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Free agency / Salary reduction?

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114356.141 in reply to 114356.140
Date: 10/24/2009 10:55:12 AM
Overall Posts Rated:
409409
I think that the return of the Free Agents was a great short-term measure in order to lower the inflaction that was ocurring on the TL, but as we all know the TL depends on the supply-demand, so when the F.A. stop to flow our market, sooner or latter the inflaction will return.

Inflation, as an economic phenomenon, is the result of an increase of the money stock in an economy and has nothing to do with supply and demand.




Well, just in order to not confuse people, I should say that is not like that.

Inflation is the increase in the general prices in an economy. And yes, it has to do with supply-demand dinamics and also with monetary mass.

But, I will agree that the most probably cause of BB inflation is due to increase in the velocity of expansion of the monetary mass (a.k.a changes in the fan behavior and their consequences in arena planning)

Last edited by Zero, the Magi. at 10/24/2009 10:56:11 AM

This Post:
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114356.143 in reply to 114356.142
Date: 10/24/2009 12:23:24 PM
Overall Posts Rated:
409409
Inflation is the increase in the general prices in an economy. And yes, it has to do with supply-demand dinamics and also with monetary mass.


What you refer to as 'supply and demand dynamics' may cause consumers to switch from one type of good to another, thus increasing the demand in one market, and contracting the demand in another one, and causing a price change.

This, however, is not inflation, it's a change in the real economy (e.g., it has to do with production and consumption, not with nominal change in prices).


If the cost of the energy increase due to(many reasons can be queted here), affecting the prices of virtually all the goods that use energy in his production, wich is not a small share of the total products. This will increase the prices mostly all over the board. I could start showing you more real economy changes like a hard drought who will increasy the price of many food products, etc.

This will sure increase mostly (if not all) the prices in the economy. This is called inflation.

So, yes, inflation can be produced by changes in real economy and not only due to the expansion of the monetary mass.

Last edited by Zero, the Magi. at 10/24/2009 9:58:58 PM

This Post:
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114356.144 in reply to 114356.138
Date: 10/24/2009 7:36:35 PM
Overall Posts Rated:
3434
[message=I think that the ideia of the increase of salaries is a bad idea, the first division teams will loose some money yes.

But i think that the lower league teams like me, wont have a chance when it comes to improve our teams.


edit: just what Somebody Important said.]




I disagree. It depends on how you manage your team. If you think about it for a second you will realize that in order to build a successful franchise you have to start with the "unsexy" parts of it. For buzzerbeater that is arena expansion, having homegrown players to maximize merchandise. You cant just go out and buy the best players right away. So if your income is increasing more and more then you can afford those better players and keep them on your roster without worrying about going bankrupt. Its a progressive franchise strategy.

Also, and one of the GM's can comment on this if they wish, but i think the way that they are insuring or trying to make sure the inflation doesnt go crazy in the future is the new merchandising and arena structure. Some of those top level teams, even the highest divisions in each country, are having to sell off arena seats because they cant put butts in them because of the new TV deal. Its going to limit, or at the very least hold in check, the amount of money those top level teams make so they aren't continually outbidding smaller teams and driving up prices.


(how do you quote somebody's previous message so it appears in a box like some of the previous messages? haha i can't figure it out)


Last edited by southpaw17 at 10/24/2009 7:38:01 PM

This Post:
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114356.145 in reply to 114356.144
Date: 10/24/2009 7:54:06 PM
Overall Posts Rated:
6161
couse i haven´t read what he said.

I still think that the increase of salaries is a bad idea.

This Post:
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114356.147 in reply to 114356.146
Date: 10/25/2009 4:43:43 PM
Overall Posts Rated:
3434
Ok sweet thanks!

This Post:
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114356.148 in reply to 114356.8
Date: 10/25/2009 10:29:05 PM
Overall Posts Rated:
504504
Really, now can happen many thinks about, the real question have to be focus at the end of the season. With the money that the winners teams receive, when they go to the top league, What players they will have to buy to competitive? who is watching this?

Now you need twice money to buy what you bought last season. Will be bis diference beetwen teams went to top league than the teams will go this season.

Mod-El Mercader
This Post:
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114356.149 in reply to 114356.148
Date: 10/25/2009 11:10:15 PM
Overall Posts Rated:
22
You buy at twice it's price... you sell at twice his price...

easy

This Post:
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114356.150 in reply to 114356.149
Date: 10/26/2009 3:42:13 AM
Overall Posts Rated:
3838
Except that when you promote you are the underdog, and the bonus you recieve to catch up with the other teams suddenly have becomme reduced to half what it was worth before, relative to the market. I think this was the point of the previous message(?).

On a side note I don't think the prices would stay this high forever, but if they do, the promotion price should be revised. (even if it means more money into the economy). No, wait, I'm not sure about this one...

Last edited by Svett Sleik (U21-Scout Norge) at 10/26/2009 3:43:34 AM

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