Hyperinflation Part 1
We hear at BlogShares have recently received a vicious communique from the director of the internet federal reserve - Sir Johansen Purpleledger.
Sir Purpleledger has given us an ultimatum: either we must curb this rampant inflation or he will be forced to shut us down.
Here is an excerpt of his letter,
"Good God man! What do you bloody fools think you are doing. You can't just print money like that - who on earth do you think you are. Fine maybe EverQuest can print money in these quantities but you can't keep it. Hell if you printed money on toilet paper it would be so cheap you could sink the entire toilet paper industry (I'm on to you lot and you better not do that, my nephew Friedrich runs the Luxembourg Toilet-Paper Cartel and if you touch his market share you'll be out of the business for good)."
Our immediate response is to shut down the ability for players to issue new bonds - the bond market is apparently "... summarily & categorically out of control."
We'll be taking more across the board action as time allows in order to curb inflation and get Sir Purpleledger of our back.
Comments
Any idea what you'll replace the bond market with?
Posted by: Su | April 29, 2004 12:39 PM
Weeeelll I think your a little off the mark there... hyperinflation isn't caused by the bond market. More like the hidden market (in stocks and ideas) that buy when you sell your shares to the public market. Who takes the loss when you as a player sell. not another player... the hidden market takes the loss, thereby causing hyperinflation.
Posted by: ashes | April 30, 2004 02:53 AM
Can I say I'm surprised? Hmmmph.
You know, when I complained about hyperinflation, I was a newbie worth B$ 50k. People said I was asking for an unfair advantage and told me to be quiet.
At last glance I'm worth 200M. I didn't do THAT much to earn it.
I'm glad to see someone is taking action on this problem.
Posted by: Jason Kuznicki | April 30, 2004 05:18 AM
I'd also like to say that ashes is totally right on this thread--Can someone get a balance sheet on the losses that the hidden market is taking? I'd bet they're atrocious.
I say move blogshares toward a real free market, and consequences be damned. It'll be more exciting that way.
Posted by: Jason Kuznicki | April 30, 2004 05:20 AM
ty Jason... Just to show that the bond market is one of the few things on blogshares that DOESN'T cause hyperinflation... it's a net zero effect. One player loses, the other player gains the exact same amount.
If I sell a bond for $100,000 I gain the the $100,000 another player loses that much... how can that cause hyperinflation.
Now when the ideas are sold on the public market that can cause inflation... but anyone can do that.
Posted by: ashes | April 30, 2004 06:14 AM
Ex-squeeze me? Baking powder?
as everyone has already said the bond market isn't where the inflation problem is. Yes the bond prices are rather high but that's a direct result of the fact that it's so easy to make money on the open idea market and stocks. it's so easy to make a few thousand dollar investment turn to millions in the markets. as a result people expect the same in the bond market.
if you want to fix inflation fix the open markets first. when prices don't fluctuate so extreamly and 20 minutes of effort can earn you millions or billions in profit people will stop expecting to be paid millions of dollars per idea in bonds.
Posted by: AB Investments, Ltd. | April 30, 2004 08:39 AM
Gosh. I just bought my first ideas last night, two weeks into the game. Bummer. I was looking forward to moving into the next level of play.
I've spent some time in the forums and see that historicity is rather important in game deliberations. Changing the bond market at this point makes this game fundamentally different for new players versus old hands. Not fair!
Aside from that, here are my questions:
Who is being hurt by the ideas bond market as it works now?
Is it broken? If not, why fix it?
What about those of us who aspire to Artefact ownership? What's next? Who will benefit from these changes? Who will lose?
If someone wants to pay $300,000 for ideas on the bond market, why not let them?
Of course, I'm a newbie and never studied economics, so this comment is worth, probably, a nickel.
Posted by: Sage | April 30, 2004 09:44 AM
Oh how I love hyperinflation and these new changes http://blog.arvind-satya.com/archives/2004/05/new_changes_in.php
Posted by: Arvind | April 30, 2004 09:50 PM