While we're on the topic of credit prices, I may as well add my two
cents. As many of you no doubt would have noticed, credit prices have
been rising steadily since the inception of the credit market. Now,
whether this is a good thing or not depends on your viewpoint really. I
should state beforehand that I do not like the trends, for I am one of
those "middle-class" Achaeans (not poor, but not rich like people that
buy lots of credits elsewhere *cough*) that rely on purchasing credits
with gold.

Is the credit market a good or bad thing?

Supporters of the credit market usually say the credit market is good
because it allows for free trade. Credit trading is simple and everybody
has access to it. The laws of supply and demand should apply, since high
demand should correspond with high prices, and vice versa. They say,
stop interfering with the market and let it run its course. The prices
will slack off when the demand drops.

And then we come to the nay-sayers. Usually these are people who see the
prices rise before their eyes as credits slowly creep out of
affordability. As credits do have an effect on our Achaean lives whether
we like it or not, it is understandable that some will be bitter about
the price increase. Some people are not able to purchase large amounts,
if any, of credits elsewhere *cough*, and rely on their efforts here to
generate gold to buy credits.

A major part of the blame can be placed on credit resellers. You can
call them whatever names you like, but what they do is allowed and
supported by the system. Their identities are held anonymous while they
operate, so even -if- there is a small voice nagging at the back of
their minds, it is easily ignored. Who will know? Afterall, if I
purchase a credit, it is mine to do as I please, and nobody else's
business. Why are not people allowed to be selfish? I'm not being
sarcastic. It's a valid question. Why are they not allowed to be selfish
if they want to be? What is it to me that you cannot afford to buy my
credits? The credit market is a harsh place.

As Rocktamer noted in public post 11182, there are roughly two kinds of
buyers - consumers and resellers. Unfortunately for some of us, we have
a disproportionate amount of resellers who are skewing the demand side
of the equation. It is bad enough we have very low supply to begin with,
but at least that was natural. With an excess of credit resellers, the
same supply essentially gets raised up a price bracket. And we are only
seeing the first wave, for there will always be greedy people around.
Once people get used to the average price of credits being higher,
another wave of credit resellers will come in to take advantage. It is
essentially a vicious cycle.

Will it eventually come to a stop? It has to. Right now, 2700 gold per
credit is still within reach. However, people are not buying from need,
but rather desperation. As prices go higher, even these too will be bled
dry and the amount of actual consumers buying credits will shrink even
further. Sooner or later resellers will realize credit prices are too
high and lower it a bit, just enough that they still keep their profits
coming in. While it takes 2 seconds to raise the price of a credit 200
gold, people's gold-gathering capacities remain the same.

That time has not arrived yet, and I do not know when it will come. The
period between will have to be endured. As resellers become more common,
cheap credits from cities and organizations will continue to dwindle.

Is there anything we can do?

Easy. Stop buying credits above a cutoff point. Personally I have
stopped buying any credits above 2300 a long time ago. I do realize it
is easier for me to say so as I have transed some skills already, and
would have less need for credits than say, someone just starting out. Do
what you must, and if you really want to help the situation, do not
resell credits yourself. If others wish to, let them. It is their
freedom to do so.

And while I'm still spouting. Is there any such thing as a fair price
for a credit?

Sure there is. Note that this should have nothing to do with the
reseller effect. The value of a credit should be reflected in the effort
required to obtain it. In terms of gold, a credit's value may be
translated to how long you are willing to work to gather the amount
required to purchase a single credit. Similar concept should apply to
credits purchased elsewhere *cough*, except the value of otherworldly
currency should be higher and worth more as it is harder to obtain in
general than Achaean gold.

What would be nice is if gold is worth more. We need more things we can
purchase with gold. Not small items, but rather, expensive items.
Perhaps if we increase the perceived value of gold, that would have a
moderating effect on the credit market as well, as people will have to
consider whether to keep their excess gold rather than spending it on
credits as there is -nothing else- to buy with the gold anyways.


Sorry for being a tad long-winded. I just save everything up and post
once. It is expensive you know. *g*

-V.

Penned by my hand on the 1st of Scarlatan, in the year 336 AF.