May 1629 - Day 50-51

Oh, what a day! Martti left for the dragon quest and is expected back only by Christmas, so that he could tell how it was (or whether he is even alive). Meanwhile, a general announcement called for slashing of wages and prices by about 30%. Further edicts soon followed.

The rationale behind NPC salary cut, which affects the prices of all things produced or consumed by NPC - food, drinks, wisdom, stone and building resources - is sound: our game currency, Monero XMR, has appreciated so much against other currencies (Bitcoin, Euro, Dollar) that this has become an expensive game to play.

With the infrequent play over 6 weeks, Martti had gathered a withdrawable stash of $20, starting with nothing and having nothing at risk. Of course this is his intention and winning condition (gain levels, and extract money from other players) but the game needs to be balanced such that the leak is not too large. Getting the salaries nearer their values in other currencies before XMR rise seemed like a good thing, and was done. (It is called "internal devaluation" in modern economics.)

But Martti has both acute and long-term problems caused by the decision, which did not suit his plans at all:
- Acutely 3.9 mil overdraft because others dumped to his bids that had become too high
- Losses from buying stuff too high, and now it is 30% cheaper
- Long-term being in debt which is denominated and must be paid back in moneretos, while nearly all the belongings are devalued around 30%
- Getting a 30% salary cut.

Depending how large a leverage you have, a 30% cut in the value of assets when the debt stays unchanged, can take you completely underwater. This has happened to many American homeowners since 2007 and we will investigate how is the situation with Martti and try to work the way out of overdraft so that food can be bought again!

To the surprise of the house manager (the story is that Martti is personally away), the announcement did not cause an immediate drop in food prices - so by selecting a few things to be dumped on the bids, positive cash balance is gained, allowing bids to be placed. The horse, bought only last year, was also found promoted to H2. Horses can promote up to H7, after which there is still a possibility to gain a H8 (Silver Unicorn). The valuable suit is intact.