Post
Topic
Board Economics
Re: demurrage instead of fees
by
dannyjpw
on 24/02/2011, 23:16:56 UTC
You need to distinguish between momentary profits, due to speculation, or sustained profits.

If sustained profits are on offer, more and more profit seekers enter.

In the latter case, profits will be driven to zero by competition, and then below zero.

Then some people get out, with losses.

Profits go up, people get back in.

What then is the average profit of the average player?