Science & Industry

I think that would depend on how much it reduces the taxes. By 10% at level V? Probably not a big deal. A combination of skills + standing that cuts tariffs by 15%? Could be interesting, a reward for keeping high sec status. The skill would have to only apply to NPC-owned COs.

High sec status the standard in highsec, not the exception. Having something like Caldari Faction standing at 9+ to get good Jita prices is a long, difficult grind which few traders finish. Having good sec status is comparatively trivial and commonplace -- even in nullsec, where pvp doesn't reduce sec status!

I'd preach patience, and revisit the taxes and game mechanic in a few months after the markets and producers have had time to adjust. I think people will be pleasantly surprised.

More than one alliance has recently released information supporting claims against goonswarm and Mittani that the chairman used his foreknowledge of the upcoming expansion to position goonswarm in position to line it's pockets at the expense of other players via the new changes to PI.

More than one alliance has recently released information supporting claims against goonswarm and Mittani that the chairman used his foreknowledge of the upcoming expansion to position goonswarm in position to line it's pockets at the expense of other players via the new changes to PI.

How is this ethically different then previous abuses such as the T20 affair which mired the former Band of Brothers alliance in controversy?

Do you feel that goonswarms current flooding of the eve online forums with dismissive, even derisive and insulting, comments on any opposition to the new PI arrangement hurt or help your efforts to bring all of eve under the unified heel of goonswarm?

What's your position of the in-game deletion by CCP that several of your alliance mates have proposed should be done to characters belonging to rival alliances such as TEST who have dared raise questions about the legitimacy of Mittani's own admitted intent to profit heavily at the expense of players in low and high sec? Do you feel that such an exercise of influence with CCP would damage goonswarms claims of being a legitimate alliance?

I never said that I opposed all taxes, I just dislike the overbearing advantage that it gives goonswarm (and to a degree other alliances), with no possible way around it for players who are not like me, and can laugh off 200m isk losses.

So there has been a tremendous amount of complaining about the new tax scheme implemented by CCP with regards to Planetary Interaction and Custom Offices. To some extent I can understand it; nobody likes paying taxes. As an economist I can go on ad nauseam about deadweight loss, reduced output, higher prices and so forth that taxes engender, but I’ll save you from that coma inducing boredom.

However, it does seem to me that there is a bit too much whining and crying from the masses over this. With the changes of crucible we have seen PI prices head sharply upwards. So much so, that the increase in taxes are vastly offset by the increase in prices.

Consider an operation that produces 300,000 noble, base, and heavy metals and 300,000 non-chiral structures. This is refined down to 2,000 units each of precious, reactive and toxic metals and chiral structures. These are exported from the mining planet and imported to the production planet to make robotics at a cost of 600,000 isk (400,000 for the export and 200,000 for the import, for simplicity assume the prior cost here was 1/20 of this, or 30,000 isk).

Now those 2,000 units are eventually turned into 75 robotics and exporting this costs 525,000 isk. Last time I looked at Jita prices, probably out of date, these were selling for 80,000/robotics. That translates into 6,000,000 in revenues. After taxes you make 10,350,000 -> 4,875,500 isk. Prior to Crucible and the run in PI prices, let say September, you’d get maybe 50,000/robotics with vastly lower taxes or around 4,875,500 -> 3,693,750 isk. In other words, the price increases as a result of Crucible has been, at least for now, a 32% increase in your PI profits. Sure it would be nice if taxes were merely a 10th of what they are at now. Yeah your returns would be even higher, but it isn’t nearly as bad as some are making it out to be.

So please quit PI if the tax issue sends you into a nerd rage. I for one thank you for reducing the supply on the market and helping to increase prices and drive up my profit margins. Will PI prices come back down? Maybe. With the higher prices some marginal POS’s might be torn down reducing demand. With the higher prices and the use of POCOs in null & low security and wormhole space, more people might enter in those areas thus increasing the supply. The long run impact though is not clear. It is an empirical question and I don’t think anyone out there has done the required analysis yet to figure out where the price will end up. So I plan on sitting back and enjoying the ride.