L$ Deficit Hits L$504,000,000 Annualized!

Glad to have that extra too, last ngiht. Inventory server had a burp. Its odd how I miss my glasses that ran under 200 more than a hud that ran 1600, eh?

Thank you again Mad Wombat if you read this. You give customer service on SL a good name.

You are very welcome, Mr. Pieterson.

Try to look into the minds of people who feed US$ into the economy. Any change shouldnt make it harder for them to give you and SL their money:

I prefer automatically receiving my money from my (multiple) premium accounts rather than from Lindex.
Reasons:
1. Each seperate time I buy money there is always a psychological block to overcome.
2. Lindex is a pain to use.

In fact if the option was available to set up even more yearly buying of Lindens similar to premium accounts, I would take it

So rather than cancelling stipends, it would be better for lindenlabs to buy their stipends off lindex or use another sink. As forcing me to do it each time I want money will result in less of my US$ being fed to them and you the content providers.

You socialists just don't get it. As a capitalist, I don't throw away ANY free money. I gets my monies worth!!! Yeah its a problem, but I'm not going to reduce the amount of free money I receive any more than I'm going to volunteer to serve in Iraq.

Damn!

Its still funny how the Op thinks of premium stipends as 'free money' when its paid for. And is quite the opposite in her business practices. (Didn't say it!)

It might be risky to you, but to somebody else, it is an acceptable risk.
Not to mention the age old fact that risk takers grow the economy.
Not cautious people who fear risk.

If you "paid" for Linden Dollars as a Premium Member, then
Linden Labs would be taking a portion of your US$72 and buying
the L$500 every week off the LindenX. That is what "Paying For" means.

Instead, Linden Labs charges you US$72/yr for the privilege of printing
L$500 to give you every week. This isn't "Paying For" Linden Dollars.
Its called buying a membership into a club that receives free bank notes
from the Treasury.

Your problem is with Linden Labs and not the Premium members that directly Support Second Life over those that use it to make money. If it was not for premium members there would be no second life.

I see the problem between those that provide real monetary support the premium members and those who want a free ride the basic members. I would agree to lose my stipend if basic members would not be allowed to make things and have a limited inventory. I think that all long term members should pay for the privilege. Also the ability to make an account should be limited. I think the amount of real users is closer to 20k than 200k.
To state my position in full in exchange for removing the stipends, Basic Members will be limited to a 30 day trial, not being able to make content or pay a fee to make content and have a limited inventory content. There will be a limit of 30 days and an account must be verified with a positive ID before becoming active. This will help ensure the fiscal help of both Linden Labs and the Linden dollar. Everyone needs to pay their fair share to play.

Don't look now, but the L$ continues to set new lows.... now trading @ 315 / 1 usd.

We'll keep diving, captain!!!

This is one of the dumbest threads I've seen yet. It is, in many ways, the same argument as most of the other dumb inflation threads, but more directly.

First, the money supply won't just increase by 76%. It'll increase by a lot more than that! As the number of accounts increases from 200,000 to 400,000, even to 1,000,000 there will be many more stipends and the money supply will grow even faster than you've predicted.

Second, an increase of 76% in the money supply is *tiny*. It's not *huge*! The population is likely to at least quadruple in the next twelve months. If the money supply doesn't also quadruple, all your assumptions are completely backwards.

There are things I choose to use a collateral, and things that I don't.

It's also the risk takers that create artificial bubbles that then pop and cause market crashes. Of course... that's 'risk'. Not bad, not good, just calculated odds.

Am I to conclude by this rather "non-answer" of yours that you've given up trying to show how a growing surplus of L$ is actually BAD for SecondLife?

Jamie? I haven't seen you attempt to explain the problem either.

All I've seen from either of you... is: "ooo, numbers bad!"

Think it through... and show me the awful conclusion to this stage play.

Can't be that hard, can it?

Where do these EconWannaBes get off thinking that growth of
the money supply should be tied directly to the growth in population?

When the Central Bank decides to increase the money supply, it is
a direct result of GDP growth. So even if a million people sign up for
accounts, the money supply should not grow until those million new
people start adding to the GDP of Second Life.

Does this make sense folks? If you increase the money supply and the
GDP remains flat, you've just printed your currency into the toilet.
Whereas, if the GDP of SL began growing as a direct result of population
growth, then the Central Bank needs to expand the money supply to
prevent Deflation (aka: Too Few Dollars Chasing Too Many Goods)
and prevent the economic growth from being impacted by not enough
dollars in circulation.

But Linden Labs and there Econ Guru just don't seem to get it.
They grow the money supply because the population is growing,
yet the growing population isn't producing anything in terms of
growing the economy. As such, the money supply is pouring in
and sending the value of the currency into the crapper.

ONCE AGAIN

I pay Linden Labs.

Linden Labs gives me land usage and 500L a week.

PAID FOR for anyone who passed first grade.

Don't bether replying either..because until you can prove I said the rate would improve for sellers, then this is our last communication, period.

Why are there so many 'f'ing morons?

I pay Linden Labs for my Lindens and do not see the difference between this and the Lindex. So Linden Labs just creates these Lindens, well it is not my problem.

I am starting to see the real problem, There are the Premium members who directly support the host of Second life and the Basic Members that use the system and provide no direct money to Linden Labs.

I understand that you pay for your rental land but not directly. It is your landlord that you pay and not Linden Labs. It is not the same! You are paying more to the landlord than the landlord pays Linden Labs which is good profit but still.

I say that all members should pay something directly to Linden Labs. lets stop the Basic User free ride! We are not consumers but the enablers of Second Life!

What is the world coming to? What are they teaching these
children in school these days? Good Lord... Cause there sure is
a lack of Economic understand when it comes to Inflation, Deflation,
Money Supply, and the laws of Supply and Demand.

As Demand Grows, Supply Shrinks = Increasing Prices
As Supply Grows, Demand Shrinks = Decreasing Prices (ie: Linden Dollar)

I know it hurts for Ranma, Jonas, and Mcgeeb to realize
reality. But everything I'm telling you about the economy
is coming true day after day. The value of L$ continues to
decline and confirm everything I've been saying.





Is that enough proof for you Jonas? Or will you still be sleeping
when the Linden Dollar is L$500?

RBD, I'm not getting anything I can read at this page, is this the graph from

https://secondlife.com/currency/market.php
?

Another meaningless "big numbers are bad" post.

If you can't show how this is going to harm SecondLife, just say so.

--
Jopsy Pendragon
(large font for the seeing-impaired)

I'm still looking for the "Prices of everything will rise!" proof. So far, every place I've kept tabs on, mostly middle-to-small places that would get most affected by this so called inflation... have NOT changed their prices, and many have dropped them. I'm dropping mine, and 8 of my 30 avvies I once sold are now freebies (nontransferable ones that is, though, as I don't want to encourage any freebie resellers).

Maybe they think like Lewis and me? Maybe the currency should be treated just like the play money it is??

Just fix the rate to a solid unchanging number and be done with it. Though the forums will be 84% quieter, it'll also be an equal amount happier.

Same here Psyra. RBD still hasn't shown me proof of what he claims I've said..

I've said before that the undercutting is the problem, and simply put, people are complaining about the open market system. Take it away..

And just how would you "Fix The Rate"??? Would you backup
every Linden Dollar Sold with a US Dollar to hold the line at
a specific price?

Would you recode LindenX to force sellers to accept a fixed rate?
What would you do when they reject it and begin selling Linden
dollars on SLEXchange or eBay? Or maybe GOM returns to fill the
gap..

You "Cannot" fix the rate without having a) people trade their linden
dollars else where, or b) putting your money where your mouth is...

Business that rent land out will likely have to raise their rent rates to pay for their tier fees. Merchants need to increase their revenue to generate the same US$ to cover tier fees. They can charge more per widget, or sell more widgets. (If their sales are increasing in proportion to the population increase, this isn't a big deal.)

As for fixing the rate:
If LL could prevent people from selling L$ to each other outside of the Lindex (Which they could try but would be VERY hard to enforce), there's still the problem with having too many sells and not enough buys. The wait time for a L$ sale to clear would get longer daily, particularly with the millions that folks like Anshe offload regularly.

Would you want to wait 2 months for a sale of some L$ to finally occur? Or would you be willing to sell them for a little less to complete the transaction earlier?

Variable is better, even if it continues to slide. Personally, I think the valuation is deliberately sliding. Think about it. You invest in a bank in SecondLife, they rip you off. You appeal to the Lindens for recompense. That's labor intensive support, and costs them money.

What better way to discourage people from making amateur banks and/or trying to manipulate the value of the currency than to make those business models more likely to fail because the huge sums of L$'s they require to operate will devalue a bit every day?

Ya know ive been against dropping the stipend all along, but if it is truely the cause of the L$ dropping due to flooding of worthless L all over SL, id gladly go along with dropping it, if premium accounts were compensated in some way, such as LOWERING tier payments, more land for less CASH USA$ every month, that would in itself turn around a sagging economy, more would buy, and find ways of earning $L to buy it...hmm it mite work, any thoughts on this Reserve?

Damn Jopsy:

You are getting pretty good at stealing my words and claiming them
for your own. Now go on, admit it. RBD was the 1st to say that
people who rent out land will be negatively impacted by the declining
linden dollar and will most likely be the 1st people to raise prices?




Source: /130/a3/106211/7.html#post1040607

And...

Care explain to our studio audience, how a gradual increase in rent is going to bring about a market crash?

No, I guess you can't be bothered with that.

Please, do proceed with your utterly pointless posturing.


--
399 + 1 = .... my 400th post.
My God, the Lindens must do SOMETHING about that immediately!
There'll be a forum crash if post counts keep climbing like this!