Will Factions hurt, or help the dying economy?

Remember the time, almost a year ago, when you pulled back your first bowstring on those River Scales? Remember when your max damage weapons would sell for 1k+ a piece? Remember traveling to Ascalon and selling your 12 req. clean Fiery Dragon sword for 3k in under 2 minutes? Remember life in Guild Wars before Spamming and cash sinks?

Well, I am pretty sure just about all of you all are just as unhappy with the sad economy of Tyria just under a year after its release as I am. Sure, your +29 health sword upgrade is just 1 health away from about 30k. And sure the only valuable things in to world are green weapons, ectos, and perfect mods. But isn’t the economy just insane?

Will the uber Chaos axes were all looking at buying for ridiculous amounts of cash just end up being worth 3k after the Gothic swords replace them? Or, will the new 'Expansion' relight that magnificent flame that was once our bustling economy? Post your thoughts about the impact of the Guild Wars economy here.

When I joined in August the economy wasn't even as bad as it is now... I find it quite sad that by the time I understood enough about the game to do anything correctly every "leet" player had already set the codes of "i will spam you with leetness and take away everything for myself due to leet" and engraved them in bloodstone ;-). I'm hoping that players who are just getting into guild wars through Factions will not be overpowered by people comming in from Tyria. >.<. I think the economy will tank pretty badly, very quickly, due to the fact that all the people who got themselves nefred in tyria will try to come here, discover the first best farming spot, RED ENGINE GORED ENGINE GORED ENGINE GORED ENGINE GORED ENGINE GO it, and then destroy everything for their own selfish needs. Man. That was a mouthfull.

game economy is very unpredictable and you cannot say how things will turn out, yes the inflow of new items will change the state, maybe for the good maybe for the bad, but you got to realise that Factions is not just an expansion pack but also a stand alone product, so new players will most likely have never heard of a chaos axe.
You got to think about those factors as well was existing factors, how new items, materials interact with the game environment - still not enough info to determine that yet.
The new inflow of items will add variety and will build the market, it will in time replace some of the existing items which will soon become no more than a relic, but relics are still valuable and eventually you may find that your old treasures such as the max gold fellblade with top mods will be worth just as much, if not more as any of the top end items.
a popular trend is that people want the stuff that is uncommon, rare, to make them stand out.
Its all about the player and the players influence the market. We'll have to see when it is finally released.

GW economy is just like any other economy in REAL life world, working on the same principles in this case supply and demand are the most important. This is because when everyone has what they wanted demand falls, thus supply for rare items falls, if however a supply for particular items is low, such as Crystalline swords, then obviously the demand will rise.
Supply rises=demand falls
Supply decreases=demans rises
Look at the new green items, victos axe, and sword use to go for 100k+50 ecto in the first day, when they were over farmed, supply increased thus demand falls and so does the price.

Same thign will happen in Cantha, at first weapons will be expensive, but as more people have them they will go down in vlaue.

Same thing in real world: the new Xbox 360 goes for about $700AUSD, in a year, when almost everyone has one, they will go down in cost because there are less people wanting one...anyone you get the idea.

^^^My thoughts exactly. I myself will be selling all my un used weapons, and once factions comes out, I am going to buy all those good but old weapons for 300 gold. Were just going to have to wait for its release before we know for sure though.

ooo youve refresh some of my business studies education- tis a good thing - really liked that subject

I agree with you, as the latest new products come out, prices will most likely be soring! and very expensive but as new items are discovered these are then substituted, then in competitive demand and act as replacements for another product.

I believe that demand will be related to the amount of money earned by the players and that will be the decisive core in pricing. Tastes will often be volatile leading to a change in demand.

Most of the things we buy normal goods, that is, more is bought when their virtual wealth rises. When an individual's funds goes up, their ability to purchase goods and services increases, and this causes an outward shift in the demand curve. When incomes fall, there will be a decrease in the demand for most goods.

Its not just about the goods that play the role, its about how much money the player is willing to give up for a specific item.
There are many relationships to consider but the initial inflow of new items will follow a traditional relationship of supply vs demand as stated by m1h4il, but another factor will be what item will be the popular flavour? as we've been promised in variety, this may affect the stability of the market, different flavours and different tastes will affect both the initial price and the final price of that item or weapons lifecycle.

Ah, yes, and when you played through the game for the first time and when you got your non-max armor dyed silver and you thought it was uber and you were uber... Ah, I MISS those days. The days when nobody really ran, when everyone did the game the right way and explored everything even if it wasn't needed. Now those were good days.

I played when req 8 fells with 15% above where 2 million or priceless

the only thing I can say is we dont know untell we play and see it for ourselfs.

but i'll be getting factions n playing it cuz guild wars tops my top 3 games of all time

guild wars
diablo
runescape

after that

neverwinter nights, age of empires, midtown madness 2, others.

As is stands GWs economy is dead, saturated market with 'ebay' inflation in the high end.

I hope that the economy simply matures in factions, becomes more of a compliment to the game rather than an addictive substrate for the very bored PvE'r, which is what it has become...

...See farming, a totally pointless PvE based activity which people do cos there's nothing else to be done! Boredom spawned the economy in GWs. PvE in Factions is said to be much tougher = less boredom = more active players who, for once, don't really care if there weapon is 15^50...they are too busy thinking about tactics and trying to stay alive. too busy having fun!

I believe that Faction points will solve that as you can use it like Faction Balthazar to unlock skills.weapon upgrades and runes for your RP char or PvE.This is like Kurzick or Luxon Faction I think Anet knows where they went wrong in prophecies or chapter 1.

I joined in December after they nerfed farming (and aoe spells), and since then, I've earned 1.5mil - 2mil gold completely legit, by farming about 30 minutes per day, and if I'm not having problems with current economy, why should you who played since the beginning?