Economic Misconception

[visa.]

It is a common misconception that Habbo Club furniture will always fall in value because it is always being released. This is not true and I will explain why.

It is common knowledge that the complete rare trading system is based around one type of furniture; the Club Sofa. The Club Sofa is the most popular rare, with more Club Sofas circulating than any other rare. This is because of two reasons. The first is that the Club Sofa is the first Habbo Club gift, meaning anyone who signs up for Habbo Club will recieve the Club Sofa, regardless if they don't extend their subscription. Because of this single factor and the longevity of Habbo Club, the Club Sofa has now eclipsed the top selling catolouge rares as their release was singlular. Second, the Club Sofa is a favourite prize the Habbo Staff like to give out. Although it is not the only prize given out, it is given out more than other rares.

Now that we have established that the Club Sofa is the most popular rare and is always being released in greater qualites than other Habbo Club Rares, we can consider the fact that because of this, the value of all rares in a Club Sofa oriented system should only rise! Why don't they? The aesthetic factor. People trade rares at different rates based on a multitude of influences. People also like the fact that the whole system is based around a Club Sofa, meaning its value will remain constant. Albeit, this still proves that Habbo Club Rares do not fall because they're always being released.

If the rare system was not based around the Club Sofa as it is now due to the multitude of available Club Sofas, the values of all Habbo Club rares would fall compared to the other Catolouge rares. As long as the Club Sofa is the basis of the trading system, this will never occur.

visa

[kxg]

didnt understand a word of it but well done
:eusa_clap

[visa.]

didnt understand a word of it but well done
:eusa_clap
I'm just sick of people who don't know anything about economics and make false statements about trading like they know it all.

[foxyfox00]

Didnt understand it either, I kind get it
One question, if the number of sofas is increasing wont they be worth less because so many people have them?
So due to the fact of them being so common people will want 'rarer' rares?

Meh just my thinking but it isnt the same in r/l as on the net I guess.

[-:Undertaker:-]

Habbo Club Rares will always decrease over the years, HC Sofa will decrease one day.

[visa.]

Habbo Club Rares will always decrease over the years, HC Sofa will decrease one day.
As long as HC Sofas are the basis of the rare trading system their value will only increase.

[-:Undertaker:-]

As long as HC Sofas are the basis of the rare trading system their value will only increase.


Yes, But eventually they will collapse bringing down everything.

[BL!NKEY]

Yes, But eventually they will collapse bringing down everything.

So everyone quick trade all of your rares for holodice and lodge corners :)

[Papershop]

So why is it that the tubmaster mocha dicemaster and all the other catalogue rares are under 1hc

[Shanker]

well, everyone wants HC sofas, They are so popular, and will keep going up and up, like from 60RD to 70RD now. which changes all the other rares aswell.

[BL!NKEY]

well, everyone wants HC sofas, They are so popular, and will keep going up and up, like from 60RD to 70RD now. which changes all the other rares aswell.


wel they are 70 rds if you pay in random iced sofa chairs and lodge book shelfs ect...

If you are trading lodge corners or doormats you trade like 25-30 for a hc

[visa.]

So why is it that the tubmaster mocha dicemaster and all the other catalogue rares are under 1hc
As previously explained, economic rules apply fully only when no outside factors are introduced. These rares have lower values purely because of a low level of desire throughout the hotel for these rares.


Yes, But eventually they will collapse bringing down everything.
HC Sofas will never 'crash' as you put it unless another 'universal rare' is introduced that is able to eclipse the Club Sofa.

[foxyfox00]

I get it know. I agree.
Thats like the dollar, we need it before we have cents. Everything revoleved around the sofa, and everthing has a comarison value.
Well thanks for that info

[-:Undertaker:-]

As previously explained, economic rules apply fully only when no outside factors are introduced. These rares have lower values purely because of a low level of desire throughout the hotel for these rares.


HC Sofas will never 'crash' as you put it unless another 'universal rare' is introduced that is able to eclipse the Club Sofa.




Hc Sofas will collapse.


Sulake Could realese them.
People get sick of them.
They are replaced with a New rare.
There could get to many of them on the Hotel.

[Kardan]

One day they will have to collapse, they'll be as popular as stools and rubber ducks.
So we'll have to replay the HC with a similar value rare, at this time it would be (according to habbox values) any of the screens, pillars, marquees or the yellow ICM.

Yeah, imagine it...

26 ICM'S for your Throne!
But it will happen one day... and anyway it probably won't be the rares mentioned above as the HC is now where near collapsing yet... and those rares will surely rise in value by then unless Habbo rerelease them, which seems doubtful since they're part of the recolour era.

[visa.]

NO, IT WONT.

More Club Sofas being released will only drive the prices of other rares up.

[-:Undertaker:-]

NO, IT WONT.

More Club Sofas being released will only drive the prices of other rares up.




YES, IT WILL.

There will be too many Club Sofas, Therefore they will Decrease in price.

[Hazza]

Well, I think all of you should shut up, lol, cos hc sofas should just stay as they are, then everyone is happy :D

[visa.]

YES, IT WILL.

There will be too many Club Sofas, Therefore they will Decrease in price.
You just don't get it, do you?

At what point are there 'too many' Club Sofas? There are never too many because new rares are always being released to be traded for Club Sofas. Maybe if they stopped releasing Catolouge Rares, then your theory would be logical, but as it stands, there are just more and more rares being released to keep Club Sofas from diluting the market.

Oh, and by the way, a stop on the release of Catolouge Rares would not cause a guaranteed Club Sofa obseletion; just perhaps give it a chance of occurance. The only sure fire way to cause the Club Sofa to become obselete is to stop giving it out as the first month of Habbo Club furniture.

Just because you're a RVR doesn't mean you have a grasp on economics. All it says is you can pick up on what things are being traded before; so don't flatter yourself, it's not becoming.

[Kardan]

OK!
The orange parasol got released with the green, yellow and purple yeah? But the orange only got put on sale for 1 hour.
So therefore, more green, purple and yellow got bought yeah? They got put up for about 2 days and then got changed.
Now lok at the prices.
G/Y/P are around 1.8hc - 2hc
The Orange is at 5hc

Proof that the more rares there are the lower the price.

[-:Undertaker:-]

You just don't get it, do you?

At what point are there 'too many' Club Sofas? There are never too many because new rares are always being released to be traded for Club Sofas. Maybe if they stopped releasing Catolouge Rares, then your theory would be logical, but as it stands, there are just more and more rares being released to keep Club Sofas from diluting the market.

Oh, and by the way, a stop on the release of Catolouge Rares would not cause a guaranteed Club Sofa obseletion; just perhaps give it a chance of occurance. The only sure fire way to cause the Club Sofa to become obselete is to stop giving it out as the first month of Habbo Club furniture.

Just because you're a RVR doesn't mean you have a grasp on economics. All it says is you can pick up on what things are being traded before; so don't flatter yourself, it's not becoming.




Stop acting as if your Einstein with your long boring paragraphs, HC's will drop as there are more released onto the hotel, As for you saying I know everything because im a Rvr means nothing, Im someone on the Internet and SO ARE YOU, And Kardan is right about the Parasols.

[dark-as-death]

Stop acting as if your Einstein with your long boring paragraphs, HC's will drop as there are more released onto the hotel, As for you saying I know everything because im a Rvr means nothing, Im someone on the Internet and SO ARE YOU, And Kardan is right about the Parasols.


This has been settled now so please stop arguing

Dark.

[BL!NKEY]

about the paras... It is true that people usually will want to have rares that are less common because they are rarer.

But some rares that there are many of can be more desired because they have some thing about them. Take thrones for example. The green pillow was rising up high against the throne because everyone knew that there are only 800 or so green pillows and thousands of thrones. But in the end thrones prevailed because the idea of a throne is better then the desire for a green pillow.

The throne and HC sofa are considered the basic unit of trading. Everyone wants pure hcs or thrones because they can trade them to most people for otehr furni that they want.

When you say Hcs will drop do you mean all other rares will go to like 1.5 or do you mean the Hc will be worth 30rd on the normal scale. When the throne dropped the people with many supers didn't frantic because they dont care about how many hcs a throne is. They just trade for thrones and other supers. It doesnt matter to them. If you think the Hc will drop to 30 rds then do you think all other rares will stay proportional to it and say the mocha will be at 15 rds?

Uhh this post might be kind of confusing because I have typing dyariea but Maybe it will make some sence.

[visa.]

Alright. Here we have too many people who don't know what they are talking about trying to prove points.

To the Parasol statement; there is something to be said for desirability. Both Orange Parasols and Green Pillows fall in the same boat. People know there are less of them and purposely sell them for more.

However, on the same point, why are Thrones worth so much when there are far more Thrones than say, White Oriental Screens. It's because they came in to power as the basic unit for Super Rare Trading. Like BL!NKEY said, Super Rare Traders never need to be concerned about the Thrones value in Club Sofas as that doesn't matter.

The 'there more of a rare there are the less it is worth' is a lie.

Bronze Elephants and Green Bird Baths are worth more than Hammoks yet Hammoks sold less than both of these rares. There are over 50000 Thrones on the UK Hotel yet they retain a constant value of 15 HCs and above.

You can reconfigure the situation all you want but the logic doesn't balance out in the end. Undertaker; quit while you're ahead. You only make yourself look like a fool.

[FlyingJesus]

Visa darling, you did actually lose on one quite major point. You concede that changes in popularity/number of Club Sofas will make other furni values rise - this in effect makes the Club Sofa worth less than previously. Whilst it remains the constant trading currency, even now you need more Club Sofas to "buy" a decent room of rares than previously.

A Club Sofa will always cost 1HC (obviously), but if other items cost much more (as happened quite recently, a lot of furniture increased in price rapidly (has now fallen again)) then one Club Sofa will not be such a worry. It's just like inflation in the real world, if you need more of a currency to get something, that currency is actually worth less than before, no matter what the face value of it says.

I agree with you however about the "too many" idea, and how there can never be too many of them. If they stopped being released, their value would actually increase (that is, the values of other rares would drop), which would drastically change the entire trading economy. However, it's not likely to happen, so we stay with the constant: 1 HC = 1 HC

Take inflation into mind next time you try arguing economics. Your college course has failed you.

[-:Undertaker:-]

Alright. Here we have too many people who don't know what they are talking about trying to prove points.

To the Parasol statement; there is something to be said for desirability. Both Orange Parasols and Green Pillows fall in the same boat. People know there are less of them and purposely sell them for more.

However, on the same point, why are Thrones worth so much when there are far more Thrones than say, White Oriental Screens. It's because they came in to power as the basic unit for Super Rare Trading. Like BL!NKEY said, Super Rare Traders never need to be concerned about the Thrones value in Club Sofas as that doesn't matter.

The 'there more of a rare there are the less it is worth' is a lie.

Bronze Elephants and Green Bird Baths are worth more than Hammoks yet Hammoks sold less than both of these rares. There are over 50000 Thrones on the UK Hotel yet they retain a constant value of 15 HCs and above.

You can reconfigure the situation all you want but the logic doesn't balance out in the end. Undertaker; quit while you're ahead. You only make yourself look like a fool.





You should quit ahead before people start thinking your a Nerd, Hcs will one day fall in value because there will be too many, BUT Hcs will stay at 1HC.


EG:

White Screen: 70 Creds in the future.
HC Sofa: 35 Creds in the future.

So people will say 2 Hcs for my White screen.

[BL!NKEY]

You should quit ahead before people start thinking your a Nerd, Hcs will one day fall in value because there will be too many, BUT Hcs will stay at 1HC.


EG:

White Screen: 70 Creds in the future.
HC Sofa: 35 Creds in the future.

So people will say 2 Hcs for my White screen.

Ok that gives a little more information abuot what you mean by Hc falling.

If the Hc sofa goes to 35 rds will the mocha and other HC Presenst rares fall proportional so the mocha will be at say 17 rds.

Or will just the HC sofa fall to 35 rds and the mocha will say stay at 35 rds.

Because just as the Throne is wanted by all normal rare traders because it is the step into super rare trading, The HC sofa is wanted by normal traders because it is the step into rare trading. If a normal person with a bunch of plasto and bookshelfs and random furni can trade 35 rds worth of random furni for a HC then the normal traders will be happy to trade up to the rare trading group.

With this happening I dont think the HC sofa can stay at 35 rds.

There will always be normal traders that want to have that HC sofa that represents rare trading.

They will keep trading for it even though its so common.

These are all predictions because no one knows what will actually happen to the values in the future. We know that alot of traders dont think for themselfs and just trade away their furni if it goes down a little and buy furni if it goes up a little.

[visa.]

Visa darling, you did actually lose on one quite major point. You concede that changes in popularity/number of Club Sofas will make other furni values rise - this in effect makes the Club Sofa worth less than previously. Whilst it remains the constant trading currency, even now you need more Club Sofas to "buy" a decent room of rares than previously.

A Club Sofa will always cost 1HC (obviously), but if other items cost much more (as happened quite recently, a lot of furniture increased in price rapidly (has now fallen again)) then one Club Sofa will not be such a worry. It's just like inflation in the real world, if you need more of a currency to get something, that currency is actually worth less than before, no matter what the face value of it says.

I agree with you however about the "too many" idea, and how there can never be too many of them. If they stopped being released, their value would actually increase (that is, the values of other rares would drop), which would drastically change the entire trading economy. However, it's not likely to happen, so we stay with the constant: 1 HC = 1 HC

Take inflation into mind next time you try arguing economics. Your college course has failed you.
FlyingJesus I have gone over that point numerous times. Learn to read.

And don't patronize me because, quite frankly, you're in no position to do so.

I have a better grasp on economics than you ever will. Why don't you do what it's obvious you're trying to; all you need is a ruler, if you know what I mean.

[Kardan]

Why are Thrones worth more then O paras? Because the throne has never been in the catalogue :rolleyes:

And remember when the Throne WASN'T the official trading currency, in October 2005, it was HCs. The same can happen with HCs...

And about visa's above post. Calm down, it's pixels.

[-:Undertaker:-]

FlyingJesus I have gone over that point numerous times. Learn to read.

And don't patronize me because, quite frankly, you're in no position to do so.

I have a better grasp on economics than you ever will. Why don't you do what it's obvious you're trying to; all you need is a ruler, if you know what I mean.




WHAT are you on about, You Have Better Grasp on Habbo Ecomonices? :rolleyes: , Dont you think that is sad that you act all clever on a HabboForum pretending you know all about Habbo?

And FlyingJesus is in a postition to patronize you because he's proved you wrong !

[visa.]

No one has proved me wrong and a defy you to prove otherwise.

As for the other post, regardless if thrones have been in the catolouge or not, there are still over 50 000 of them, and far less orange parasols. It all comes down to aesthetics.

[-:Undertaker:-]

http://www.habboxforum.com/showthread.php?t=197474


Many people agree that the more there are of something, The less its worth.

[Papershop]

And So What? Whatever Happens happens. Whats the point in trying to work out why it happens? Thats just like trying to figure out how the put the ship in the bottle.

So just calm the hussle please and get on with your lives before economics rules you over lol

[-:Undertaker:-]

And So What? Whatever Happens happens. Whats the point in trying to work out why it happens? Thats just like trying to figure out how the put the ship in the bottle.

So just calm the hussle please and get on with your lives before economics rules you over lol


There's nothing wrong with debating, Its just that im not the one pretending to be a Nuclear Scientist over Habbo Values :rolleyes:

[Papershop]

LMAO A bit extreme.. He'll have like his experiment out now testing it to make sure its right or summit..

[visa.]

http://www.habboxforum.com/showthread.php?t=197474


Many people agree that the more there are of something, The less its worth.
I wonder why? The world is filled with idiots :)

[Victimized]

ECONOMIC? MISCONCEPTION?

We're talking about a pixelated game here, lol.

[ColyTom]

The club sofa value won't fall much, it has that special thing about it

[FlyingJesus]

FlyingJesus I have gone over that point numerous times. Learn to read.

Visa baby, don't try making yourself out to be right about something you're wrong about. You never previously mentioned inflation, and if you had then you'd realise that you were wrong when you said that HC furni will never fall. You lose either way. Learn to conceive truth.


And don't patronize me because, quite frankly, you're in no position to do so.

I am in such a position, because you're wrong. Unlucky old chap.


I have a better grasp on economics than you ever will. Why don't you do what it's obvious you're trying to; all you need is a ruler, if you know what I mean.

No, you really don't. Inflation is an occurrence wherever there's currency, and you completely failed to take it into account. If I were you I'd be ashamed, simply because you're not as good as me. You tried to use big words to confuse people into thinking you're right, but forgot that facts overcome word length. The fact that you've done this about Habbo furniture proves once and for all that you have failed at life.

[visa.]

Visa baby, don't try making yourself out to be right about something you're wrong about. You never previously mentioned inflation, and if you had then you'd realise that you were wrong when you said that HC furni will never fall. You lose either way. Learn to conceive truth.

I am in such a position, because you're wrong. Unlucky old chap.

No, you really don't. Inflation is an occurrence wherever there's currency, and you completely failed to take it into account. If I were you I'd be ashamed, simply because you're not as good as me. You tried to use big words to confuse people into thinking you're right, but forgot that facts overcome word length. The fact that you've done this about Habbo furniture proves once and for all that you have failed at life.


Haha, that's cute. Alright, let's straighten things out. For one, I use big words when they're suited. Second, you sound like you have a vague if any hold on what inflation is. Inflation is when the purchasing power of a currency is deflated due to an excess of currency or a lack of product. Yes, I have gone over this...



More Club Sofas being released will only drive the prices of other rares up.


That's inflation, my friend. There goes most of your credibility. I use big words when they're suited. Oh, and please don't call be 'baby' or 'darling'. I'm not entertained by your terms of endearment nor am I interested.

[FlyingJesus]

purchasing power of a currency is deflated

Well done, that along with your own quote in your post show that you were wrong from the start - HC furniture will decrease in value. If the prices of other things rise, then the Club Sofa itself will be worth proportionally less, and hence will have lost value. As you said yourself, the purchasing power will be deflated, which as far as I remember means it will go down. Oops, didn't mean to burst your little bubble of Habbo happiness, but people need to be told when they're wrong.

As for having a "vague" hold on what inflation is, it's not like there are different levels of understanding about it, in fact you summed it up comletely in a single sentence. I make that 2-0 to me.

[visa.]

You really are daft.

The purchasing power of a currency falling does not relate to it's worth. Power and worth are two different things. The worth of a Club Sofa is how many credits of normal furniture it takes to buy one (a comparable 'step below' medium). The purchasing power indicates how much product it can buy.

A dollar is always worth a dollar. A pound is always worth a pound. The price to buy, say, a pack of candy may rise from $1.00 to $1.50, but the dollar is still worth 100 cents.

Really though, it's cute how you try to make points and all. Kind of cheers me up seeing someone so hopeless with so much effort.

[FlyingJesus]

Purchasing power does denote the worth of something, as with no purchasing power, something becomes worthless. Germany post-war with hyperinflation for example, the Mark was still the Mark, but it was worth nothing. A note for one thousand Marks were still made up of one thousand Marks, but was worth less than previously. To say that something is still worth the same because it's made up of the same amount of something lower is stupid, and wrong. Purchasing power is exactly the same as worth, because without purchasing power there is no worth to something. You wouldn't want money if it had no purchasing power - it would be worthless.

[ColyTom]

During inflation: young children played with bricks made of money notes, someone had a carrier bag full of money nad someone stole the bag because it was worth more, A man used a whole wheelbarrow full of money to buy a loaf of bread etc

As I said before, the club sofa won't fall much unless it gets replaced by something that people like as much. The whol trading system is based mainly on the club sofa so it won't fall much.

[Kardan]

During inflation: young children played with bricks made of money notes, someone had a carrier bag full of money nad someone stole the bag because it was worth more, A man used a whole wheelbarrow full of money to buy a loaf of bread etc

As I said before, the club sofa won't fall much unless it gets replaced by something that people like as much. The whol trading system is based mainly on the club sofa so it won't fall much.
Well, if the club sofa was said to be going into the catalogue like the throne was, would it fall in price? Yes.

[-:Undertaker:-]

During inflation: young children played with bricks made of money notes, someone had a carrier bag full of money nad someone stole the bag because it was worth more, A man used a whole wheelbarrow full of money to buy a loaf of bread etc

As I said before, the club sofa won't fall much unless it gets replaced by something that people like as much. The whol trading system is based mainly on the club sofa so it won't fall much.



Club Sofa will fall in price.

EG: If 10,000 more White Birdbaths were released would the White Birdbath fall in price? Yes.

Hc's will get too common, So then people will go "Why pay for something thats theres loads of?"

HC Sofa will stay at 1HC - Thats just a name not a Value.

So in the future it could be 1HC = 35 RD

So it would be 2 Hcs for my Purple Fan.

But eventually the HC wouldnt be used as the main "Currency".

[ScouseOrient]

Purple fans arnt out?

[ColyTom]

Well, if the club sofa was said to be going into the catalogue like the throne was, would it fall in price? Yes.
Yeah but the club sofa won't be released into the catalogue

[Kardan]

Yeah but the club sofa won't be released into the catalogue
Won't it? You can't 100% guarantee it.
Remember when the staff in October made it sound like the Throne qwas coming out on purpose? It dropped to 4hc?
Exactly.

[ColyTom]

Purple fans arnt out?
He never said they were, he was using it as an example.

[Nia12]

Yeah i'm the same i didnt understand it at all :l but you must of thought you were right to of written so much so don't feel bad about trying to gt your point across :D

*Nia12*

[shiver]

Visa darling, you did actually lose on one quite major point. You concede that changes in popularity/number of Club Sofas will make other furni values rise - this in effect makes the Club Sofa worth less than previously. Whilst it remains the constant trading currency, even now you need more Club Sofas to "buy" a decent room of rares than previously.

A Club Sofa will always cost 1HC (obviously), but if other items cost much more (as happened quite recently, a lot of furniture increased in price rapidly (has now fallen again)) then one Club Sofa will not be such a worry. It's just like inflation in the real world, if you need more of a currency to get something, that currency is actually worth less than before, no matter what the face value of it says.

I agree with you however about the "too many" idea, and how there can never be too many of them. If they stopped being released, their value would actually increase (that is, the values of other rares would drop), which would drastically change the entire trading economy. However, it's not likely to happen, so we stay with the constant: 1 HC = 1 HC

Take inflation into mind next time you try arguing economics. Your college course has failed you.
ye i agree

Thread closed by Jordan (Forum Super Moderator): Please do not pointlessly bump old threads