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Have you noticed that within the last 6 months or so, weapons in general, particularly greens, have really hit the floor with prices? Kanaxai's Edge was about 100k+, even after Nightfall was released and Factions had been out 6-7 months. Then, suddenly, within about 2 months time, it dropped down to about 15k. And that's just one example. Items in general have gone down so far it's not even funny.
Oh, and by no stretch of the imagination am I a "wealthier" player. I have 76gold in my storage, none on any characters, and pretty much no weapons (besides one Urgoz's Longbow) for collateral.
So, your idea pretty much imploded?
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From the perspective of a total economy, this is not bad, this is good.
Previous, someone had to obtain 100K for the sword. That would have meant either saving for a long time, get lucky or farm. Guess what most people did....
Now, people can obtain the item for about 1/7 of that price.
Meaning people have to farm less gold/ecto to obtain the item. And bringing less gold in the economy lessens inflation and thus is better for the economy.
This is observed on most parts of the economy, where only a few items stayed in the high price range and the rest decreased rappid.
The high price mostly related to a very limited amount of items in the game
You have to consider the following.
The fair price of a green is the time needed to obtain the item themself compared to the amount of gold one could earn elsewere in the same time.
Calculate the relation between demand and supply for the upper and lower bounds, which relates in average time to sell.
The item drops more often, pushing the price to the lower side.
There are fewer people that want the item, they want other greens now, pushing the price down further (since it takes longer to sell at the high price).
People can also farm less gold/hour now, so the fair price had to lower, since the time to obtain the item did not get longer.
It's even the other way, the time to get the item decreased. A lot.
The alliance record for Deep is below 30 minutes atm.
The price of 15K for Kanaxai's Edge is a fair price, considered the 100K+ price was set pre-lootscaling and the time to get the item now.
Don't get me wrong, my Kanaxai's Edge is a drop from the 100K+ period, I just wanted to keep it myself and not sell it to others.
The same is true for a lot of other items I have (I consider myself one of the not-so-poor though not extremely rich) which lowered in price a lot the last half year.
Also consider the economy is not just about me or you.
You and me might be hit, as are most players in my guild.
But a lot of other players did benefit from the change, at least Kanaxai's Edge is now in range for most active players (as Canthan/Elonian green items were supposed to be in my opinion).
Because of lootscaling, the correction on high priced green item prices should be about between 6 and 8, so the current price seems reasonable.
Low green item prices were set by low demand.
The prices on low-req gold items are not so closely related, since they are harder to obtain, specially the uninscribable ones.
It seems loot scaling works as intended