oozinator
Well-Known Member
I just realized that credits can still have a worth, but its worth will be based solely on time.
Because credits are earned at a steady rate (80 cr/day), they can be used as a exchange medium for time-expensive goods.
Let's say it took me half a day to get 4 enchanted diamond picks.
To make a profit worth my time, I should sell each pick for more than 10 credits.
This system basically makes credits a fiat currency.
I do realize the problems of this scheme, however.
First, for this to work, enough traders/storekeepers/businesspeople have to accept credits. If only two people are willing to trade via credits, it's gonna flop. There's no point of amassing credits if you can't find a seller who would accept them.
Second, the best conditions for this credit system to take root are highly active ones, where a lot of stuff has to get done in a short amount of time. I've seen many big projects stagnate because the momentum was lost, so for my current crater project, I'm trying to get as much ground cleared as quickly as possible. In fact, I will happily pay credits for diamond pickaxes. Ambitious building projects like mine would stimulate the credit economy.
On the other hand, if a town chooses to grow slowly, they'll most likely save their credits for a rainy day, which takes credits out of circulation and diminishes the time-saving value of the credit. The spin to this is that a slow-growing town might be willing to purchase a particular product for a very high price. However, in my opinion, a healthy, lively economy is built on many steady, small transactions, rather than a few big dumps every now and then.
Despite all these challenges, we shouldn't disregard credits altogether. A credit system does have one primary advantage over trading: a currency standard.
The down side of trading is that different traders want different goods, so it's very rare for both parties to have what the other desires. With credits though, there's no need to worry about having an item in stock if you're the one initiating the transaction.
Because credits are earned at a steady rate (80 cr/day), they can be used as a exchange medium for time-expensive goods.
Let's say it took me half a day to get 4 enchanted diamond picks.
To make a profit worth my time, I should sell each pick for more than 10 credits.
This system basically makes credits a fiat currency.
I do realize the problems of this scheme, however.
First, for this to work, enough traders/storekeepers/businesspeople have to accept credits. If only two people are willing to trade via credits, it's gonna flop. There's no point of amassing credits if you can't find a seller who would accept them.
Second, the best conditions for this credit system to take root are highly active ones, where a lot of stuff has to get done in a short amount of time. I've seen many big projects stagnate because the momentum was lost, so for my current crater project, I'm trying to get as much ground cleared as quickly as possible. In fact, I will happily pay credits for diamond pickaxes. Ambitious building projects like mine would stimulate the credit economy.
On the other hand, if a town chooses to grow slowly, they'll most likely save their credits for a rainy day, which takes credits out of circulation and diminishes the time-saving value of the credit. The spin to this is that a slow-growing town might be willing to purchase a particular product for a very high price. However, in my opinion, a healthy, lively economy is built on many steady, small transactions, rather than a few big dumps every now and then.
Despite all these challenges, we shouldn't disregard credits altogether. A credit system does have one primary advantage over trading: a currency standard.
The down side of trading is that different traders want different goods, so it's very rare for both parties to have what the other desires. With credits though, there's no need to worry about having an item in stock if you're the one initiating the transaction.
