Gaian Economics Essay

[Arakumaru]

'Ello

 

[The Comic Hunter]

There are two factors that should be mentioned, or expanded on, in the essay.

The buyers emotions and the effect a popular Gaian will have by wearing an item and giving it more cool factor.

I have noticed that there are runs on particular items where the price takes a large jump, stays for a while, and then drops.
I think this can be attributed to collusion, as you mention, but... each item has what they call the resistance level ( a stock term) above which the item will not go. At some time in most items' existance, they will break that level and move up to the next bracket.
People fear that the item they covet is going to make that permanent jump, so sometimes they pay too much ( I have done this once or twice) only to see the item drop back down. (thus fear drives the market at times.)
I have also often seen items put on the market for double, triple or more of average market price. I think that is greed in action, the hope that some rich dummy buys the item without doing some research.

If a "prommie" is seen wearing a certain item, the item will often jump in price as more people want to borrow some of that cool. I was talking to a 2003 Gaian who mention that he and his guild all went about in golden laurels until the price went crazy and they all sold them at roughly the same time (at a huge profit)  

[The 2nd Hand Depot]

That was an interesting essay

Last days we been giving an good example off the market his working.
I'll post it out of the way i saw it as market player.
I do play market for fun.


Lets start on 1st hours of v-day nobody actually founded the v-day event forum but those few that did made the most cash out of it.

The event-item is Labu Necklace

Lets start with the first one that came on the market.
I reacted as most people like what is that haven't seen it before

People clicked on it looked at where to get it.
Not available in stores.
The manny knowing tektek went looking for it not to be found.

So bidding started: over 1000g

Then more came on the market and i watched them come.
I did not feel the urge to bid on them.

A lot went off for 800g
More came going off for 600g
Few hours alter the market was filled they where going of around 400 and 200
But the more the people started putting more on the more interesting i Started to find them.
So i collected 100+ of them.

The day after they where going of at rates of 75g to 100g
People still able to kiss kept going.

I bought my last one of them for 30g
They where placed on tektek and the v-day event was stopped.

Now their inflating cause their not getting that manny new ones on the market.
Prices was lowest at 25g on tektek and is already raising again to 75 and higher.


and they will keep going up in the way as i see their future.
and when their high enough the market players (that did what they where suppossed to do) will make the profit as it comes higher.  

[Israk]

The people selling labu necklaces right now (I'm selling one, just one, cause I feel like it) are the stupid ones, you never sell event items when they just came out, no one will want them, you wait until they become popular and hard to get, then you sell them. My secret (which isn't really a secret) is to buy things low, and sell high, it always works (or just sell tickets, those go like crazy) But remember, always have a fair amount of cash so you can bid on a few items instead of just one, or you might not get anything, and then you've wasted valuable time.  

[yoshizuki-chan]

a tip with bidding---don't bid too high near the beginning when there are still a lot of time left, and don't bid too low near the end because 9/10 it will be cancelled

if you need further or more detailed explanation, post, and i'll get back to you  

[x.Be[lie]ve.x]

you actually took the time to write all this? wow, i bow down to your superior writing and disciplinary skills. sweatdrop  

[Rob Creationz]

the market place is always risky buisness, so far my sucess has stemed from selling one high price item and then buying a large amount of smaller items and reselling them.
I see it as a conservative play, being that if I make a loss on one item the odds are in my favor for another item to be sold at a higher market value thus making making a profit not only on itself but to make up for any loss on a poorly sold item.
Hopfully i'll be able to start taking some risks in the future but until then I will stay on the conservative side just untill a proper "nest egg" has been established

If anyone thinks I'm taking a game to seriously then please, please let me know  

[yoshizuki-chan]

nah you are not really taking it seriously
some spend their lives on stuff like these  

[[Kushiki Byakuya]]

Heres a question
Why is everything going down in price???  

[engineer-of-doom]

Well, most people are saying it's because of the new clothing brought out, as the more junior members of Gaia rush to sell whatever it takes in order to buy the French outfits.

However, if you check tektek, you'll see that the decline started before that announcement. The French clothing then is a contributing factor, but not the cause. My own belief, which I cannot prove, is that Gaia did a BIG round of banning for botting. This took a lot of gold out of the system, so that selling had to be done catering to those with less financial resources.

I can offer one anecdote to substantiate my belief. One of the people fishing for a trophy last month, thought she had finished 11th, out of the trophies... and discovered she had been listed at 9th place because two people ahead of her were disqualified for botting.  

[The Comic Hunter]

engineer-of-doom

Well, most people are saying it's because of the new clothing brought out, as the more junior members of Gaia rush to sell whatever it takes in order to buy the French outfits.

However, if you check tektek, you'll see that the decline started before that announcement. The French clothing then is a contributing factor, but not the cause. My own belief, which I cannot prove, is that Gaia did a BIG round of banning for botting. This took a lot of gold out of the system, so that selling had to be done catering to those with less financial resources.

I can offer one anecdote to substantiate my belief. One of the people fishing for a trophy last month, thought she had finished 11th, out of the trophies... and discovered she had been listed at 9th place because two people ahead of her were disqualified for botting.

I think you are exactly right about the botters getting banned. The easy methods for botting have been eliminated and you can directly report scamming PMs.
I was talking to some older Gaia users today about it and they said that Gaia has hired people specifically to track down cheaters and eliminate them.  

[engineer-of-doom]

The Comic Hunter

engineer-of-doom

Well, most people are saying it's because of the new clothing brought out, as the more junior members of Gaia rush to sell whatever it takes in order to buy the French outfits.

However, if you check tektek, you'll see that the decline started before that announcement. The French clothing then is a contributing factor, but not the cause. My own belief, which I cannot prove, is that Gaia did a BIG round of banning for botting. This took a lot of gold out of the system, so that selling had to be done catering to those with less financial resources.

I can offer one anecdote to substantiate my belief. One of the people fishing for a trophy last month, thought she had finished 11th, out of the trophies... and discovered she had been listed at 9th place because two people ahead of her were disqualified for botting.

I think you are exactly right about the botters getting banned. The easy methods for botting have been eliminated and you can directly report scamming PMs.
I was talking to some older Gaia users today about it and they said that Gaia has hired people specifically to track down cheaters and eliminate them.

That's good to hear. Maybe the inflation, which is inevitable, will be held to a more reasonable pace!  

[cethera]

to my standpoint of view economics is a huge game and the basic rules are
1. buy low sell high

2. make huge desicions

3. make contacts

4. are able to make money by yourself and by getting good deals

5. able to sell things at the right time biggrin  

[Twiganut]

*applauds* .. very good .. .the gaian economy is the purest form of a free market ive seen ... completely driven by supply and demand ... i gots a B in my economics o level! heart  

[Kekma]

Thank you for yout time in writing this essay.