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29330: RE: [MUD-Dev] Economic model..

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From: Matt Mihaly <the_logos@ironrealms.com>
Newsgroups: nu.kanga.list.mud-dev
Date: Fri, 27 Feb 2004 02:22:41 +0000 (GMT)
References: [1]
Organization: Kanga.Nu
On Wed, 25 Feb 2004, Brian Thyer wrote:

> Players selling for lower than manufacturing cost is a concern of
> mine.  Game theory dictates that manufacturers should sell for the
> lowest possible cost in an informed open market economy, that is
> an ideal economy for consumers.  However, Game theory also says
> that manufacturers, wherever possible, should behave as much like
> a monopoly as consumer's elasticity of demands allows them to get
> away with.

One has to wonder what that has to do with the reality of running an
online game. Informed open market economies are myths established by
economists who want to write neat little papers that don't take into
account actual consumer behavior.

--matt
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