Good Bye Lindex?

The question many of us are asking is whether or not we should pull out our Lindens now or hold out for a rate recovery.

I am personally distressed over the way the LD/USD rates are moving. But that is all it is. Personal. As much as I want to believe that the rates will recover, I can only say that there is little we can do.

With the growing population of players there will be an overwhelming amount of free content.
The reality is that players will begin to realize they don’t really ‘need’ to pay for stuff. If they do, whatever stipend they are getting will likely be enough to pay for whatever they want. When they realize that there is a lot of free content out there, and that they can get really good content, they will be less likely to purchase LD.

Furthermore, because of growing membership, and growing competition between content creators, prices will likely drop in most industries. Take skins for example. If there was only one person in all of SL selling skins, that person might set the price of their skins at X. As more players make more and better skins, that person might lower their price to something less than X. Lower prices for better content contribute to lower demand for LD.

Looking at realistically, the rates have a lot of room to get much worse. While we are all scrambling to find a way to get out of this mess, it will not be likely as long as the demand for LD weakens. I foresee little reason why it would not weaken.

Of course, this is just an observation. I truly hope for my sake at least that I might be wrong, and that the rates will eventually return to what they were when Lindex opened. But realistically, I cannot see any need for it do that.

If I had been wise, and predicted this before, I would have exited my Ls weeks ago. If in the next few days, this trend remains bleak, I have no intention of riding this for the long haul. I will ready myself to exit at whatever horrible figure the Lindex gives me.

Thank you for the crash course in capitalism

Well it's just that I see alot of us including myself with hopes of finding a way to bring the rates back to something more profitable.

However, other than 'we are losing money', I'm not sure if there really is a need to bring the rates back.

This is called competition and it improves the standard of living for all SL
Citizens. If 1 Player sold Skin for L$500 and you got paid was L$500/wk,
your disposable income is now L$0 to spend in other segments of the
economy. But as competition lowers prices, that skin which was once
L$500 is now L$50, giving you L$450 to spend elsewhere.

This has the effect of increasing your standard of living in SL
(Able to Own More Crap), and it spread more wealth around to more
players, boosting the overall GDP of SL. Which in the end is a good thing.

I don't disagree with what you are saying. I would not comment about being a good thing or a bad thing. What I can comment on is the effect which is a lower demand for LD. For me personally, it's a hit, but as you say, it very well maybe a good thing for SL overall.

I understand what you mean Pleasure, but I'm not so sure we can do anything about the effect that a growing population has on the changing prices of goods within the SL economy. We can however, control the amount of free $L introduced into the SL economy. LL is addressing this issue as we speak. I would just like to see them accelerate the process a bit.