RuneScape Forum Archive | What would G.E tax do to rares

Jun

2020

Chewin Gum2

Posts: 478 Silver Posts by user Forum Profile RuneMetrics Profile

I support the idea of introducing a sales tax on items traded.

A too big amount of money is chasing too few goods in RS3 since a few shards dupes happened. It would help close the gap between low priced and high valued items and make all items more affordable for the average player. Low priced items that are close to their alch prices won't get impacted too much, but especially items that display the real devaluation of coins in RS3 such as rares.

A similar model is already used in the bonds market on GE. to make a bond trade able again 10% of the med price needs to be paid (if Im informed correctly..) It works well but is not sufficient to counter the too high amount of money in the game, it also only affects players who buy bonds - often those who don't have a large amount of money/gp anyways.
The player who flips the bond pays the 10%, but usually he gets them paid by those purchasing the item more quickly, that are usually non merchants or players with less gp... This uneven taxation of bond flips problem wouldn't be the issue if every item gets taxed by say 2% per transaction because of its overall effect on all prices - less gp makes ALL other high valued items cheaper..
Summing up the effect on prices will be positive for the average player.

07-Nov-2021 21:08:48 - Last edited on 07-Nov-2021 21:19:30 by Chewin Gum2

Mar

2014

ELITE STACK

Posts: 8,082 Rune Posts by user Forum Profile RuneMetrics Profile

Chewin Gum2 said :
I support the idea of introducing a sales tax on items traded.

A too big amount of money is chasing too few goods in RS3 since a few shards dupes happened. It would help close the gap between low priced and high valued items and make all items more affordable for the average player. Low priced items that are close to their alch prices won't get impacted too much, but especially items that display the real devaluation of coins in RS3 such as rares.

A similar model is already used in the bonds market on GE. to make a bond trade able again 10% of the med price needs to be paid (if Im informed correctly..) It works well but is not sufficient to counter the too high amount of money in the game, it also only affects players who buy bonds - often those who don't have a large amount of money/gp anyways.
The player who flips the bond pays the 10%, but usually he gets them paid by those purchasing the item more quickly, that are usually non merchants or players with less gp... This uneven taxation of bond flips problem wouldn't be the issue if every item gets taxed by say 2% per transaction because of its overall effect on all prices - less gp makes ALL other high valued items cheaper..
Summing up the effect on prices will be positive for the average player.

I like the idea of ge tax too but in order for it to work max cash needs to be raised first. Alot of items are trading above max cash right now and it's not only rares. I need my blue charms back.

07-Nov-2021 21:49:33

Dec

2023

Hats Man

Posts: 112 Iron Posts by user Forum Profile RuneMetrics Profile

G.E. tax would not effect rares at all since most are traded outside the G.E. Even if they raised max cash or made it so you could use shards it wouldn't effect much since if they did a 2% tax, then flipping a gween off the g.e. would still be a 50m flip. G.E. tax doesn't make flipping/merching unprofitable either, it just makes the the spread between the bid/ask bigger. If max cash was raised and tax was implemented heres what would happen. Lets say gween bid is 2450, so 2% tax would mean 50m flip just to break even(2500m) then ask would be at minimum 2500m+ for a mercher to profit. They're going to flip for profit so they sell for 2525m for example. Then street flippers come in and not instant buy them for 2451m and then sell them for 2515m. Avoid taxes and still profit 65m cash. If the goal is to lower the cost of rares, then release NEW rares so that the ultra rich sell some of their rares to buy the new ones, while also giving everyone, including the poor, a fair and equal chance to get these new rares(through gameplay like some previously released newer rares and not treasure hunter or some farmable through alts method).

08-Nov-2021 00:40:47

Aug

2012

le me

Posts: 11,569 Opal Posts by user Forum Profile RuneMetrics Profile

They know how much gp enters the day every day and how much gold is traded in ge every day so they know the % of tax they gotta apply to stop inflation
Stopping inflation would mean a lot of people would have no reason to keep rares and move to (a possible future) different, more liquid currency.
Guess what would happen then...

This is all speculation though, rs3 team isn't as transparent as oldschool's so i guess we are all going to have to wait and see

10-Nov-2021 18:22:08 - Last edited on 10-Nov-2021 18:23:08 by le me

Sep

2007

Yo Blue

Posts: 6,443 Rune Posts by user Forum Profile RuneMetrics Profile

Raphtalia6 said :
rares arent traded in the ge so its rather simple. nothing changes. the 2% is only for ge trades and rares arent traded in the ge anymore.

I know most people don't have a PhD in economics so ill simplify it a bit for you to understand. If the total supply of cash is removed by any % every item bought using that supply of cash will change by the same %(with all things equal). People are buying rares with shards bought with gp. No one buys rares with a large feather supply. Even tho they are not traded in the ge the % of gold taken out of the game is the same gold used to buy rares.

Now with all things equal and no money coming into the game or leaving rares would still rise do to supply and demand. All non discontinued items will always drop and discontinued can only rise. Look at any market with discontinued items ( baseball cards / pokemon cards/ coins) in the world and you will see that. Only thing that would be change is the rate at how fast the price goes up.

This is all assuming we are talking about a small 2%. Obviously if you had a huge negative amount of gold leaving the game every day the price would have to drop. You would need the % higher than the amount they increase every year.

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11-Nov-2021 01:11:08 - Last edited on 11-Nov-2021 01:39:50 by Yo Blue

Profz

Posts: 138 Iron Posts by user Forum Profile RuneMetrics Profile

Yo Blue said :
Now with all things equal and no money coming into the game or leaving rares would still rise do to supply and demand. All non discontinued items will always drop and discontinued can only rise. Look at any market with discontinued items ( baseball cards / pokemon cards/ coins) in the world and you will see that. Only thing that would be change is the rate at how fast the price goes up.

We don't even have to look outside of the game, there actually was deflation in the rs economy. I'm not sure when it started but it lasted up until 2018/19 or so.
During that time rares would still rise in price which is to be expected as you said, all other high value items with a supply would decrease in price.
When inflation hit and pvm gear started rising the rares reacted accordingly, the price now rose with the inflation and the general trend.

11-Nov-2021 09:12:48 - Last edited on 11-Nov-2021 09:39:21 by Profz

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What would G.E tax do to rares