Which Currency Buys The Most L$?
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 13:46
Hook me up with some Gold...  August 9th's Average: L$306.4659 / US$1.00 US$3.26 Buy's 1000 Linden Dollars ======================= One Troy Ounce of Gold Buys: L$199,410/Linden Dollars One British Pound Buys: L$584/Linden Dollars One Euro Dollar Buys: L$393/Linden Dollars One Japanese Yen Buys: L$.24/Linden Dollars One Australia Dollar Buys: L$233/Linden Dollars One Canadian Dollar Buy: L$273/Linden Dollars One Swiss Franc Buys: L$250/Linden Dollars One Thai Bot Buys: L$8/Linden Dollars One Hong Kong Dollar Buys: L$39/Linden Dollars |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 14:21
Those Brits sure do have some Purchasing Power. The average Brit makes about £34,197/year (US$64,974). Time for me to move to England.. Look Out Brits, I'm Coming...
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Siggy Romulus
DILLIGAF
Join date: 22 Sep 2003
Posts: 5,711
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08-09-2006 14:39
Indeed, I heard there are a few villages over there in desperate need of an idiot... You could have a foot-in there!
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Eloise Pasteur
Curious Individual
Join date: 14 Jul 2004
Posts: 1,952
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08-09-2006 15:16
From: Siggy Romulus Indeed, I heard there are a few villages over there in desperate need of an idiot... You could have a foot-in there! ROFL. Possibly my all time favourite post! |
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Aleister Leonov
AL Designs
Join date: 11 Jan 2006
Posts: 68
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08-09-2006 15:46
Take it from a Brit... We have more than our fair share of idiots already...  (No reflection on RBD intended... just don't want anyone thinking they should bother applying for the job)
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AL Designs
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Xerius Andalso
Registered User
Join date: 7 Feb 2006
Posts: 170
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08-09-2006 15:46
From: ReserveBank Division August 9th's Average: L$306.4659 / US$1.00
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One Euro Dollar Buys: L$393/Linden Dollars
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One Thai Bot Buys: L$8/Linden Dollars Don't you think you should have added the time WHEN the average was L$306.4659 / US$1.00 or is this a prediction? ATM (3:36 pm) it's at L$305.6214 / US$1.00 and it will change constantly till midnight. Btw, a Euro Dollar and a Thai bot won't buy you anything. |
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Akemi Soy
Registered User
Join date: 31 Jan 2006
Posts: 5
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08-09-2006 16:01
wonder what a peso would buy?
just out of curisoty.
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Theora Aquitaine
Registered User
Join date: 12 Feb 2006
Posts: 266
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08-09-2006 16:25
From: ReserveBank Division Those Brits sure do have some Purchasing Power. The average Brit makes about £34,197/year (US$64,974). Time for me to move to England.. Look Out Brits, I'm Coming... Not correct RBD: http://uk.answers.yahoo.com/question/index?qid=20060729154056AAuVp6b27k pa is the average, and excluding city workers and CEOs 20-22k pa is closer to the average for the country. £34k per year is a pretty good salary here. It is about what a doctor earns after they have been working for 5 years or so.. |
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Jayson Whittaker
xD
Join date: 20 Jul 2006
Posts: 220
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08-09-2006 18:56
Seriously, don't go to England. Not only is it already full of idiots but I moved to Australia to get away from the horrible wages, pollution, and... uhm... idiots xD
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 19:26
From: Eloise Pasteur ROFL. Possibly my all time favourite post! Hahhaha.. See, without me, your life would be boring.. lol |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 19:26
From: Xerius Andalso Don't you think you should have added the time WHEN the average was L$306.4659 / US$1.00 or is this a prediction? ATM (3:36 pm) it's at L$305.6214 / US$1.00 and it will change constantly till midnight.
Btw, a Euro Dollar and a Thai bot won't buy you anything. The average of L$306 was today (8/9/06) around 4:00p EDT. |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 19:37
From: Akemi Soy wonder what a peso would buy?
just out of curisoty. Do the Math: 10.854 Peso's = US$1.00 $3.26 = 1000 Linden Dollars 35.38404/Peso's = 1000 Linden Dollars 1000 Linden Dollars / 35.38404 Pesos = 28.26/Linden Dollars per Peso Mexican Peso I assume? |
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Lawrence Linden
Linden Lab Developer
Join date: 25 Jun 2005
Posts: 235
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08-09-2006 20:20
From: ReserveBank Division Do the Math:
10.854 Peso's = US$1.00
$3.26 = 1000 Linden Dollars
35.38404/Peso's = 1000 Linden Dollars
1000 Linden Dollars / 35.38404 Pesos = 28.26/Linden Dollars per Peso
Try not to over complicate the math in the process...
L$ 306 US$ 1 USD 1
------ * ----- * ----------
US$ 1 USD 1 MXN 10.854
You can ignore that middle term because all it says is that what we call US$ on LindeX is what is called USD in exchange rate listings... so we could simply say this instead:
L$ 306 US$ 1
------ * ----------
US$ 1 MXN 10.854
which can be reduced by cancelling the identical terms ("US$ 1"  to:
L$ 306
----------
MXN 10.854
Then divide both the numerator and denominator by 10.854 since you want to know "per MXN 1":
L$ 306 / 10.854
-------------------
MXN 10.854 / 10.854
which after you reduce "10.854 / 10.854" to "1" becomes:
L$ 306 / 10.854
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MXN 1
So just type 306 / 10.854 into your favorite calculator and get a final result of L$28.2 / MXN 1. You can basically skip straight to the two steps I've highlighted in bold and just perform one division. Cheers, Lawrence |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-09-2006 21:25
From: Lawrence Linden Try not to over complicate the math in the process...
You can basically skip straight to the two steps I've highlighted in bold and just perform one division.
Cheers,
Lawrence Damn it LL, don't you have L$50/million dollars to print or something? lol If I can't complicate the math, the serfs will realize they don't need me and give me the old HeevHo... And you know, without my keen economic eye and detailed postings, this forum would be a dust collector.. hehehehe |
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Hiro Queso
503less
Join date: 23 Feb 2005
Posts: 2,753
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08-10-2006 03:52
That sounds about right, I would say a pretty modal wage would be around the £25k mark, but it varies with region. |
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Hiro Queso
503less
Join date: 23 Feb 2005
Posts: 2,753
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08-10-2006 03:53
From: Jayson Whittaker Seriously, don't go to England. Not only is it already full of idiots but I moved to Australia to get away from the horrible wages, pollution, and... uhm... idiots xD What a loss |
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Dillon Morenz
Registered User
Join date: 21 May 2006
Posts: 85
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08-10-2006 04:06
From: Jayson Whittaker Seriously, don't go to England. Not only is it already full of idiots but I moved to Australia to get away from the horrible wages, pollution, and... uhm... idiots xD Well, the pollution would depend on location. It's certainly not noticeable in this leafy part of the country. Isn't unemployment in Australia about three times higher than the UK? And the minimum wage lower? (About £4.58 (AUS) compared to £5.05 (UK) for workers over 22?) |
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Aodhan McDunnough
Gearhead
Join date: 29 Mar 2006
Posts: 1,518
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Re: OP
08-10-2006 04:17
One shouldn't be comparing 1 unit of any currency directly to any other for purposes of Linden buying power because all you need to do is look at the largest valued currency on the market. Today, excluding metals, it's probably the Kuwait Dinar (KWD) which is currently pegged at 1.8 GBP or 3.4 USD
But given the same value in currency the one with the most buying power is the US dollar. That's because it's the only one that does not incur foreign exchange charges.
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-10-2006 05:44
From: Hiro Queso That sounds about right, I would say a pretty modal wage would be around the £25k mark, but it varies with region. Only £25k a year? I musta been looking at the average for folks in London. Well, maybe the pay in the UK isn't all that.. |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-10-2006 05:47
From: Aodhan McDunnough One shouldn't be comparing 1 unit of any currency directly to any other for purposes of Linden buying power because all you need to do is look at the largest valued currency on the market. Today, excluding metals, it's probably the Kuwait Dinar (KWD) which is currently pegged at 1.8 GBP or 3.4 USD
But given the same value in currency the one with the most buying power is the US dollar. That's because it's the only one that does not incur foreign exchange charges. Purchasing Power of a Currency Unit is the only thing that is important in cross currency trade. Use the BigMac Index...  |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-10-2006 08:36
I guess using the BigMac index doesn't work well in SL, since you can't find anybody selling Big Macs...Hmmm, what can be purchased in SL and RL? That would be the only way to know for certain the Linden Dollar's True Purchasing Power. Lucky for us, Linden Labs has started publishing Land Price Data..
August 10th, 2006 11:00a EDT): Today's average: L$303 (US$3.30)
The Cost of 1/Acre of Land in:
-----------------------------------
Second Life: L$24,821.76/Acre
Real Life (USA): US$2,966/Acre
Purchasing Power Parity: L$24,821.76 / US$2,966 = L$8.36/US$1.00
Current Market: L$303/US$1.00
These numbers would appear to conclude the the Linden Dollar is grossly undervalued. But I'd side on the call that Land in SL and Land in RL aren't interchangeable. Thus giving us skewed results in trying to calculate the true purchasing power of the Linden Dollar.
So the call goes out for some unit to measure PPP against.
* US Acre Price Source: Department of Agriculture's National Agricultural Statistics Service
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Lee Dimsum
Registered User
Join date: 22 Feb 2006
Posts: 118
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08-10-2006 10:07
From: ReserveBank Division I guess using the BigMac index doesn't work well in SL, since you can't find anybody selling Big Macs...Hmmm, what can be purchased in SL and RL? That would be the only way to know for certain the Linden Dollar's True Purchasing Power. Lucky for us, Linden Labs has started publishing Land Price Data..
August 10th, 2006 11:00a EDT): Today's average: L$303 (US$3.30)
The Cost of 1/Acre of Land in:
-----------------------------------
Second Life: L$24,821.76/Acre
Real Life (USA): US$2,966/Acre
Purchasing Power Parity: L$24,821.76 / US$2,966 = L$8.36/US$1.00
Current Market: L$303/US$1.00
These numbers would appear to conclude the the Linden Dollar is grossly undervalued. But I'd side on the call that Land in SL and Land in RL aren't interchangeable. Thus giving us skewed results in trying to calculate the true purchasing power of the Linden Dollar.
So the call goes out for some unit to measure PPP against.
* US Acre Price Source: Department of Agriculture's National Agricultural Statistics Service A better way would be to compare the average dedicated server monthly costs in the US and the monthly sim tier in Second Life. However, LL needs to point out what hardware are they running. |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-10-2006 10:13
From: Lee Dimsum
However, LL needs to point out what hardware are they running.
I was thinking about Server/Sim comparison costs. But yeah, we'd need to know the price paid for the servers. Or at least know the components to guesstimate the cost. Then we could figure out the PPP of the Linden Dollar. |
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eltee Statosky
Luskie
Join date: 23 Sep 2003
Posts: 1,258
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the real answer...
08-10-2006 10:20
is that us dollars by far buy the most linden since any other currency will always have to be exchanged for a loss in order to buy l$...
aka the bank doing the foreign currency exchange will skim some cost inbetween your native currency's value and the L$ value in the US$ transaction.
I.e. if the value of currency x was 1X = $2... a bank will most likely exchange you one way at $1.95, and the other at $2.05, therefore your purchases of L$ will always be less profitable than if you were using us dollars directly
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wash, rinse, repeat
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Thraxis Epsilon
Registered User
Join date: 31 Aug 2005
Posts: 211
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08-10-2006 11:16
From: someone
One Japanese Yen Buys: L$.24/Linden Dollars
That is wrong. The current Exchange rate is 115.467 Yen to the dollar. so L$306 / 115.467 = $2.65. So the one Yen will buy L$2.65 Lindens |
