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Korrode
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« on: 2009-04-17 23:24 (Fri) »

I was hoping to get some insight on a couple of things from some economy pro's, as major economic planning is probably not a strength of Krayon's or mine...

1. What are the upsides and downsides of setting upper and lower price boundaries for items through the usage of NPC buy and sell prices?

2. Would there be ill effects if NPC buy prices make producers break even?

3. What are the upsides and downsides of NPC's buying raw harvestables? Should NPC's only buy 'mixed' products?
(Consider that a product made of 2 or 3 easily obtainable harvestables that NPC's buy could be implemented to ensure a method gc making for new players who dont want to partake in combat.)
« Last Edit: 2009-04-18 01:54 (Sat) by Korrode » Logged


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Korrode
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« Reply #1 on: 2009-04-18 01:39 (Sat) »

I'd like to recap here parts of some of Trollson's posts and some discussion between he and EndorVaeros.

I'm not going to start posting on Trollson's thread as i'll eventually want to discuss and go into detail on all of his points/suggestions, and i think it'll be better to keep track if they are separated at the time of discussion commencement.

The thread i'm about to quote from is here:
http://qelserv.quadronyx.org/forums/index.php?topic=48.0

You can skip to the next post if you just want to see my actual questions, the below is 'further reading' i suppose (but worth reading Tongue )

7.2  Economy Matters

EL has never got to grips with the problem of the economic system in an MMORPG; although on his blog Entropy feels confident enough to write articles on the subject.

Value is determined by supply and demand:
(i) Harvestables are available in unlimited quantities, so in general have zero value.
(ii) Animal parts are limited by spawn rates, so could hold some value.
(iii)  Exotics (stones, enhanced, modables) are extremely rare, and so have a strong value.

Since EL is a grind-for-experience game, characters are rewarded for actions, harvesting and creating items.  This reward deducts from the value of items -- in effect, harvestables and basic goods (no exotics or animal parts) have negative value in the economy.

Get rid of grind-for-experience throughout the game, and have all resources in limited supply, and there may be an economy.

*  Experience on fail (discussed in (3)) should reduce items produced through grind, if not the grind itself.
*  Separate learning tasks (producing experience) and creation tasks (producing items) would do the same; but I don't like this unless the same rules could be applied to all tasks (training fighting vs bloody combat, etc).
*  Giving experience for achieving goals, not for tasks, would be my preference, but requires a lot of work elsewhere to provide characters with measurable goals.


7.3  Cash Flow

Closely related to the economic problem is that of cash flow.  It seems that every innovation in the game has as a strong driver the desire to add another "gold sink".

This is another sign of a failed economic model.

Most of the "gold sinks" are aimed at high-value/high-level tasks.  This affects a small portion of the character population, and can be ignored if you don't want to participate.

In addition, with free unlimited resources and a handy NPC with limitless funds, any gold sink can be countered by the lilac bush.

A more effective gold sink would be a very small but pervasive one, such as charging a few coins for each boat trip.  Count up how many boat trips are made each hour in the game, and multiply that by 1-2gc!

But gold sinks are band-aids for the problem; which is that gold is another unlimited resource in the game, via NPCs and their unlimited pockets and unlimited demand.

So if you want a stable currency, limit those NPCs.  Model NPCs more after the trader bots or "Merchant NPCs", who have finite resources and demands.

But, it must be kept fair for all players; a high level "truck" shouldn't arrive early and soak up all the NPC's gold for the day, leaving the NPC unresponsive when newbies arrive with their first bag of harvestables.

(i)  NPCs obay the rules of supply and demand, and have finite resources (though can go into debt).
(ii) NPCs trade with a "out-of-game" entity, at some background rate.
(iii)  The price offered to characters depends on their level and quantity being traded.
(iv)  Track how much characters have made from NPCs during the day and factor that in somehow.

Making a stable supply-and-demand economy were prices vary accordingly is not difficult.  Making one which is fair to all players is.
curtailed due to time

update 2009-01-06
7.4  Anachronisms
  • Rectangular hay bails - where are the combine harvesters which produce these?


Quote from: trollson
Closely related to the economic problem is that of cash flow.  It seems that every innovation in the game has as a strong driver the desire to add another "gold sink".

My husband and I have talked at some length about this. Gold sinks do not do wonders to fix a broken economy. They usually encourage more gold to come into the game to pay for these items. A much smaller percentage of gold already in the game (compared to the sources coming in to pay for this item) actually goes out.

A much better solution would be to lower the price that NPCs sell for. Making NPCs sell for 10 times (sometimes more) what they bought it for does not encourage the high level people to buy the items. It encourages them to go out and get it for themselves, thus creating a larger profit margin for those people, and more money into the game. If it were possible on some items, just to break even (or possibly loose a small some) I know a lot of people that would sink their money into buying the ingredients simply because this is faster. [sarcasm] But that would increase how fast people level up, and we wouldn't want to do that, now would we? [/sarcasm]

Quote from: trollson
(i)  NPCs obay the rules of supply and demand, and have finite resources (though can go into debt).
(ii) NPCs trade with a "out-of-game" entity, at some background rate.
(iii)  The price offered to characters depends on their level and quantity being traded.
(iv)  Track how much characters have made from NPCs during the day and factor that in somehow.

(i) Though there would have been a time when I would have agreed with you that having NPCs obey the rules of supply and demand would be a great thing, this still leaves a problem. The more people you put into game, the higher you have to increase what the NPC can buy. In some ways this would make a lot of sense, but there are things that wouldn't. Yes, with more people in game, supply and demand are bound to go up, but not as much as people think they would. This is because the common gamer is driven by the urge to make more money. This means buying as little as possible. Though this is corrected slightly here by having classes and not being able to level everything up, this is only going to fix things slightly. A decent number of people will just have second accounts to supply the things for themselves. If you want a good example of this, check out the PK server.

(ii) Having the NPCs trade with an "out-of-game" entity would be good, but again, if you are trying to go with supply and demand, this "out-of-game" entity would have to follow the same rules. After all, why would someone want to buy the same item every day?

(iii) This is a great idea, for some harvestables. And it would do a wonderful job of curbing the amount of money that suppliers/Artisans can get. But what about the fighter type classes? Ya know, the people who would stab out their eye if they tried to use a pick. If we have relatively common drops, such as bones and raw meat, the higher level mobs, as well as the lower level mobs would drop these items. (How does it make sense that a rabbit drops a piece of raw meat, but a dragon has none to speak of?) How do you balance this? This is not the best idea to implement until you can find a way to make it fair across all classes, and not just single one or two out.

(iv) If you are trying to make it have some semblance of sense, this would not make sense. If an NPC needs it, they are not going to start paying you less for the items they need, while paying the person standing next to you more. This encourages the use of multiple accounts, and not a more player-to-player driven economy. Some of the things that could be done to fix it would take a lot more coding than most developers are willing to do. This is because it usually just postpones the inevitable breaking of the economy, keeps it from happening.

[Side note] It would be great if people stop trying to clog threads with posts that do nothing to further the thread. Saying that it is a good idea isn't nesicarily a bad thing as it helps encourage more people to post ideas, but saying something completely unrelated gets very old. This is usually an attempt to up post count, or because someone feels the need to make themselves sound more important. It would be great if it stopped. But that is a discussion for another thread, please do not clog up this one with responces to this side note. [/Side note]



Gold sinks ... usually encourage more gold to come into the game to pay for these items. ... A much better solution would be to lower the price that NPCs sell for...
EL's NPCs, with fixed prices and infinite pockets, should not be considered as participants in the game economy, but as limits on it; they cap the price ranges in the game economy.  When NPC prices become too realistic, the player economy is backed into a corner and can suffer.

For example:  Medallions were a major source of income for our Merchant.  To help support crafters, the NPC buy price was raised to something more "realistic" - more than we were selling for!  Therefore our prices had to rise to match, but at that price point sales dried up.

(i) ... The more people you put into game, the higher you have to increase what the NPC can buy. ...
(ii) ... if you are trying to go with supply and demand, this "out-of-game" entity would have to follow the same rules. ...
(iii) This is a great idea, for some harvestables ... But what about the fighter type classes? ...
(iv) ... this would not make sense ...
Making a dynamic, self-balancing economy from the EL game model is not an easy task.

(i) As the game grows, this is represented by the NPC's business booming.  Therefore the NPC's resources increase, and prices are adjusted.

Clarification:  I would expect the system to self-adjust, so these changes would be automatic within the system.  I don't envisage any manual mucking around with buy-sell prices etc.

(ii) Assume that the game is set within a relatively small part of a much larger world, then we have an "intra-game" economy, which we are discussing, and a much larger "extra-game" economy.  The latter is large enough not to be affected by changes in the former.  So, when I talk of an "out-of-game" entity, I am implying trade with the "rest of the world".  This can also provide a stabilising force in the game economy, though less rigid than the fixed NPC prices (and of course the transport costs make relying on it less economical).

(iii) This was a "fudge-factor" suggestion.  If it is modelling anything realistic, it would be social standing or rank related.  If harvestables are a "spawned" resource, like creature drops, then its less relevant - though spawning has plenty of fair-use problems itself.

(iv) No, it doesn't.  Again its a fudge factor, and there should be better ways to share NPC's finite-resources around.


So problems we have:

(a)   There is no economy unless resources are finite (a sweeping statement to make a point!).
(b)   Finite resources need to be shared fairly between characters of different capabilities.

Part of this is that character progression is only measured by levels, from experience, from consuming resources and/or producing items.  ie, the grind.  This is more a feature of CRPG than RPG - on the tabletop we had many other ways to advance our characters other than level gain.

Can we:
(a)   Get rid of the grind?  Drive progress through achieving goals rather than repeating arbitrary actions?
(b)   Provide other achievements for characters, beyond level gains, which are meaningful in-game?

I have plans for (a), but there is a lot more work involved.

For (b), consider:
(i)   Ranks within groups - guilds, cities, institutions.  These need to be earned (not bought), and could grant access to "things".
(ii)   Positions within groups; unlike Ranks they are a limited resource, you cannot have two Captains of the Town Watch for instance.  So there is a game in holding, maintaining, and acquiring positions.

Both ranks and positions can be lost if neglected, and holding some may prevent access to others (cf. EL's churches).  But acquiring them should be (mostly) independent of levels, so they are not another by-product of the grind.

« Last Edit: 2009-04-18 01:50 (Sat) by Korrode » Logged


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Korrode
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« Reply #2 on: 2009-04-18 01:48 (Sat) »

The main points raised in the previous post i'd like to look at are related to:

4. Finite resources (depletable harvesting locations)
Does anyone have detailed ideas for a workable system?
Is it as simple as having common areas for X harvestable and having them 'spawn' on a timer... or is there a better system?
Is it a good idea?

5. Finite NPC buying power
How can this be made fair?
i.e. How can the "truck" (experienced high carry capacity player) be stopped from selling the NPC all it's willing to buy (for the day(?))
Is it a good idea?

6. (Dynamically) changing NPC buy/sell prices
Is it a good idea?

Would it be better to actually move away from any kind of free market and have NPC's consistently enforce product prices?
« Last Edit: 2009-04-18 01:53 (Sat) by Korrode » Logged


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collardhills
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« Reply #3 on: 2009-04-18 04:24 (Sat) »

i think that the prices for everything should be based on how many there are, and how easily money can be attained. If a noob can harvest the wood sprites for a day and buy a full set of dragon armor.... somethings wrong. Just try the fastest way of making money, and adjust the prices of items by that.
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Derath
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« Reply #4 on: 2009-04-18 04:51 (Sat) »

If a noob can harvest the wood sprites for a day and buy a full set of dragon armor.... somethings wrong. Just try the fastest way of making money, and adjust the prices of items by that.

While I do somewhat agree with this, there has to be more considerations as well. In this example is someone can harv a noob creature all day and get dragon armor, yes it's wrong, but also consider that there are going to be separate classes in QEL. For the "manu'ers", fighting is not going to be a strong aspect, and while they will not be able to wear dragon armor (assuming), there will need to be a way that they can work on getting the things they need as well.

Again, not trying to discredit you collardhills, just pointing out that the fastest way of making money is going to be different for different chars/skills
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Ermabwed
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« Reply #5 on: 2009-04-20 02:34 (Mon) »

Disclaimer: This is just "quick and dirty", and I have no idea how this project differs or intends to differ from EL
Quote
1. What are the upsides and downsides of setting upper and lower price boundaries for items through the usage of NPC buy and sell prices?
The function of this is obviously to limit the price range of an item, setting boundaries for price speculation; could also be seen as a way to implement a "minimum wage" and to stop (single or groups of) players from monopolizing the market for a particular item. This can also function as a way to encourage or discourage productions of certain items. See also 3 and 6.

The up- and downsides depend on how you view the possible functions or rather the ones that are actually employed.

Quote
2. Would there be ill effects if NPC buy prices make producers break even?
Assuming "break even" means "buy ingredients and food and still break even", then yes, as  too much money could be entering the game going to people who harvested their own ingredients etc. Of course this could be balanced by increasing the amounts of ingredients (i.e. the time it takes to harvest them and thus the total time required to make a particular item from scratch (possibly -food)). The "old" TS Pots using Henbanes are a good example here, other potions or essences also make a nice profit if you harvest your own ingredients, which overall keeps the market supplied with them (as in "I can either sell them to players or to NPC, they are not going to just sit in my storage forever, thus I am willing to make them in the first place).

Quote
3. What are the upsides and downsides of NPC's buying raw harvestables? Should NPC's only buy 'mixed' products?
Apart from what was mentioned on 1 above, this offers a way to calculate or set "minimum/maximum prices" for mixed items (which probably would be rather "ridiculously" low/high). Can also be used to encourage or discourage certain player types (afk harvesters/gold farmers) and player to player interaction. Depends a lot on the harvestable as well.

Quote
4. Finite resources (depletable harvesting locations)
One big problem in tuning a system like that is to make it fair for the whole player base and prevent a group of players to monopolize a particular resource (unless the other players could employ counter measures, e.g. hydro ore). Would also need to be adjusted to the number of "active" players or else you'll be making that resource artificially rare or not limiting it at all, really.
Alternative to the "spawn" system would be a "regenerative" approach, say a resource supports n harvesters, then harvesting will slow and possibly come to a stop if there are more than n harvesters harvesting it for a certain time, if there are less, the resource would (slowly, depending on the difference to n) regenerate and harvest speed would go up again. I think something like this was posted on the EL forums at some point, probably by trollson Smiley
Anyways, let's say a harvestable has a maximum stock of ms, a current stock of cs, a growth rate of gr (amount of regenerated harvestable per time unit), a harvest time of ht (time units to harvest one harvestable) and n players harvesting it (players with an excavator cloak would count as 2 players in this), then you could calculate the current harvesting time cht and the current stock after that round (assuming all players at this harvestable are dealt their parts at the same time) by
cht = ht if cs >= n and cht = n/gr + cs/gr if cs < n (this ensures enough of the harvestable is regenerated by the time the players get their share).
After the distribution to the players, the new cs ncs would be
ncs = min(cs - n + gr*cht; ms) if cs >= n and ncs = min(ms; "amount of unsuccessful harvest attempts") if cs < n
setting cs = ncs, you'd be ready for the next round.

Quote
5. Finite NPC buying power
One option would be to only buy in "reasonable quantities per day" from anybody and have that NPC go in debt for the day to ensure he can buy from everybody. Depending on the "background economy" he could then either adjust his prices the next day (or not) or not buy anything at all (if background economy's demand isn't sufficient to get him out of debt).

Quote
6. (Dynamically) changing NPC buy/sell prices
I think this is an awesome idea, which I've always supported, however, it would probably be fairly complex to implement, especially the interaction with the NPC based economy and the "background economy"... imagine item prices depending on how many ingredients were sold at what price to NPC, how many the "background economy" would provide at what prices and how many were bought from players, NPCs and the "background economy" as well. A simpler version would assume the "background economy"'s prices and demand to be stable (basically providing upper and lower price boundaries).
Of course prices could also depend on what could be potentially sold to NPCs or bought from them. This would be basically NPCs speculating on what of the resources might be on demand or for sale today, tomorrow, etc. I'm sure there are models that deal with this kind of behavior.

Ok, enough rambling, time for dinner! Tongue
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