Your supply and demand reference is faulty in this case because the
Credit Market system works against that concept.

Normally, supply and demand works under a different circumstance, where
there is actually some difficulty in moving the product around. You
would haev to haggle, check for the best price, and that sort of thing.
The problem with credit market is its designed to look like it caters to
Supply and Demand, but it inherently causes prices to skyrocket, in
order to make credits worth more.

Here is the thing, in a normal market, you have to find the lowest
price. You have to buy in bulk, you have to find a customer, you have to
sell in small amounts.

In the credit market, you have 2 types of buyers. Consumers, and
middle-men. Middle-men are the ones that buy city credits for 2k, then
immediately put them on credit market for 2.6k . These people cause
cities to run out of credits, make it hard to get low-priced credits,
and allow the people on credit market to sell for outrageously
high-prices. These middle-men also will just buy low-priced-credits off
credit market, and do the same thing.

Consumers, the ones who actually buy credits to use them, suffer,
because they can only get a few city credits at a time now, and have to
suffer the high-priced credit market if they want to buy more than like
10 credits at a time.

What happens any time someone puts 10 credits for 2k each on credit
market? They disappear in 2 seconds and you end up with 10 credits now
selling for 2.5k. This is not how a supply and demand system works,
because this system ignores the concept of "Bulk." Without "Bulk" every
little 'tard comes along and screws up the system. With "bulk"
intelligent people are normally making very calculated decisions because
they're investing a LOT of money. My city has a severe credit shortage
because there is no law in place (as if anyone would care) to prevent
the abuse of city credits.

As long as the Credit Market exists in an anonymous,
non-bulk-buying-alternative, no-risk fashion, credit prices will stay
high. When a person's name has to be put up next to their credits, and
citys put in laws restricting abusing city credits, and people are able
to have the option of selling larger amounts of credits, then stupid and
greedy people will stop screwing up the system to make just a couple
thousands gold every year.

This concludes today's lesson in economics.

Penned by my hand on the 18th of Miraman, in the year 336 AF.