|
|
Post by resistor on Nov 6, 2017 16:20:44 GMT -5
I'm not anything resembling an economics expert, but I think Pop and Lux Pop Zones in STF would suffer from crippling deflation.
Pop Zones do not have any valuable exports, so credits are hardly flowing into their worlds. On the other hand, they buy a LOT of goods, guaranteeing credits are flowing out of their world. The money supply of their world must be draining quickly, causing extreme deflation, right?
|
|
|
|
Post by fallen on Nov 6, 2017 17:15:56 GMT -5
Unlikely. Pop and Lux Pop zones have wealth, and that wealth is invested into other worlds and their production, their trade networks, their services.
Simply because they are not offering up trade on the Star Traders Exchanges does not mean that the entire system makes no valuable economic output in the form of financing, goods, or services.
|
|
|
|
Post by Brutus Aurelius on Nov 6, 2017 23:04:52 GMT -5
I'm not anything resembling an economics expert, but I think Pop and Lux Pop Zones in STF would suffer from crippling deflation. Pop Zones do not have any valuable exports, so credits are hardly flowing into their worlds. On the other hand, they buy a LOT of goods, guaranteeing credits are flowing out of their world. The money supply of their world must be draining quickly, causing extreme deflation, right? I imagine that, like modern cities, most of the economy is based on services |
|
|
|
Post by resistor on Nov 7, 2017 1:06:39 GMT -5
I'm not anything resembling an economics expert, but I think Pop and Lux Pop Zones in STF would suffer from crippling deflation. Pop Zones do not have any valuable exports, so credits are hardly flowing into their worlds. On the other hand, they buy a LOT of goods, guaranteeing credits are flowing out of their world. The money supply of their world must be draining quickly, causing extreme deflation, right? I imagine that, like modern cities, most of the economy is based on services Modern cities are capable of exporting services to other cities. It is unclear what services population zones are exporting, or how they are exporting them. Maybe this will be elaborated on through future contacts or story missions. |
|
|
|
Post by Officer Genious on Nov 13, 2017 21:33:24 GMT -5
Part of their economy could be acting as "banks" for the rest of the quadrant. Like cities known for financial power rather than direct exports (NYC, for example). That money wouldn't go with a Star Trader, but it would make a planet hub important.
|
|
