T
Tom Willard (White Giant)
15 Feb 2009 23:12
Link
Cash levels in all worlds are decreasing. More players are exchanging their cash into gold coins and the excessive cash levels diminish.
The cost of financial services is diminishing too and is currently insignificant. As cash levels are reduced even a higher percentage of financial services, is having a very limited effect because most countries have exchanged their cash into gold coins.
There are very few countries in each world paying for financial services. These countries belong to some of the richest players who for some reason, want to keep their cash and not exchange for gold coins.
We assume that they know that one day exchange rates will fall and hope that their cash will be more valuable. This may happen but the cost of financial services may be higher than the exchange rate profit. Exchange rates will not fall for now and may be increased short term. They will only decrease when cash levels have landed to acceptable levels.
The cash levels will continue to fall and financial services percentages will remain or increase, to convince everyone that there is no future in huge cash reserves.
Someone complained recently about the price of a Jeep. It was 4-5 millions! True, this is outrageous. What he forgot to mention, is that many countries buying Jeeps, have 15T in cash.
He compared of course to the price of a military Jeep in the real world. Well, how many countries in the real world do you know who have even 1T in cash? Let alone 15 or 20T.
The price of Jeeps should go down and the cash levels too.
Thousands of gold coins have been given in the past weeks to presidents and CEOs for their cash and more is underway. The number of available gold coins is high and they will of course be able to exchange gold coins into cash whenever they need it. This also happens a lot. We see many transactions on the cash market, both in and out of gold coins.
The fact that cash is exchanged into gold coins is meaningless in terms of cash availability as everyone can exchange back into game money whenever they want to and need cash in the game.
The need for cash, long term, is reduced
In recent months, both the cost for countries and their income decreased. The need for cash in corporations decreased because raw materials are cheaper and the stock of raw materials they hold costs less than before.
The cost however, depends on many parameters. Much of the cost of governments depends on the cost of materials and salaries. Materials cost fluctuates on the market. It can increase temporarily and then decrease again. The long term trend is down.
The cost of the army depends mainly on the cost of ammunition and ammunition price is high.
One of the reasons for the high price of ammunition is that some countries and some large CEOs who have a huge amount of cash, are buying everything on the market and store it. They do this to manipulate the market which is part of the game and they also do so to keep high cash levels, believing that they will be able to sell later and their cash will be more valuable in the future.
This is another reason to reduce cash levels. It is unfair, if a couple of players with very large amounts of cash are able to increase the cost of war for all players in all worlds.
Our recent announcements of weapons quality and the possibility that quality will be reduced in time for ammunition and weapons that are stored for a long time, was immediately followed by some significant sales of weapons and ammunition in 3 of the 5 worlds.
This may be a coincidence and maybe it is not. We just see larger numbers of ammunitions and weapons appearing on the market. This has happened several times before, mainly when the new war engine appeared to require smaller numbers of weapons. Many countries and enterprises dumped many weapons and ammunition on the market.
We are planning some tuning of the weapon industry that may increase production and reduce cost per unit. The corporations that produce these items will have a little more product but at the same total price as before and their profitability will remain unchanged.
We hope that mainly ammunition cost will decline. If it does, the cost of the army and the cost of war will decline too. There was some progress recently but the cost should decline more.
The cost of financial services is diminishing too and is currently insignificant. As cash levels are reduced even a higher percentage of financial services, is having a very limited effect because most countries have exchanged their cash into gold coins.
There are very few countries in each world paying for financial services. These countries belong to some of the richest players who for some reason, want to keep their cash and not exchange for gold coins.
We assume that they know that one day exchange rates will fall and hope that their cash will be more valuable. This may happen but the cost of financial services may be higher than the exchange rate profit. Exchange rates will not fall for now and may be increased short term. They will only decrease when cash levels have landed to acceptable levels.
The cash levels will continue to fall and financial services percentages will remain or increase, to convince everyone that there is no future in huge cash reserves.
Someone complained recently about the price of a Jeep. It was 4-5 millions! True, this is outrageous. What he forgot to mention, is that many countries buying Jeeps, have 15T in cash.
He compared of course to the price of a military Jeep in the real world. Well, how many countries in the real world do you know who have even 1T in cash? Let alone 15 or 20T.
The price of Jeeps should go down and the cash levels too.
Thousands of gold coins have been given in the past weeks to presidents and CEOs for their cash and more is underway. The number of available gold coins is high and they will of course be able to exchange gold coins into cash whenever they need it. This also happens a lot. We see many transactions on the cash market, both in and out of gold coins.
The fact that cash is exchanged into gold coins is meaningless in terms of cash availability as everyone can exchange back into game money whenever they want to and need cash in the game.
The need for cash, long term, is reduced
In recent months, both the cost for countries and their income decreased. The need for cash in corporations decreased because raw materials are cheaper and the stock of raw materials they hold costs less than before.
The cost however, depends on many parameters. Much of the cost of governments depends on the cost of materials and salaries. Materials cost fluctuates on the market. It can increase temporarily and then decrease again. The long term trend is down.
The cost of the army depends mainly on the cost of ammunition and ammunition price is high.
One of the reasons for the high price of ammunition is that some countries and some large CEOs who have a huge amount of cash, are buying everything on the market and store it. They do this to manipulate the market which is part of the game and they also do so to keep high cash levels, believing that they will be able to sell later and their cash will be more valuable in the future.
This is another reason to reduce cash levels. It is unfair, if a couple of players with very large amounts of cash are able to increase the cost of war for all players in all worlds.
Our recent announcements of weapons quality and the possibility that quality will be reduced in time for ammunition and weapons that are stored for a long time, was immediately followed by some significant sales of weapons and ammunition in 3 of the 5 worlds.
This may be a coincidence and maybe it is not. We just see larger numbers of ammunitions and weapons appearing on the market. This has happened several times before, mainly when the new war engine appeared to require smaller numbers of weapons. Many countries and enterprises dumped many weapons and ammunition on the market.
We are planning some tuning of the weapon industry that may increase production and reduce cost per unit. The corporations that produce these items will have a little more product but at the same total price as before and their profitability will remain unchanged.
We hope that mainly ammunition cost will decline. If it does, the cost of the army and the cost of war will decline too. There was some progress recently but the cost should decline more.