Faking offers for manipulating the prices

[Analytical]

It’s clearly inflation, no one is trying to “get you” or “trick you” into buying their item “over priced”. How do I know it’s inflation?
192 BILLION GOLD has been generated in the first week of Pirate booty event, remember this event was 2 WEEKS LONG. That’s over 350 billion Newley added gold into the system, which is what again? That’s right inflation.

CINCO the CEO of AL even stated:

“Nearly half a trillion gold has been created you may see some ECONOMICAL IMPACT”

I’m baffled that how people come up with these assumptions of “hoarding”, “Price Manipulation” when clearly it’s not either in this situation, to top it all off we had that ‘House Party Crasher’ event too right after the ‘Pirate Booty’ event. Which probably added another 25+ billion gold into the game as-well.


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Take the above with a grain of salt for whoever reading the above comment, as well as what I'm about to embark on.
(Note: If you are lazy to read something that took me quite some time and effort to put into picture, feel free to ignore but don't expect me to reply to your salty comments about how long this is)

Like that u cited what the dev said to strengthen your views on the recent price rise being caused SOLELY by inflation. That's what I took away from your comment. Feel free to correct me if I misunderstood it. That said, I don't see an attempt to explain HOW exactly adding billions of gold caused inflation, maybe your intention is to reiterate what has already been said by the dev which for some reasons I felt is somehow a bit redundant although extremely resourceful.

Personally, I'm just a normal guy, and I believe a vast majority of us may not have a sound economical background let alone a PhD in Economy. Fancy economical terms like "inflation" to a lay man like me, just seems too mumbo jumbo that it does not provide me with a constructive understanding. Checking Dictionary did help a little, but still it doesn't explain the MECHANISM of AL "inflation". At best, using the word itself only put the blame of the price rise to a mumbo jumbo word and expecting people to just accept it as a valid reason to shut their mouths from asking any further questions.

To start with, "Inflation" simply means the "value of money has dropped" because its getting abundant. Money has supply and demand too, when it has little to no value, people do not hold their money and prefer holding items like gold bars instead (in game these are the expensive vanities). So demand for items will rise, hence causing the rise in price.

Now, question is, to what extent does the value of money (Gold coins) drop? Or in another words to what extent does "inflation" causes price of items to rise?

It depends on two things.
1. Supply of money (Pirate booty, Blotoo party event, plat players buying gold etc)
2. Demand for money (Gold coins needed to buy awake gems in store to awake gears, expansion needing gold to buy new gears)

I'm wondering why the dev didn't disclose how much gold was SINKED/items being Liquidated during awake events as well as during expansion (or they actually did?) but so happily revealed the amount of gold ADDED to the game when people were asking why was the pirate booty event not as profitable as expected. What's the intention behind this? I will leave it to you.

Without both info, we can't be sure if the recent rise in price of some items is indeed caused by the ADDING of gold (supply of gold) AND/OR the lack of gold SINKED (demand for gold).

If the supply of gold > demand for gold:
"Inflation" happens, value of money falls, people keep items(hoarding whether in large or in small quantities) instead of gold, quickly causing a shortage of supply of items

If the supply of gold < demand of gold:
"Deflation" happens, value of money rises, people want money more than items, hence they sell the items they have causing prices to fall.

At the moment, it seems the AL community is still speculating what actually happened at this point with all sorts of possible factors causing the price rise of certain items not just limited to explanations/assumptions like "inflation" but also with "hoarding", "price manipulations", "faking offers" or even the combined effect of all the mentioned factors. And its funny to me how some of these responses in this thread are being so subjective and pointing fingers at one another, arguing who's right and who's wrong.

Finally, I will leave you all with these to think about.

Does items rise in price solely because of one of the following OR all of the following OR something else?
1. Inflation? (Too much Supply of money)
2. Lack of Deflation? (Lack of Gold Sink)
3. Hoarders? (Fake supply in the market)
4. Price manipulators? (Setting a personal price hoping that the market price will rise up to it, usually by tricking ignorant players that that's the normal price)
5. Offers fakers in forums/game? (A bit controversial, as its hard and time consuming to tell which offer is real and which offer is not real, other than testing the validity of those offers by yourself)