1) Ratings will be given out less often -- At 25 times the cost, there will be a SHARP downturn in ratings given.
2) Ratings will be more honest -- At higher cost, it is more likely that each rating is deserved in some way. This won't stop tripple negs, but at least the rate-ee will know the rate-er just lost L$75 on the deal.
3) There will be a historical disparity between "old" and "new" ratings -- Short of dividing all existing rating totals by 25 at the time of change, established players will have the benefit of a relative increase in the value of their collected points. But such monetary values are meaningless since they are one-way. (You can't cash out earned ratings on GOM.)
4) There will be a lessened impetus to garner rating points -- Since the associated stippends will be reduced, the reward for high rating scores drops, reducing the need to gain ratings by every means possible.
5) Top-ranked players, who might be earning as much as L$2,000 a week in stippend and bonuses, will be affected more by the percentage drop than new players. Over seven times as much of a loss, even.
6) There will be a sharp drop in events that give out prize money -- Without the subsidization provided by LL in the past, fewer events will be handing out L$ to attendees since that money will now have to come from the pockets of the event host.
7) There will be a small drop in the number of events -- Without prize money to attract players, events that had no other real draw-factor will begin to vanish from the events list.
Eventually, prize money will return as hosts find new stable sources of income to fund the L$ hand-outs. Expect the equivalent of tour T's at the concession stand, perhaps.9) New players will be poorer -- A new player, who hasn't the skill yet to create, has collected most of their L$s from event prizes and their stippend. With a drop in both, New players will have less money to spend, and will spend it more carefully, if at all.
10) Sales volumes will drop -- New players who can't create for themselves do the bulk of the buying. With less money in their pockets to spend, they will not be buying as much.
11) New players, who want L$ to spend, will turn to GOM and other L$ trading houses to get it. The exchange rate should rise as a result.
12) With fewer sales, dealers will lower prices to compensate.
So stopping there at a dozen observations, I'm not sure that this is a good idea, but it may work. I don't think it will backfire, though #12 concerns me despite the balancing factor of #11. Numbers 5 and 9 seem to be at odds with each other as well. I'm not sure which will hold greater sway, but I hope, for the new player, that #5 hurts more than #9.
Players have come to expect the free money and think of it as "theirs" before it's even given, so it's no surprise that they cry out "unfair" or "it will be the death of Second Life" when the flow dimishies some.
Some people will hardly be affected by these changes at all, while others will feel like the world is coming to the end. (Or at least their income.) And while some people will refuse to change how they play and instead will make the greater change of not playing at all... Still others will adapt and find new footing. I applaud the adaptees and wish them well.
If you don't know HOW to adapt... That's a great time to USE the forum. Lets see some brainstorming threads on how to change our techniques of play to turn these changes to our advantage. Lets see some creative juices flowing here.
