.27 Power Cap

[Guest]

Since power on realm 1 is holding steady at .26 isn't it time to take the artificial .27 market cap away or raise it, to say .50. I find it odd that an economic simulation would introduce artificial barriers into the market. Let supply and demand and the power of economics work.

The only thing I find odder is that everyone sells steel at above the 135 cap barrier. Who would buy Q0 steel above 135, and why?

[Guest]

Regarding to your suggestion of power price cap. If the price cap is like 0.5c, new players and even old players will have a hard time.

'Power is a business need zero research and still earn a lot'

Power in realm 1 is already 2400% of profit. if it becomes like 0.5c then none will even buy power. They just make their own power to suit their need.

Still, I agree that steel price cap is very low. raising it is better as steel is such an unprofitable business comparing to other counterparts of factories product.

p.s. You can sell at any price you like, the matter is who is willing to buy.

[Guest]

Power in realm 1 is already 2400% of profit. if it becomes like 0.5c then none will even buy power. They just make their own power to suit their need.

This is where the economics of supply and demand come into play. As you just stated, if the price is too high eveyone will make their own power and not buy it off the market. This in turn drives the price down since no one would be able to sell their power. Right now there is WAY more demand for power then there is supply so the price is going up and more and more people are getting into the power business. At some point I will goto list my power for .26 and a ton of people will also be selling and will start undercutting me. The price will start to fall. Once the price gets low enough people will start bailing out of the power business and the price will start to rise. This up/down motion will settle over time and a steady power price will emerge that will slowly go up over time with the overall inflation of the server market.

[Guest]

Power in realm 1 is already 2400% of profit. if it becomes like 0.5c then none will even buy power. They just make their own power to suit their need.

This is where the economics of supply and demand come into play. As you just stated, if the price is too high eveyone will make their own power and not buy it off the market. This in turn drives the price down since no one would be able to sell their power. Right now there is WAY more demand for power then there is supply so the price is going up and more and more people are getting into the power business. At some point I will goto list my power for .26 and a ton of people will also be selling and will start undercutting me. The price will start to fall. Once the price gets low enough people will start bailing out of the power business and the price will start to rise. This up/down motion will settle over time and a steady power price will emerge that will slowly go up over time with the overall inflation of the server market.

So according to your point why should we need a price cap of one product? It is just the supply and demand.

The purpose of price cap is to ensure any new players can still get materials in an affordable price.

Just take a real life example.

If you are the citizens of a nation only eat bread as their breakfast, bread becomes a necessity of life.
A behemoth buys all the bread and says that 'Yes, if you want bread, I can sell it to you at $1000 each.' Then the government must take action like controlling back the price of bread.

[Guest]

Power in realm 1 is already 2400% of profit. if it becomes like 0.5c then none will even buy power. They just make their own power to suit their need.

This is where the economics of supply and demand come into play. As you just stated, if the price is too high eveyone will make their own power and not buy it off the market. This in turn drives the price down since no one would be able to sell their power. Right now there is WAY more demand for power then there is supply so the price is going up and more and more people are getting into the power business. At some point I will goto list my power for .26 and a ton of people will also be selling and will start undercutting me. The price will start to fall. Once the price gets low enough people will start bailing out of the power business and the price will start to rise. This up/down motion will settle over time and a steady power price will emerge that will slowly go up over time with the overall inflation of the server market.

So according to your point why should we need a price cap of one product? It is just the supply and demand.

The purpose of price cap is to ensure any new players can still get materials in an affordable price.

Just take a real life example.

If you are the citizens of a nation only eat bread as their breakfast, bread becomes a necessity of life.
A behemoth buys all the bread and says that 'Yes, if you want bread, I can sell it to you at $1000 each.' Then the government must take action like controlling back the price of bread.

There in lies the issue, the government should stay out of it. Big company buys all the bread and charges high prices no one will buy it. Also, others will be inclined to open up bread factories and make bread.

I think all the price caps should be removed.

[Guest]

Just for your information: Players who sell NPC-products above NPC-price will get banned.
All players accepted the rules... and the rules say, that exploition of other players is forbidden.

[quote="Kapilands' rules"]

[Guest]

[quote="GoldenEye"]Just for your information: Players who sell NPC-products above NPC-price will get banned.
All players accepted the rules... and the rules say, that exploition of other players is forbidden.

[quote="Kapilands' rules"]

[Guest]

[quote="GoldenEye"]Just for your information: Players who sell NPC-products above NPC-price will get banned.
All players accepted the rules... and the rules say, that exploition of other players is forbidden.

[quote="Kapilands' rules"]

[Guest]

I find this discussion very interesting. Having a degree in International Economics (and a self professed capitalist) and being from the United States gives me one perspective (not right or wrong, but a perspective). Some of you have a very different perspective then my own that is just as educated and just as real and quite different. (and some of you are just asshats).

[Guest]

[quote="GoldenEye"]Just for your information: Players who sell NPC-products above NPC-price will get banned.
All players accepted the rules... and the rules say, that exploition of other players is forbidden.

[quote="Kapilands' rules"]

[Guest]

and is the NPC always available? or when you get above a certain lvl does it dissapear?

[Guest]

I find this discussion very interesting. Having a degree in International Economics (and a self professed capitalist) and being from the United States gives me one perspective (not right or wrong, but a perspective). Some of you have a very different perspective then my own that is just as educated and just as real and quite different. (and some of you are just asshats).

i agree with everything but the asshets lol.

this is a business simulation game. BUT:

As in all games, if their are not guidelines then their will be alot of people selling product for a higher prices then most smaller companies can afford, i've learned from this game that with things like water, seeds, stone, wood, that its cheaper to make yourself if you plan on constantly expanding your company.

BUT:
if your a small company that expands as needed, you would be hapy for the price cap, or someday you'de be probobly paying 500 caps per steel.

So in conclusion:
the price cap is their to moderate the fluxuatino of things like when the contest product is for example, APPLES you would need water and seeds to make apples, and water to make the seeds, key product=WATER

this would mean that during the contest that without the price cap water could rocket to 2.50 caps per litre because theirs no control product "IE control [product= NPC water @ 0.27 caps ea.

The Price-Cap is their to moderate and keep the game prices somewhat steady, and to make sure smaller companies can succeed.

Don't Remove the Price-Cap!!!

[Guest]

There in lies the issue, the government should stay out of it. Big company buys all the bread and charges high prices no one will buy it. Also, others will be inclined to open up bread factories and make bread.

I think all the price caps should be removed.

So people refuse to buy breads? so where do their breakfast go? In the case bread has no substitution. People don't have any for their breakfast.

Lets take this as example:

A city of 10000 population
Each citizen eats 1 bread daily
A bread costs 50c to buy.
And the supply of bread is 10000 daily.
Suddenly an union comes in and he has 100 mio caps
He buys every piece of bread, sell them for 1000c each.
So everyday it costs it 500k.
If every thing stays the same the country will lack 200 days of bread.

So assuming businessmen start expanding their production and everyday its production increases by 5%.
While the union earns 10 mio in other business daily.

So will people even get a piece of bread to eat?

The worse thing is that people have to be a bread maker. The economy of the city is completely blown down

[Guest]

and is the NPC always available? or when you get above a certain lvl does it dissapear?

always there

[Guest]

There in lies the issue, the government should stay out of it. Big company buys all the bread and charges high prices no one will buy it. Also, others will be inclined to open up bread factories and make bread.

I think all the price caps should be removed.

So people refuse to buy breads? so where do their breakfast go? In the case bread has no substitution. People don't have any for their breakfast.

Lets take this as example:

A city of 10000 population
Each citizen eats 1 bread daily
A bread costs 50c to buy.
And the supply of bread is 10000 daily.
Suddenly an union comes in and he has 100 mio caps
He buys every piece of bread, sell them for 1000c each.
So everyday it costs it 500k.
If every thing stays the same the country will lack 200 days of bread.

So assuming businessmen start expanding their production and everyday its production increases by 5%.
While the union earns 10 mio in other business daily.

So will people even get a piece of bread to eat?

The worse thing is that people have to be a bread maker. The economy of the city is completely blown down

not if theirs a bread eaters union lol

i vote for the price cap to STAY!!! theirs plenty of other products that don't have a price cap, i mean look here:

(Breads)
All Own Time Quality Price
Goods Company price/each price/all Action
30 TCU GROUP 0 68,00 2.040,00 buy
44.727 FOREX 5 155,00 6.932.685,00 buy
110.398 FOREX 9 220,00 24.287.560,00 buy
50 Natras Holdings 2 45,00 2.250,00 buy
500 Croco Corp 9 699,00 349.500,00 buy
9.500 Spider Empire 7 46,00 437.000,00 buy
1.500 Red and Yellow 6 47,00 70.500,00 buy
90.914 shekinah 0 98,99 8.999.576,86 buy

Theirs your bread problem rofl

but heres what im saying: when i started, bananas were only going for about 3 caps each, and now i look for the first time in months:

420 German Trade Unltd 1 13,00 5.460,00 buy
1.440 WTD LTD 0 12,80 18.432,00 buy
74.186 Mass 2 Inc 3 14,00 1.038.604,00 buy
108.086 Mynxys 8 18,00 1.945.548,00 buy

if their was a price cap on these items, then we wouldn't be selling wells and factories with 3400m2 as if they were apples, but you need the price cap on water, wood, steel, stones, and power, because if their wasn't then the players that start out with less then 1 mill caps wouldn't have a chance because they would be Thrown into the prices you face for bread and bananas.

the price cap is to make sure small companies can expand.

how else will be get the next Cash Money Brothers, or SeoeS, or S-G fairtrade AG. halee-burton used to buy wood from me when i was under 3 mill fixed assets, and this wouldn't be as easy if they had to deal with higher prices if they didn't have enough water, or power to make the product they needed to.

I run out of products frequently, and need an extra 2m power, i wouldn't be making much of a profet if i had to pay 1.50 for a kWh of power.