Economics: Difference between revisions

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* T1 BPOs (similar to skillbooks)

* Datacores (used for T2 and T3 research; obtained in a time-limited way from R&D agents/missions) but also available through relic and data sites (exploration)

* ~~'''~~Meta-0 through Meta-4 modules (loot from missions).~~'''~~

* Meta-1 through Meta-4 modules (loot from missions).

* Officer/deadspace modules (loot from missions).

Faction items (Caldari Navy Raven, etc.) are a mix of player and NPC production -- some items can be purchased through LP stores as blueprint copy.

''Note that the only things that are exclusively player-manufactured are ship hulls, and ~~meta~~ 0, T2 and T3 modules.''

''Note that the only things that are exclusively player-manufactured are ship hulls, and Meta-0, T2 and T3 modules.''

Note that the supply of some items on the list is generally constrained by two factors: (a) how many missions are run, and (b) how often the item is provided as mission loot. More missions run leads to more stuff available for sale, without any manufacture being performed. Skillbooks and blueprints appear to be sold in a manner that maintains price stability and high availability, which is relatively simple because these are monopoly items (with zero possibility to manufacture the items).

====NPC Production, or mining a better iPod====

The wide availability of meta-0 through meta-4 modules is viewed by many as a major economic problem in EvE, since any of these are equivalent or superior substitutes to T1 manufacture, which produces meta-0 items. Indeed, many meta-4 modules are superior to the T2 variants of the same item. Since lots of people run missions and sell the loot, the inferior manufactured T1 item price plummets. Eventually, it's more profitable to reprocess the item into its component parts -- which means missioning is now a substitute for mining.

The wide availability of meta-1 through meta-4 modules is viewed by many as a major economic problem in EvE, since any of these are equivalent or superior substitutes to T1 manufacture, which produces meta-0 items. Indeed, many meta-4 modules are superior to the T2 variants of the same item. Since lots of people run missions and sell the loot, the inferior manufactured T1 item price plummets. Eventually, it's more profitable to reprocess the item into its component parts -- which means missioning is now a substitute for mining. This has been corrected in Tiericide balance patches, so it's 2019 not such a big problem as it was in 2015 and before.

'''By analogy, imagine you could manufacture an 8GB iPod, but everyone in your city could dig in a city park and mine an iPod, up to 20GB, in a few minutes. Manufacturing iPods might become totally impractical -- and people might start breaking iPods down to get plastic and batteries.'''

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====Market Manipulation -- If you can't find the sucker at the poker table...====

Eve's markets are fragmented and small (with the possible exception of Jita). This means that there can be considerable spread between buy and sell orders, and that a small number of orders may move the market in a big way. Even in Jita, it's not uncommon to see that prices of certain high-value items move over time in a wave-like manner. What's happening is that someone is driving the market -- buying out low-priced items and reselling the items at a higher price. Eventually, they let the price drift back to lower levels, then start buying again. End users of the item, who may only buy once, won't want to wait, or won't notice the pattern.

==Real World Concepts to Know==

@@ Line 15: / Line 15: @@
 * T1 BPOs (similar to skillbooks)
 * Datacores (used for T2 and T3 research; obtained in a time-limited way from R&D agents/missions) but also available through relic and data sites (exploration)
-* '''Meta-0 through Meta-4 modules (loot from missions).'''
+* Meta-1 through Meta-4 modules (loot from missions).
 * Officer/deadspace modules (loot from missions).
 Faction items (Caldari Navy Raven, etc.) are a mix of player and NPC production -- some items can be purchased through LP stores as blueprint copy.
-''Note that the only things that are exclusively player-manufactured are ship hulls, and meta 0, T2 and T3 modules.''
+''Note that the only things that are exclusively player-manufactured are ship hulls, and Meta-0, T2 and T3 modules.''
-Note that the supply of some items on the list is generally constrained by two factors: (a) how many missions are run, and (b) how often the item is provided as mission loot.  More missions run  leads to more stuff available for sale, without any manufacture being performed.  Skillbooks and blueprints appear to be sold in a manner that maintains price stability and high availability, which is relatively simple because these are monopoly items (with zero possibility to manufacture the items).
+Note that the supply of some items on the list is generally constrained by two factors: (a) how many missions are run, and (b) how often the item is provided as mission loot.  More missions run leads to more stuff available for sale, without any manufacture being performed. Skillbooks and blueprints appear to be sold in a manner that maintains price stability and high availability, which is relatively simple because these are monopoly items (with zero possibility to manufacture the items).
 ====NPC Production, or mining a better iPod====
-The wide availability of meta-0 through meta-4 modules is viewed by many as a major economic problem in EvE, since any of these are equivalent or superior substitutes to T1 manufacture, which produces meta-0 items.  Indeed, many meta-4 modules are superior to the T2 variants of the same item.  Since lots of people run missions and sell the loot, the inferior manufactured T1 item price plummets.  Eventually, it's more profitable to reprocess the item into its component parts -- which means missioning is now a substitute for mining.
+The wide availability of meta-1 through meta-4 modules is viewed by many as a major economic problem in EvE, since any of these are equivalent or superior substitutes to T1 manufacture, which produces meta-0 items.  Indeed, many meta-4 modules are superior to the T2 variants of the same item.  Since lots of people run missions and sell the loot, the inferior manufactured T1 item price plummets.  Eventually, it's more profitable to reprocess the item into its component parts -- which means missioning is now a substitute for mining. This has been corrected in Tiericide balance patches, so it's 2019 not such a big problem as it was in 2015 and before.
 '''By analogy, imagine you could manufacture an 8GB iPod, but everyone in your city could dig in a city park and mine an iPod, up to 20GB, in a few minutes.  Manufacturing iPods might become totally impractical -- and people might start breaking iPods down to get plastic and batteries.'''
@@ Line 48: / Line 48: @@
 ====Market Manipulation -- If you can't find the sucker at the poker table...====
-Eve's markets are fragmented and small (with the possible exception of Jita).  This means that there can be considerable spread between buy and sell orders, and that a small number of orders may move the market in a big way.  Even in Jita, it's not uncommon to see that prices of certain high-value items move over time in a wave-like manner.  What's happening is that someone is driving the market -- buying out low-priced items and reselling the items at a higher price.  Eventually, they let the price drift back to lower levels, then start buying again.  End users of the item, who may only buy once, won't want to wait, or won't notice the pattern.
+Eve's markets are fragmented and small (with the possible exception of Jita). This means that there can be considerable spread between buy and sell orders, and that a small number of orders may move the market in a big way.  Even in Jita, it's not uncommon to see that prices of certain high-value items move over time in a wave-like manner. What's happening is that someone is driving the market -- buying out low-priced items and reselling the items at a higher price. Eventually, they let the price drift back to lower levels, then start buying again. End users of the item, who may only buy once, won't want to wait, or won't notice the pattern.
 ==Real World Concepts to Know==