Some months ago there was a big economy thread. Phoenix-Mythic responded to my complaint about the pricing scheme for saltpeter. He calls it a "Commodity Trader" algorithm. Here is What he said:
"Saltpeter's price floats using a "commodity trader" algorithm. As players purchase it from the NPC, the NPC raises its price, simulating scarcity. As players sell back to the NPC, it lowers its price, simulating glut. Thus, the price of the item is determined by actual supply and demand."
This has been a disaster on many levels -not just for saltpeter. I am sorry, but this algorithm has simulated nothing but scarcity. No one in his right mind would go out and sell mined saltpeter to the NPC knowing that it lowers the selling price. -not to mention they would have to shag out there on a boat to sell it.
If I were in the business of selling saltpeter, which I am (Heavy Powder), I want to see that NPC price go as high as possible. I have zero incentive to sell it to the NPC.
I disagree that the pricing scheme (not much of an algorithm if you ask me) for the NPC is a disaster.
The simple idea here was at some point it becomes economical to sell to the NPC.
Take saltpeter...you can go out and mine a couple thousand in an hour with a good luck suit.
When demand was high, the NPC's on Atlantic were buying it for 450 (and selling it for 600 gold themselves).
Thats about 1 million an hour.
As long as equal amounts were being bought as being sold the price remained pretty much the same.
AKA Supply = Demand.
I made a mint selling to the NPC's and avoided vendoring it, thus avoiding vendor fees and stocking and all the associated things with a vendor. Just quick cold hard cash (if you can call gold pixel dust cash, lol)
And the price stayed about stable for a long time because people were buying lots of saltpeter.
Well when everyone got over the High Seas, and interest and demand plummeted, I kept selling and so did others.
Since Supply > Demand price dropped.
Thats why now on Atlantic NPC buy saltpeter at about 190 gold and sell about 250.
This is how it should be.
I don't usually sell to NPC anymore because I think it isn't worth my time.
At some time in the products life cycle, it becomes worthwhile to gather and sell these items to NPC.
Then because the price drops, because the demand dropped, the price lowers.
I actually think it was quite ingenious.
It gives interesting economic opportunities.
For another example...Luna has higher NPC prices on most everything following this price scheme because it is the most traveled and people tend to be lazy and buy there.
Thus the supply of crossbow bolts has a high demand there and the price constantly reaches 40 gold for a bolt on Atlantic at the Luna provisioner and Luna bowyer.
So a player sees and economic opportunity and buys, collects, farms, otherwise obtains 20k worth of bolts.
He sells them off (200 at a time for say a half hour or more of just selling) and walks with about 600k worth of gold.
He then waits another month or two, while players buy up bolts raising the price, until the time is ripe to sell again.