:: :: :: :: :*: [/center]

[li]If you only have 1,000sp, 1sp means a lot. If you have 1mil sp, 1sp doesn't mean much. The more sp you have, the less 1sp is worth to you.

[li]If you are getting tons of sp from a site feature like Saggi Weekend Special Quests, so is everybody else. The more sp everybody has, the less 1sp is worth to everybody. This means 1sp has less purchasing power.

[li]This causes the prices of desirable items to go up. Say a certain wearable is worth 5 units of Happiness to you, and say 1sp is worth 1 unit of Happiness. You would be willing to trade 5 units of Happiness in sp, that is, 5sp, for that wearable. But oh noes, now everybody is a billionaire, and it takes 1mil sp to make up 1 unit of Happiness. You still have to trade 5 units of Happiness for that same item, but now it's 5mil sp!

[li]Basically, the intrinsic value of items stay the same (that is, the usefulness/desirability of item stay the same), but the value of sp goes down, so now you have to pay more sp to make up the difference. This is inflation.

[li]If everybody is making less sp, then 1sp will have more purchasing power, and the prices will go down.

[li]When you get sp from questing, playing Random or collecting your bank interest, that sp is new money entering the economy--it's the same as the government in real life printing more money.

[li]When new money is created for you, you have more sp while everybody else has the same amount of sp, so the global amount of sp increases. This leads to the inflation explained above.

[li]But when someone pays you sp for your item, you're just getting money already in the system. You have more sp, but someone now has less sp, so the global amount of sp remains the same.

[li]sp sinks are site features that take money away from the site. When you buy something from the Millionaire Center, for example, the sp is deleted. You have less sp and everybody else has the same amount of sp, so the global amount of sp is less.

:: :: :: :::*: Keeping track of sP in the Subeta economy: Click the graphs for the public spreadsheet that anyone can edit.

[li]Anyone can input the date and the total sp, following the format. [li]And any special notes -- we can check the impact of particular WSQs, certain seasonal events, etc. [li]It doesn't matter [much] how far apart in time the data points are, as long as someone remembers like, twice a month. [li]The graph will update automatically!

[center] :: :: :: :: :*:

I noticed that some people on here don't really understand how inflation works so I took it upon myself to explain. With the help of and , I made a billboard ad and needed a place to link it, so I created this board. /ego

Ping me if you'd like to comment/make changes, because I tend to be more wordy than necessary. And econ's not my strongest subject, to be honest!

I also love spreadsheets and bullets.

Thank you for this post. So much. Hopefully this will help some people understand inflation.

Great thread. Hopefully people will understand the economics of the site and what is actually throwing sP out of the economy and what isn't now. It does get annoying when people don't understand how inflation/deflation works.

I will be glad even if only one person reads and understands inflation as a result of this board :D

, thank you for explaining this to me. I kind of already knew, but no one painted a clear picture, until now. I appreciate it.

I think I love you for this. Just sayin'.

That and the Hello Kumos ad, although I don't know who made that one this time around.

perfect - this was a very good idea

Excellent idea. While I understand inflation, it was still nice to see an overview to confirm what I know. And I know a lot of people could really benefit from learning this information. Maybe you could have a section explaining what undercutters are doing to the economy? I think a lot of folks could benefit from that.

Very wonderful! I can add this to the Useful Threads sticky if you want, I can see this being considered useful. ;)

glad this was useful! :D

I'm not sure what you mean by undercutters?

that'd be much appreciated!

Very Interesting c:

Well, say an item is in a bunch of user shops for 10m. People will price their shops and they'll put it at 1sP, 1000sP less or whatever. That's fine. But then there's people who all of a sudden drop an item by a few mil less, which means if anyone else wants to sell, then they too have to drop the price by a few mil. I hate it.

Oh, I hate that, too. But that's not really related to this topic of sp inflation specifically, though it is related to the economics of Subeta. Hm. My intention wasn't to create a general board explaining the economics of Subeta but... I guess it depends if people are interested, I could turn this board into that. xD

But anyway, even though I hate it when people undercut by a lot as well, the reality is, if an item simply isn't selling at whatever price it was before, then the price drop was probably necessary to get it to start selling. If the item is selling at whatever higher price it was before, however, then you can simply buy up the cheap ones or wait for the cheaper ones to sell--because if the normal price for that item is the higher price, then the price will bounce back up eventually. (Unless of course a huge supply of the item enters the market to crash the price. ;P)

Thanks for the post. I wasn't really thinking about how expensive the items were COMPARED to how much sp someone earns.

Ty for sharing, . I knew the basic info about inflation earlier, but you wrote so many facts, that idk. It was much appreciated of you making me up to date. :)

It's nice to have something already written out to direct people to that don't seem to really understand how it works. xD Thanks!

Oh man, thank you for making this post. Inflation can be both a good thing and a bad thing. e___e;;

Awesome post. I was intrigued by the billboard's purpose but now I understand why. I did noticed how prices in Subeta flactuate often. :) Right now, I noticed the increase in prices of items with dark, purple, gray (maleria WQ) so yeah. I pretty much restock on those items.

OH I GET IT NOW. //shot

Money sinks just... Never made sense until now. I almost never play games and tend to buy from official stores. I'm helping deflation ;D

glad this was useful! but yeah, as you've pointed out, in addition to inflation, there are other factors that affect the prices of items! :D

yay :)

[edit]lol, the ad only lasted 3 hours, with 1000 users on average except for the last 50 mins, when there were, oh, 1500 users? Starting Impressions: 10,000 Impressions Left: 0 Clicks: 93 Status: EXPIRED.