I see the L$ is losing value again

The "intended" range is completely irrelevant. People want a free market, that's what they got, and that's why it went up towards 350.

The only way the L$ is going to 200 is if there is some serious market manipulation going on - which would fly right in the face of LL's desire to have a working economy, even though I disagree with it.

Lewis

I think LL stated that would like the value to be around 250/$1.00.

200/$1.00 wouldn't be good at all for both buyer's and the economy.

Ah so 350/1 is "free market" 200/1 is "serious market manipulation" got ya.

Better open your wallet if you want to buy L's because I think we're in for some "serious market manipulation"

Probably way before 200/1 would be reached, people could start buying premium accounts for the monthly fee, and selling off the L$'s from it (cca. L$ 2000/month for 10 to 6 USD/month depending on monthly, quaterly or yearly commitment).

200/1 isn't even break even for a monthly account. That is alrdy possible for yearly... except... there is a limit on how many accounts you can have.

Sorry, no.


The L$ is finding value that had been lost.


'The act of buying L$' may be less desirable to you... but that's different.

By that definition, Anshe should be the biggest failure of them all.. Damn, I wish an income of $150,000/yr was my greatest failure.. Silly wabbit, eye candy and having phun is for kids. Making money is for adults. Without it, SL wouldn't exist in the first place.

Never forget (because you often do) that everything which exists for your enjoyment on a plot of land is being funded by somebody elses RL or SL income. Nothing is for free, this isn't Utopia.

Repeat after me:

1) Money First
2) Things Second
3) People Third

And who is going to hold up that value at L$250? If the L$ starts to drop, somebody has to put up some USDs to restore the value. Is it going to be you? And what if the value climbs to L$100? Are you going to call for LL to flood the market with L$ to bring the valuation back into line at L$250? Now that I would have to see...

No.

It will be Linden Lab.

LL has already announced that they intend to sell L$ under certain scenarios.

The above would classify as one of those scenarios.

IMHO, LL would never let the L$ drop too far under L$250/1USD. There are two things that will happen when the exchange rate dips below L$250/1USD...

1. The trigger is activated and LL announces they will begin selling L$ ...

2. We begin seeing blocks for sale on the LindeX strategically placed with the specific intent of stabilizing the L$ in the range of the L$250/1USD rate.



We will never see a L$100/1USD rate. Simply because the rate will rarely, if ever, even dip below L$240/1USD.

Otherwise, why would LL ever announce they will be selling L$ under certain scenarios in the first place?

OOpss.

I mean sell

Thank you Jauani. I edited so as not to confuse and shock the masses.

no problem

you still haven't answered reserve's question. who will prop up the L$?

perhaps you misunderstood though. the L$ dropping the exchange giving more L$/usd. your post explained why the L$ could not go higher than 250L$/usd.

the whole exchange rate notations are confusing.

I pay plenty each month to provide entertainment, and don't make a (insert monetary unit of choice) out of it.

It's sad that so much emphasis is given to the "money" aspect of SL to the detriment of so many other quality aspects. Not everyone is here to make money, or has the capability to do so, and that makes up the vast majority of the playerbase. Without us, those who do make money couldn't exist.

Never forget that in any market, consumers have more power than the businesses, because we can easily take our business elsewhere if we aren't happy.

Lewis

I (hope) to make my tier each month from sales, although this month is looking bad it has to be said. Oh well. I also spend money on things in world, I like shopping dammit.

But, whilst I appreciate your point of view has its merits and it's important that it is heard, there has to be a balance Lewis. You want as many L$ for your US$ (whatever currency you start off in, £sterling I think?, you still put your money in to LindeX as US$), whilst I want as many US$ for my L$. That's why we have an exchange rate that moves, rather than a fixed buy rate. You've had your glory days of the 340's, and good for you. We're having a better month with the 290-300's. Long gone for us are the days of the 250's.

Just for the sake of correctness, the L$ isn't losing value, it's strengthening against the US$, when things go your way, that's the US$ strengthening against the L$. You can talk about weakening too, but the sexism inherent in the system only tends to identify which is the one getting stronger.

Considering the weakness of the US$ against the UK£ ...

The following exchange rates are currently accurate at the time of posting.

$1.30 = £0.70 will buy you L$300

£1 = $1.837 which will buy you L$462.

Lewis

I sincerely hope that someday you find true happiness.

They are ALREADY selling L$'s. It costs 10 USD (to 6 USD) per L$ 2000, but it takes about 4 weeks to deliver (weekly L$ 500). It's called premium membership.

You can't show that the L$ is "losing value" without comparing it to another point in time.


A month ago it was £1 = $1.850 = L$617
but today it is now £1 = $1.837 = L$556, (not including fees)

Even the USD is slightly more valuable against the GBP than a month ago.

Unrelatedly, but I thought it amusing...

I was quibbling with someone about gas prices recently... and how even with the increase in U.S. gas prices lately, we're still paying only half what the UK and Europe does per gallon. ($3ish to the US gallon, and $6ish to the UK gallon.)

But, if I recall correctly your UK gallon is actually 20% larger than a US gallon. Making it more like $3ish vs $4.8ish for the same volume of petrol.

It's all relative. Some relatives are crazier than others.
but, apparently, you get 20% more gas per UK gallon.

RBD-

I hold you in such high esteem I've decided to promote you from #3 to #2!

Please enjoy your new elevated status as an objectified 'thing' in my universe.

Smile and look pretty now, or there won't be any #1 from me.

Unless that business holds a monopoly over something you want.

Does this award come with a L$20,000,000 L$ bonus?

To continue this off topic post..

I guess you wouldn't know this, but in the UK we buy petrol ("gas" by the litre (liter). 1 litre costs about 93 pence, which equates roughly to $1.70 USD at todays prices. 1 US gallon=3.78 litres, so that makes it $6.50 per (US) gallon in the UK (OUCH!!!).. So I'm afraid your example is not very good.

That explains why everybody in the UK either drives one of those small ass cars, a moped, or a motorcycle. And never catch a taxi from Heathrow, you will pay through the nose.. Better to catch the express train to Paddington Station.

Ah! Thank you for the correction!

I blame my error on not being of legal driving age last time I was in in the UK! =)

And sorry to hear that it is actually as bad as that!

Oh, I did only answer half the question, didn't I?

But as far as who will prop up the L$?... the answer is the same.

Linden Lab.

They simply have to continue tweaking the economy with the economic tools available to them in order to realize a desired result.

I could go on and on in regard to the various sinks, tiered taxing possibilities, and e-commerce ideas that LL could implement to prop up the L$ if, and/or when, that time became necessary. Many of those sinks, taxing, and e-commerce ideas have been mentioned numerous times on these forums. And many more could be devised with a bit of thought and creativity.

Suffice it to say, the balancing of an economy is a never ending edeavor.