Ingame Price Deterioration and Effects of IRL Currency

[Ace Wiseshadow]

Well, all these printed currencies will suffer in my view, some more than others.

I think the only real "currency" with value is gold/silver. People are realizing that the paper is just that, paper, having to rely on these central banks, sitting around tables working out how much monopoly money to print does not fill me with confidence.

The price of gold right now has more to do with all the currencies losing value, rather than gold gaining it, it’s working as a hedge as always. Its probably the best indicator of the currencies weakness and falling confidence. although gold can increase in its own right as well as rising due to weakening other currencies.

There are always people/banks trying to manipulate the gold price,
People saying gold is not relevant anymore, it’s a bubble at $500, they will be saying the same when it’s over $2000.

Not to say the dollar/euro will collapse, more likely to all be devalued together. But gold will probably be over 2k next year.

still I don't see an imminent threat to the dollar/ped, probably still one of the safer paper currencies with the euro in so much trouble.

who knows, Only time will tell.

 

[Sunab Naverith]

Compare the USD to every other monetary currency, you will see it's had its freefall moments in the last few years, and if you look closely enough, the only reason it doesn't look TOO bad, is because all the other currencies which you compare it to are falling slightly faster than it is...

And no, the USD is not going to "get stronger". There has already been people in Washington talking about the need for a new currency, because the USD has no financial backing - it's nothing more than printed paper that people have been conditioned to accept as 'payment', and they're worried about the complete economic collapse when that info becomes clear to the masses "Hey Frank, did you know that $200 you owed me? Well turned out you paid me with paper that isn't even good enough to wipe my a** with...". I'd give more monetary value to a piece of rock than I would to the dollar right now... it's worth more...

 

[Lyrisiana]

Nice topic you are lifting,

To sum it up; if you got 20k+ peds ingame you should either withdraw now or invest those peds in an decent item.

As long as there is inflation that makes kind of sense in my opinion.

Entropia however is a place where valueing an object seems different to me than in real life. A value of an investment is the sum of all future returns discounted to the present. For example a real gold mine will steadily provide returns over a certain time period until the mine runs dry so any serious investor will think about whether it is worth paying all the costs necessary to extract the available gold and think about alternatives and their risks as well.
but take an unlimited mining amp in Entropia for example, how to assess all future income from that ?

 

[Nirfu]

On my fridge I have 10 125 000 000 000 Dollars, Zimbabwian dollars. this is what you get if you start to print a lot of bills without the means to cower theer real value.

Europe have about 700 million citicents, US has only 300 million. Not all is of course memebers of EU or the EURO, but in the future we will all work together. I think Euro is one of the big currencies in the future and more and more countris and companies abandon the dollar.

For me, a Swedish guy, this is of no big influence on my Entropia gaming. I use my SEK, who now trade for 8 to USD and has the same point as usual just below 10 to Euros.

I remember when the USD was down to 5-6, that was good time for me, and I used it of course.

Now I just take it slow, still spending the same SEK as usuall every month.

For MA, this is good. They get more SEK per USD..

What is good for the game?

MA getting more SEK / USD?

US player get same as usuall.

EU citizen gets less?

 

[Joker]

another thing...
Say the dollar does get really strong... people in US wont notice a diffrence domesticlly... the only way we notice a change is if we went to another country or bought another countries goods...

Our 3$s still buys us a gallon of milk ... even if our dollar is on par with the Euro... we still get a gallon of milk for $3...

same with Euro people even though the Euro is getting weaker you wont really notice a large diffrence in the cost of your goods... unless you start to see significant inflation...

 

[Ace Wiseshadow]

I think the US and other economies being on the road to recovery is an illusion to keep the masses happy, most don't even know the fed is a private bank, and the us debt is mind boggling.

Still, other economies are in deep trouble as well, I think the rising gold price is a good way to keep an eye on how things are really going for the major currencies. of course gold can increase on its own as well as getting stronger on the weakening other currencies.

We will have to see how things go, I don’t think the US or the rest of the world will collapse, but there are a lot of serious problems. rough seas are ahead I imagine.

Still, its not just the US dollar, so if you are going to be in a paper currency, which we all have to have some money in a fiat currency the dollar is probably better than the euro right now.

but who knows, only time will tell

 

[Usurper]

Go YouTube search a few of the following names
for a clear picture of the current state of the world economy;

Gerald Celente
Peter Schiff
Howard Zinn
Marc Faber
Jim Grant
Jim Rogers
Michael Pento
Noam Chomsky
Andrew Napolitano


[YOUTUBE]L3eJ9YpJeEI[/YOUTUBE]

Some food for thought.

 

[Ancient]

Just dont deposit at all and then its win win. Since I stopped depositing, I have got more money irl than I have had for a while and I am buying a house.

 

[Profit]

Both the euro and the usd is VERY likely to plumet sometime "soon" soon ie a few years

Do you always have to speak on things you have no idea about?
I ask this, because you seem unaware of what happened over the last week, as is evident in your post.

 

[Mega]

Just dont deposit at all and then its win win. Since I stopped depositing, I have got more money irl than I have had for a while and I am buying a house.

Pall Mall or Trafalgar Square?

 

[Joker]

Do you always have to speak on things you have no idea about?
I ask this, because you seem unaware of what happened over the last week, as is evident in your post.

I believe you are talking about the 1 tril$ intervention?... I believe Legion is saying its like a bandaid on a wound that needs stiches... its temporary... and the monies that are being used to save the euro zone has to come from some where... I dont think he is wrong... but i do believe it is an over reaction...

it is definatly not over... there is still big problems from eurpean banks to come... the subprime... triple A rated mortgage backed securities that are not performing are still on their books... all the worse paper was sold overseas...

if you guys can watch "house of cards" by CNBC is a great depiction into what really happened... it is the best i have seen... and no oppinions added... just facts... its real good

 

[Legion]

Do you always have to speak on things you have no idea about?
I ask this, because you seem unaware of what happened over the last week, as is evident in your post.

I know very well what i'm talking about. It's you who belive your government is fixing stuff by giving bandaids and joker says below.

I believe you are talking about the 1 tril$ intervention?... I believe Legion is saying its like a bandaid on a wound that needs stiches... its temporary... and the monies that are being used to save the euro zone has to come from some where... I dont think he is wrong... but i do believe it is an over reaction...

it is definatly not over... there is still big problems from eurpean banks to come... the subprime... triple A rated mortgage backed securities that are not performing are still on their books... all the worse paper was sold overseas...

if you guys can watch "house of cards" by CNBC is a great depiction into what really happened... it is the best i have seen... and no oppinions added... just facts... its real good

That's exactly what i'm talking about. But i would more say it's a bandaid for something that needs brainsurgery.

If you want to watch something really good and well done with only facts it's a documentary called Overdose - The next financiall crisis.
It's made by a swedish guy about the former crisis and what is happening now and what will happen.
[YOUTUBE]http://www.youtube.com/watch?v=00GVikffZ94[/YOUTUBE]
And yes this will happen as if you fix a busted bubble by just patching it and then blowing it up even bigger (which is exactly what they are doing) then it will burst again. It's just a matter of when it will happen.

 

[Profit]

Yea I just saw his name and got mad when I read "EU won't burst for years" even though it's doing exactly that now.
I suppose, my hatred for Legion's BS makes it hard to keep calm and collected lol
Boy who cried wolf (or, loot in his case) so to speak.

My apologies (not to Legion, but everyone else.)

 

[Janus]

Entropia however is a place where valueing an object seems different to me than in real life.

I've had far too many pints this evening to be posting atm (when are the gold cards for EF coming into production, so I can hide mine?), but anyway this line was great in summing up that while this thread is interesting and applicable to some (perhaps many), the prices for so many our items are so far into the "relative" spectrum, that it is laughable in many ways to even draw a comparison with RL commodities.

Having used both over the years for example, I've always wondered why a fap-110 is 2k and an adjusted fap is 40k. The latter is clearly better of course and also rarer, but always makes me laugh a bit how some of these items achieved their so called "market rates". If that notorious "colonel" guy never graced us with his presence years ago, I wonder where the market would be atm, at least for some of the really decent gear. I still view him as a one man inflation machine, and we seem to still be deflating in some ways from the bubble he partly contributed to.

 

[shoti]

Both the euro and the usd is VERY likely to plumet sometime "soon" soon ie a few years, the euro is starting now but the usd will come for sure aswell. This is due to the "save the economy" stuff eu and the us has done. What they done is to solve the current crisis which was created by the same solution they used now. This leads to just another bublle, but this time it's a WHOLE lot bigger. When this next bubble goes pop well i hope u dont have any loans etc cause the world is gonna plummet. So far i'm happy with living in sweden though as we dont use the euro yet, and i hope we never will as one of the biggest reason we swedes felt so little from the past crisis in the economy is just because we dont use euro

So for me if the usd plummets woohoo for my eu spendings

well that is not working that way. I am from poland, we dont have euro yet too. And all kind of bussines is suffering from that (especialy importers) . Normal ppl no bother with so much (maybe those who has credits in foreign value ) but those suffering now are those ones who drives economy.

 

[Lorespade]

Go YouTube search a few of the following names
for a clear picture of the current state of the world economy;

Gerald Celente
Peter Schiff
Howard Zinn
Marc Faber
Jim Grant
Jim Rogers
Michael Pento
Noam Chomsky
Andrew Napolitano


[YOUTUBE]L3eJ9YpJeEI[/YOUTUBE]

Some food for thought.

OMFG!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

This dude!!! on the youtube!!!


HE is TOTALY RIGHT!

China is tearing the rest of the worlds ass by paying their people Complete shit! And WE As the rest of the world.........

THINK we are getting cheap labor!

But the reality is......



China is destroying us economicaly! For a world take over for communism.....


AND it is WORKING!!!!!!


Ah chinease leadership think they so smart..... Taaking advantage of our own greed. and our ability to fuck eachother over and not pay ourselfs a good wage. We are just giving them our cheap labor.. but the result is we crash as economys. and they are holding our debts....

they buy our debts with the money they should be paying their people.. so when the rest of the world fails. They end up a truly utopian Society.

Jeeze. Perhaps the world should like.... blow them off and not pay them. and ship our manufacturing back to our home countrys.

 

[Leona]

This post

another thing...
Say the dollar does get really strong... people in US wont notice a diffrence domesticlly... the only way we notice a change is if we went to another country or bought another countries goods...

Our 3$s still buys us a gallon of milk ... even if our dollar is on par with the Euro... we still get a gallon of milk for $3...

same with Euro people even though the Euro is getting weaker you wont really notice a large diffrence in the cost of your goods... unless you start to see significant inflation...

makes this post

i dont know... but i am an academic economist...i graduated from college with several majors, one of which included economics...i put it to use each day... i have been studying economies for the last 12 years... and part of my IRL investing strategies involve economic forcasting stuff...

This is my only means of income and i do rather well... so the things i have outlay here are not a joke but observations... and future possibilities... based on economic theories that are taught and proven

very hard to belief.

Only someone from an country with negative balance of trade and / or someone with no clue about global economics could write the first one.

 

[Profit]

OMFG!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

This dude!!! on the youtube!!!


HE is TOTALY RIGHT!

China is tearing the rest of the worlds ass by paying their people Complete shit! And WE As the rest of the world.........

THINK we are getting cheap labor!

But the reality is......



China is destroying us economicaly! For a world take over for communism.....


AND it is WORKING!!!!!!


Ah chinease leadership think they so smart..... Taaking advantage of our own greed. and our ability to fuck eachother over and not pay ourselfs a good wage. We are just giving them our cheap labor.. but the result is we crash as economys. and they are holding our debts....

they buy our debts with the money they should be paying their people.. so when the rest of the world fails. They end up a truly utopian Society.

Jeeze. Perhaps the world should like.... blow them off and not pay them. and ship our manufacturing back to our home countrys.

Exhibit A: Indoctrination

 

[Doer]

Go YouTube search a few of the following names
for a clear picture of the current state of the world economy;

Noam Chomsky

Some food for thought.

Oh geez. That rabble-rouser would have contributed far more to the world if he'd stuck with linguistics.

Re: OP, must be time to manipulate market?

 

[Joker]

This post



makes this post



very hard to belief.

Only someone from an country with negative balance of trade and / or someone with no clue about global economics could write the first one.

well over the last few months the dollar has gotten 20% stronger...
the items i buy in the store have not gotten 20% cheaper...
explain to me where i am going wrong

when the dollar was getting weak during the financial crisis... people were getting worried about inflation... and some prices started to increase because the input costs of their goods were going up... I.E. dollar traded commodities... wheat... etc... people started to notice prices increase... also transport costs increasing...

but like i said with out signficant inflation/deflation the end consumer wont notice a real diffrence... like my milk same price even with the increased value

 

[Lorespade]

Exhibit A: Indoctrination

Explain to me how i have been brainwashed?


Side note. this thread is very interesting. i like the disscussion on the currencys.

 

[LeWolf86]

My only comment is.....

I were to DEPO, Id be super happy as Canadian Dollar is doing awesome to USD.... to withdraw.... well Ill wait till the US $ kicks back up as Im sure it will over time.

 

[Lorespade]

My only comment is.....

I were to DEPO, Id be super happy as Canadian Dollar is doing awesome to USD.... to withdraw.... well Ill wait till the US $ kicks back up as Im sure it will over time.

you damn canidians... your money has some value...

 

[Profit]

Explain to me how i have been brainwashed?

Out of interest, why would you ask this of me? What does it have to do with anything?
My post was more to do with your instant acceptance of that guys ideas without any thought involved whatsoever, outside of "dem squint eyed yellar skins comin to get our monies, pa!". Aka: indoctrination. Not brainwashing.

 

[Leona]

but like i said with out signficant inflation/deflation the end consumer wont notice a real diffrence... like my milk same price even with the increased value

You missed the part about balance of trade?

In example a weaker Euro can have a very positive impact on some countries in Europe with healthy export economy. The goods you produce (still at the same costs) are more attractive to consumers in USD based economics. Or are you telling me that an BMW or Mercedes in example costs you the same , as an US based customer, then few months ago?

The impact for each individual is, that exchange rate fluctuations creates and destroys a lot of jobs in export oriented countries.

Do you call this an "not really noticable" difference?

Of course, things look different if you come from an nation with massive negative balance of trade and from an country with an currency that is mainly backed up by "power" then by labour. Neitherless it is so basic world economic knowledge that you learn it in elementary school here. Thus why your two post made me wonder...

 

[Leona]

Edit: Deleted unjustified Lorespade bashing and 3.6.

 

[Nor Alien]

you damn canidians... your money has some value...

About friggen time !!! WOOT!!

 

[Lorespade]

Lorespade, your selective perception is amazing.

You might however really watch and listening to the guy, and not just read something in it that you feel comfortable with. I recommend you to listen to 5:48 and following again and again, until you grasped it.

Thanks in advance for getting an interesting thread locked for unnecessary 3.6 violation.

from now on. respond to other peoples stuff. leave me and my openions alone.

Side note.. i dont think you understand the long term implications of the long term statigy of the chinease people. They are far more inteligent than most will understand. and while we pursue short term profits and the quick buck... They will own our long term potential.

They are not dumb. in fact... the leadership[ of the chinease seriously have outsmarted everyone and most dont see it.... its cool though.. i can totally be a communist. it will make it far more easy to shut up you people that think your so smart.

unjustified post my ass. you coward.

 

[CycoKick]

while the rest of the world is having problems the US is out of the recession... with the last few quarters of GDP growth... and job creation... record earnings...

Right.. Thats just not true.

 

[Profit]

from now on. respond to other peoples stuff. leave me and my openions alone.

Side note.. i dont think you understand the long term implications of the long term statigy of the chinease people. They are far more inteligent than most will understand. and while we pursue short term profits and the quick buck... They will own our long term potential.

They are not dumb. in fact... the leadership[ of the chinease seriously have outsmarted everyone and most dont see it.... its cool though.. i can totally be a communist. it will make it far more easy to shut up you people that think your so smart.

Man, that's one hell of a (uneducated) statement!
So, let me get this straight...

While the developed world was making progress, moving from industrialisation into the information age, it was all fine and dandy, no hidden agenda's for the west!
But as soon as the East tries to move into the information age, it's suddenly an end of the world conspiracy?



Dude, take a look in your own backyard if you want answers to why things are so screwed, before putting on your white pointy hat and burning colored folk...
Here's just a small handful of acronyms and words to get you started with your research, these can help you understand why the world economy is how it is, without having to lay blame on an entire socioeconomic demographic;

IMF
UN
FRB
RIIA
CFR
Fiat

(hint; take a brief look over the history of the worlds economy since such things as the IMF were implemented, that'd be a good start for you I reckon!)