to the stack it should be bought from market.

Antillie Sa'Kan wrote:

Also you are assuming that PLEX flipping is occurring often enough to be an issue. You need to prove that before proposing changes to correct the issue.


People buy them as protection against inflation, because the price of plex can only go up, right (please look at the graphs in the article I linked earlier)? Then, in this particular case, be it short term or long term is still flipping (you sell the plex at a higher value). The issue at hand is that plex is the only item in EVE that behaves like RL gold. So, CCP should either introduce more items that could be used as hedge against inflation in order to ease the pressure on plex or making the plex to stop behaving like RL gold and turn it to be just like all other items in EVE (like the Stack system does - in terms of like gold behaviour).
Antillie Sa'Kan
Imperial Shipment
Amarr Empire
#24 - 2014-11-15 16:24:27 UTC  |  Edited by: Antillie Sa'Kan
Dianalexia wrote:
I see. How it would kill the plex market in certain parts? Since plex originally created keeps having the same properties as it has now? As long as it doesn't go into the Stack, nothing changes. In order for a plex to go to the stack it should be bought from market.

Because you wouldn't be able to buy PLEX in Jita and ship it to low/null for resale. Some trade is done with normal ISK you know. Since the current supply of PLEX would eventually deplete we can't rely on it to sustain normal PLEX trade.

Dianalexia wrote:
The issue at hand is that plex is the only item in EVE that behaves like RL gold. So, CCP should either introduce more items that could be used as hedge against inflation in order to ease the pressure on plex or making the plex to stop behaving like RL gold and turn it to be just like all other items in EVE (like the Stack system does).

How is this a problem? As I stated earlier there are already pressure relief valves in place for PLEX prices.

Also, there is only a certain amount of gold on earth, very little is mined these days compared to how much is available on the market already so the market for it is somewhat uniquely influenced by demand over supply. Governments also horde the stuff and the Chinese (the largest producers of the stuff) like to fiddle with their import and export rules in funny ways at random times.

However PLEX is created and destroyed in large quantities every day. This is very different from gold. PLEX is closer to something like cars or paper plates, new ones are constantly being made and old ones are constantly being destroyed all over the place. Nobody stores massive numbers of new cars in warehouses for decades or gets all that worked up over import and export policies for them either. Granted people do store PLEX sometimes for long term investment, but not the way that governments store gold.

Also, unlike PLEX (so far), the price of gold does not always go up. It goes up and down like anything else based on demand.
Dianalexia
Gea'Vii Enterprises
#25 - 2014-11-15 18:31:23 UTC  |  Edited by: Dianalexia
Antillie Sa'Kan wrote:
The pressure relief valves for PLEX prices are people deciding to pay their accounts with real money instead of PLEX and more people deciding to sell PLEX for ISK. Too many people with a "free to play" mentality are the issue. Fortunately this issue is a self correcting one.

Nope, that's not a release pressure valve, you're just limiting consumption which is bad for CCP. The Stack system doesn't limit consumption.

Antillie Sa'Kan wrote:
However PLEX is created and destroyed in large quantities every day. This is very different from gold. PLEX is closer to something like cars or paper plates, new ones are constantly being made and old ones are constantly being destroyed all over the place.

Looking at the graphs, more plex is created than destroyed every day.

Antillie Sa'Kan wrote:
Granted people do store PLEX sometimes for long term investment, but not the way that governments store gold.

You're wrong again, looking at the graphs and at what CCP is saying, people actually do store plex like that.

Antillie Sa'Kan wrote:
Also, unlike PLEX (so far), the price of gold does not always go up. It goes up and down like anything else based on demand.

Yeah, plex price except for minor a minor recoil is always going up for reasons already stated.
Antillie Sa'Kan
Imperial Shipment
Amarr Empire
#26 - 2014-11-15 20:04:57 UTC  |  Edited by: Antillie Sa'Kan
Dianalexia wrote:
Nope, that's not a release pressure valve, you're just limiting consumption which is bad for CCP. The Stack system doesn't limit consumption.

Yes it is. As prices rise demand drops (people pay with money instead of PLEX) and supply increases (more people buy PLEX and put it on the market). Simple. Replacing PLEX sales with normal subscription payments doesn't hurt CCP at all. Prices just haven't gotten high enough yet is all. Once a PLEX can buy you a carrier or a dread I suspect things will level out a bit. Granted some people will close out their alt accounts, but I don't think this will be a significant loss for CCP. In fact EVE could use a few less alts running around.

Dianalexia wrote:
Looking at the graphs, more plex is created than destroyed every day.

I don't really see how this a problem. Although it could result in a sudden drop in PLEX prices if a large amount of built up PLEX hits the market at once. Then it will be the sellers complaining instead of the F2P crowd. Not really much different if you think about it.

Dianalexia wrote:
You're wrong again, looking at the graphs and at what CCP is saying, people actually do store plex like that./quote]
Sorry but no. You have no idea how governments hoard gold and regulate its import and export do you? Why do you think international flights require you declare "monetary instruments" upon entering a country?

[quote=Dianalexia]Yeah, plex price except for minor a minor recoil is always going up for reasons already stated.

By reasons you mean a large number of people mistaking PLEX as a F2P system? So what? Its a game. Who cares. Pay $15 a month instead of grinding like a slave for a PLEX if you feel its such an issue.
Dianalexia
Gea'Vii Enterprises
#27 - 2014-11-15 20:18:58 UTC
Edited the OP
Antillie Sa'Kan
Imperial Shipment
Amarr Empire
#28 - 2014-11-15 21:00:32 UTC
I do like your idea. I'm just not sure there is an issue that needs to addressed in the first place.
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