The Neopian Economy: A Shopkeeper's Perspective by stal0s |  |
Inflation? Deflation? Is it either one?
Greetings, fellow denizens of this crazy Neopian world.
I am here today to offer you a different perspective on the current state
of Neopia's economy. First, though, I shall respond to a challenge that wasn't
issued to me.
According to last
week's article in The Neopian Times, I would be placed in the Elephante
Party, as I price by the Shop Wizard, using the cheapest price as a guideline.
My shop's mission is to provide all the items I sell, at the cheapest price
available to Neopians. What I do, is search on the Shop Wizard a few times (for
the same item) finding the cheapest price. I, then, price my item five (5) to
five hundred (500) Neopoints cheaper. Why? Don't I lose profit? No, I do not.
I receive most of my items for free, or way cheaper prices than the average
price of that item (i.e. Healing Potion X for 10 NP, instead of, say, 75 NP).
I then get the business that comes from having the cheapest price, whether it
is competitors, or honest buyers. Either way, my item is gone, and I have NP
to show for it.
As you could guess, my shop is extremely profitable. And because of this (and
my honest, hard work on the games) I'm in the low-upper 'class' of citizenry,
with around 250,000 NP. If it were true, what is said about rich Neopians losing
profit through the pricing system of mine, I certainly don't see it.
What I am proposing is a new 'party' so-to-speak. This would be the Meerca
Party (named after my close friend and 'colleague' LtKettch). The Meerca Party
members believe that the economy is stable, not in an inflationary or deflationary
period.
I shall back up these beliefs with the following true statements. If a shop
is bought out by one of their competitors--who is most likely fighting for cheaper
price--than that first shop has just earned NP on that deal. Then that second
shop may in turn, be bought out by another competitor, leading to an inflationary
period, right? Wrong.
While these shops are fighting wither each other over cheapest price, other
shops spring up, with that item pricing it cheaper than the guy that just bought
out his competitor. Then the items are bought again; although it may not be
by a competitor.
See, not all items are bought with the sole intention of being resold. A lot
of them are used, making the existence of that item go 'poof'. With millions
of people on NeoPets, even the people with the second, or third, or even fourth,
cheapest price will eventually have their item bought; as it would appear to
be the cheapest at one time or the other. Then new shopkeepers come along, to
lower the price again. It's been equalized.
As you can see, the economy of Neopia is an extremely vicious cycle, yet the
economy seems to stable as everything equals out. No inflation, no deflation.
Everything is perfect. Although, I do realise some items are in the middle of
an inflation period. The Green Apple inflation, and the Wheel of Excitement's
disease's cure always inflate. Those, you just have to deal with. They come
with the items that will deflate over time, too. For example, Cybunny plushies
used to be sold for over 600 NP apiece. Now the price of those has come to a
balance as more were created, and not all held by greedy shopkeepers. =P
Finally, I'll just leave with this: Forget about the inflation and deflation
debate. Realise that Neopia's economy is a vicious cycle, yet equal and stable.
Let's leave this in our past, and look to the future where apples no longer
cost 1000 NP a piece. XP Okay, forget that last part. It was corny, I know.
Thank you all. |
