History Main / ArtisticLicenseEconomics

17th Nov '17 1:32:15 PM CaptainCrawdad
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* ''Series/PawnStars'':
** The pawn shop owners end up dealing with a lot of people who fail Economics forever, either by assuming that an otherwise-worthless trinket they own is a lot more valuable than it is because it was owned by someone famous (as one of the hosts famously put it, "It doesn't matter if your lawnmower was owned by Bill Clinton, it's still a lawnmower"), or by doing some research, finding out the "market value", and then trying to sell it to the pawn shop at that price. The staff have to constantly remind sellers that they are salesmen, not collectors, and that the "market value" is what a ''collector'' will pay.
** Another repeat example is, "People automatically assume old plus rare automatically equals valuable", without taking any other factors into account. One of the most startling examples of overestimation includes a three-trigger shotgun, where the third trigger was used to open the breach (instead of a separate lever) while the two other triggers worked the side-by-side barrels as normal for a hammer-operated firearm. An expert was brought in to inspect it, and confirmed that yes they were very rare, but that was more because they were unpopular and not produced very long; a pristine-condition example could fetch between two and three thousand, but the one in hand had been heavily used (since it was intended as a private citizen's main hunting tool) and showed severe pitting and scoring of the barrel, splice-replacement of the stock, etc, so it was worth at most $800-$1000. This was somewhat of a shock to the seller, whose initial asking price - based solely off the fact that it was old and unusual - was ''[[WhatAnIdiot $100,000]]''.
** It doesn't matter what the seller thinks his item is worth; what matters is how much someone else is willing to pay for it. If nobody will pay what he's asking, he's priced it right out of the market, so its market value is zero.
** You simply will not get top dollar for your stuff from a pawn shop. While a collector buys something to keep it for himself, a pawnbroker buys it so he can turn around and sell it again at a profit. The advantage of selling to a pawnbroker is that you'll get cash in your hand immediately. An auction house will charge you up front to sell it on their auction block, make you wait around for months before the item goes up for bid, and if the bidding doesn't meet your expectations, you're out of luck. The same goes for selling it yourself on Ebay, minus the auctioneer's fee.
17th Nov '17 1:26:32 PM CaptainCrawdad
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** Some TruthInTelevision: 19th-century Australian folk hero Ned Kelly did exactly this. As this was [[OlderThanRadio before the computer age]], it's more likely that the banks indeed had only one copy of the records, or at least the loan notes. John Dillinger and Pretty Boy Floyd were known to do this as well. In general, many outlaws recognized the only way they would avoid capture would be to invoke Myth/RobinHood kind of banditry, so a sympathetic public would shelter them. Certainly the public had no love lost over banks for, then as now, financiers would be happy to push loans for farm expansion with high interest rates in times of boom, knowing that the increase in product supply would make repayment unlikely as prices fell accordingly. Likewise, some European peasant rebellions were actually better thought-out than most people realize, in that the rebels would destroy any documents they found in the keeping of tax agents and other local officials. Their hope was that, even if their uprisings failed, there wouldn't be any record of just how much service they owed their manor lords each year.
2nd Nov '17 8:57:38 AM CaptainCrawdad
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** Actually, it would have to go way deeper than that. First, you have to find out how much "pleasure" hooking up with the blonde or her less attractive partner would yield. Then you'd have to calculate the chances of success. If, for the sake of simplicity, the blonde is four times more "pleasure giving" and both will choose one suitor randomly, then four times as many people should hit on the blonde as on her companion. Now, everyone deviating from their strategy will suffer an expected pleasure drawback. Of course, this would not take into account differing tastes, uncertainties, preferred strategies (risk aversion and suchlike), the ability of the women to have a mind of their own and so on...
* In ''Film/TheDarkKnightRises'', Bruce Wayne is bankrupted after Bane and his minions break into the stock exchange, hold everyone there at gunpoint, and make fake trades in Bruce's name using his (stolen) fingerprints. In reality, the major stock exchanges have the ability to quickly cancel trades if necessary and Bruce Wayne would have been easily able to get off the hook for those fraudulent trades. This is acknowledged in the movie a couple of scenes later when Lucius Fox tells Bruce that they'll be able to prove fraud but that in the immediate short term, Bruce is bankrupted. This also assumes that the computer program wasn't somehow inserting backdated trades into the system. Though that would presumably leave a trace, it would certainly take much longer to disentangle. The whole situation is played similarly to a robbery or large-scale embezzlement. It's [[LampshadeHanging lampshaded]] by people on the floor. Although... considering the ridiculous speeds at which the regulating body can close down a Stock Exchange (for example the flawed shut-down system for China's stock exchange in early 2016), Bane and his henchmen wouldn't get close to a computer before the system was shut-down.

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* ''Film/TheDarkKnightRises'':
** Actually, it would have to go way deeper than that. First, you have to find out how much "pleasure" hooking up with the blonde or her less attractive partner would yield. Then you'd have to calculate the chances of success. If, for the sake of simplicity, the blonde is four times more "pleasure giving" and both will choose one suitor randomly, then four times as many people should hit on the blonde as on her companion. Now, everyone deviating from their strategy will suffer an expected pleasure drawback. Of course, this would not take into account differing tastes, uncertainties, preferred strategies (risk aversion and suchlike), the ability of the women to have a mind of their own and so on...
* In ''Film/TheDarkKnightRises'',
Bruce Wayne is bankrupted after Bane and his minions break into the stock exchange, hold everyone there at gunpoint, and make fake trades in Bruce's name using his (stolen) fingerprints. In reality, there are strict regulations imposed on volume trading in basically every stock market, such as public announcements being necessary when the major offering exceeds the average daily trading value, making the idea of Bruce Wayne buying massive amounts of stock or selling his own Wayne Corp. stock ludicrous. Major stock exchanges also have the ability to quickly cancel trades if necessary necessary, and Bruce Wayne would have been easily able to get off the hook for those fraudulent trades. This is acknowledged in the movie a couple of scenes later when Lucius Fox tells Bruce that they'll be able to prove fraud but that in the immediate short term, Bruce is bankrupted. This also assumes that the computer program wasn't somehow inserting backdated trades into the system. Though that would presumably leave a trace, it would certainly take much longer to disentangle. The whole situation is played similarly to a robbery or large-scale embezzlement. It's [[LampshadeHanging lampshaded]] by people on the floor. Although... considering the ridiculous speeds at which the regulating body can close down a Stock Exchange (for example the flawed shut-down system for China's stock exchange in early 2016), Bane and his henchmen wouldn't get close to a computer before the system was shut-down.



** Furthermore, Wayne's company treats this assault as a reason to kick him off the board of directors when it is obviously not his fault.



** Also, utilities don't get shut down days after someone goes bankrupt, or gets behind on their payments, as that could endanger lives. Imagine a minor screw-up at a hospital and it coming to light the following day, when all the life support patients are dead.
** To drive the point home, there are also strict regulations imposed on volume trading in basically every stock market, such as public announcements being necessary when the offering exceeds the average daily trading value, making the idea of Bruce Wayne buying massive amounts of stock or selling his own Wayne Corp. stock ludicrous.
* In Creator/JamesCameron's ''Film/{{Avatar}}'' doesn't give enough information. By all accounts the operating costs of mining and shipping something from one solar system to another at less than the speed of light should prevent the RDA from making even close to a profit. {{Unobtainium}} would need to be both absolutely vital to technology on earth and un-synthesizable for their operations to be profitable. And since it forms on its own, on a planet humans can walk around on with only breath-masks, it's almost certainly easier to synthesize than to schlepp light-years by ([[AwesomeButImpractical antimatter catalyzed]]) rocket to mine it. Averted in the [[AllThereInTheManual supplementary material]], where it's stated that Unobtanium is not only vital to the construction of faster-than-light ships, but it ''can't'' be synthesized, otherwise they would have. The reason they bother with the [[DeathWorld harshness of Pandora]] is because of the abundance of the stuff, which otherwise is so scarcely scattered across the reachable galaxy that it's not worth even trying to obtain except as a byproduct of other operations.

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** Also, utilities Utilities don't get shut down days after someone goes bankrupt, or gets behind on their payments, as that could endanger lives. Imagine a minor screw-up at a hospital and it coming to light the following day, when all the life support patients are dead.
** To drive the point home, there are also strict regulations imposed on volume trading in basically every stock market, such as public announcements being necessary when the offering exceeds the average daily trading value, making the idea of Bruce Wayne buying massive amounts of stock or selling his own Wayne Corp. stock ludicrous.
* In Creator/JamesCameron's ''Film/{{Avatar}}'' doesn't give enough information. By all accounts the operating costs of mining and shipping something from one solar system to another at less than the speed of light should prevent the RDA from making even close to a profit. {{Unobtainium}} would need to be both absolutely vital to technology on earth and un-synthesizable for their operations to be profitable. And since it forms on its own, on a planet humans can walk around on with only breath-masks, it's almost certainly easier to synthesize than to schlepp light-years by ([[AwesomeButImpractical antimatter catalyzed]]) rocket to mine it. Averted in the [[AllThereInTheManual supplementary material]], where it's stated that Unobtanium is not only vital to the construction of faster-than-light ships, but it ''can't'' be synthesized, otherwise they would have. The reason they bother with the [[DeathWorld harshness of Pandora]] is because of the abundance of the stuff, which otherwise is so scarcely scattered across the reachable galaxy that it's not worth even trying to obtain except as a byproduct of other operations.
dead.
26th Oct '17 6:17:54 PM CheeseDogX
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* In ''Film/TheFifthElement'', Zorg espouses the "Destruction Equals Employment" mentality, and demonstrates it by destroying a glass and explaining how the machines that clean the glass shards away employ so many people manufacturing them. However, Zorg doesn't mention that only companies like his, which profits off of war, stand to benefit, rather than society as a whole.

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* In ''Film/TheFifthElement'', Zorg espouses the "Destruction Equals Employment" mentality, and demonstrates it by destroying a glass and explaining how the machines that clean the glass shards away employ so many people manufacturing them. However, Zorg doesn't mention that only companies like his, which profits off of war, stand to benefit, rather than society as a whole. It's a version of the Parable of the Broken Window, which is explained in more detail at TheOtherWiki.
4th Oct '17 4:43:15 PM 64SuperNintendo
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[[folder:Anime & Manga]]

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[[folder:Anime & and Manga]]



** There's actually even more evidence; Mario & Luigi lose coins when they flee from battles, and if the player flees enough to cause them to lose all their coins, the exchange still comes to 10 Beanbean coins ([[DevelopersForesight they get 3 coins during the cutscene]]). Then again, [[HeroicMime they can't exactly complain]].

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** There's actually even more evidence; Mario & and Luigi lose coins when they flee from battles, and if the player flees enough to cause them to lose all their coins, the exchange still comes to 10 Beanbean coins ([[DevelopersForesight they get 3 coins during the cutscene]]). Then again, [[HeroicMime they can't exactly complain]].



** These economics of Spellcasting are further mocked in a later strip when an apprentice caster [[http://www.giantitp.com/comics/oots0677.html proudly proclaims]] that she got a really good deal and paid below normal cost for a jar of rubies. Her master then points out that the spell they need to cast specifies the cost of the gems needed and not the amount. She therefore needs to go back & pay more before the spell will work.

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** These economics of Spellcasting are further mocked in a later strip when an apprentice caster [[http://www.giantitp.com/comics/oots0677.html proudly proclaims]] that she got a really good deal and paid below normal cost for a jar of rubies. Her master then points out that the spell they need to cast specifies the cost of the gems needed and not the amount. She therefore needs to go back & and pay more before the spell will work.



** Critics of the book's premise are quick to point out that the protagonists' "fuck you, got mine" system [[NotSoDifferent is no more feasible,]] and only works because they have a ''perpetual motion machine'' and cloaking device to hide Galt's Gulch from outsiders. ''WebComic/BobTheAngryFlower'' parodied this by showing Galt & co. stuck doing backbreaking farm labor just to survive (which, at least, they would prefer in-context to working for "the looters" back in civilization).

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** Critics of the book's premise are quick to point out that the protagonists' "fuck you, got mine" system [[NotSoDifferent is no more feasible,]] and only works because they have a ''perpetual motion machine'' and cloaking device to hide Galt's Gulch from outsiders. ''WebComic/BobTheAngryFlower'' parodied this by showing Galt & and co. stuck doing backbreaking farm labor just to survive (which, at least, they would prefer in-context to working for "the looters" back in civilization).
4th Oct '17 7:18:33 AM AndIntroducingALeg
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* ''Series/DoctorWho'': The Season 4 Christmas special "Voyage of the Damned" features a cruise ship of HumanAliens from the planet Sto, which apparently has some major economic problems. A couple claims that they'll never be able to pay off the 5000-credit debt they ran to get their tickets. At the end of the episode, the Doctor establishes a firm conversion rate: about 50 credits per British pound, or US$1.60. This occurs during the same night.

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* ''Series/DoctorWho'': The ''Series/DoctorWho'':
** ''Vengance on Varos'' is set on the universe's only known source of the priceless metal zeiton-7. At the end of the story, an alternative source is found, driving the price up. Not down as it would in real life.
**The
Season 4 Christmas special "Voyage of the Damned" features a cruise ship of HumanAliens from the planet Sto, which apparently has some major economic problems. A couple claims that they'll never be able to pay off the 5000-credit debt they ran to get their tickets. At the end of the episode, the Doctor establishes a firm conversion rate: about 50 credits per British pound, or US$1.60. This occurs during the same night.
22nd Aug '17 9:33:30 AM GrammarNavi
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* ''VideoGame/DeusExInvisibleWar''; Apparently, the so-called [[NonIndicativeName World Trade Organization]] is in the business of price-fixing and micromanaging the economy. Technically this is a JustifiedTrope because the WTO is really a front for the Illuminati and is thus only concerned with world domination. But, this doesn't explain why the WTO's areas are the ''richest'' ones in the game. Historically speaking, all attempts at price fixing (from SovietRussia to UsefulNotes/RichardNixon's America) result in economic disaster. It is quite possible that the WTO's wealth comes from embezzling someone else rather than actual wealth creation. It is also possible that the WTO only fixes ''some'' prices, however, they still get based for being "greedy capitalists". This is arguably also {{justified|Trope}} by the fact that most of the accusations are thrown by members of The Order (another Illuminati front), and a fake conflict is a potential part of the cover up. Trope is averted by Denton's faction, who's nanotech-based preference-agglomeration plan could theoretically bypass the economic calculation problem (by measuring people's preferences directly) and thus actually successfully generate "shadow market" prices (a la Oskar Lange) and thus make a centrally managed economy potentially efficient.

to:

* ''VideoGame/DeusExInvisibleWar''; Apparently, the so-called [[NonIndicativeName World Trade Organization]] is in the business of price-fixing and micromanaging the economy. Technically this is a JustifiedTrope because the WTO is really a front for the Illuminati and is thus only concerned with world domination. But, this doesn't explain why the WTO's areas are the ''richest'' ones in the game. Historically speaking, all attempts at price fixing (from SovietRussia [[UsefulNotes/SovietRussiaUkraineAndSoOn Soviet Russia]] to UsefulNotes/RichardNixon's America) result in economic disaster. It is quite possible that the WTO's wealth comes from embezzling someone else rather than actual wealth creation. It is also possible that the WTO only fixes ''some'' prices, however, they still get based for being "greedy capitalists". This is arguably also {{justified|Trope}} by the fact that most of the accusations are thrown by members of The Order (another Illuminati front), and a fake conflict is a potential part of the cover up. Trope is averted by Denton's faction, who's nanotech-based preference-agglomeration plan could theoretically bypass the economic calculation problem (by measuring people's preferences directly) and thus actually successfully generate "shadow market" prices (a la Oskar Lange) and thus make a centrally managed economy potentially efficient.
11th Aug '17 8:03:42 PM wingedcatgirl
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* The creator of ''VideoGame/DwarfFortress'' admits that as of now, the economic system doesn't work - and was removed from game. One reason, apart from the many sanity-related ones, is that computers asked to keep track of all those coins tend to struggle.
** [[http://www.threepanelsoul.com/comic/on-mixed-economies This strip]] from ''Webcomic/ThreePanelSoul'' perfectly demonstrates just how insane the dwarven economy is.

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* The creator of ''VideoGame/DwarfFortress'' admits that as of now, the used to have an in-fort economic system doesn't work - and was removed from game. One reason, apart from the many sanity-related ones, is that computers asked to keep track in Fortress Mode. Doesn't sound familiar? It's been DummiedOut for ''years'' because it just plain didn't make any kind of all those coins tend to struggle.
**
sense, as [[http://www.threepanelsoul.com/comic/on-mixed-economies This strip]] from ''Webcomic/ThreePanelSoul'' perfectly demonstrates just how insane explained]] by ''Webcomic/ThreePanelSoul''. Plus, making computers keep track of all the dwarven economy is.individual coins involved shot framerates right to hell.
11th Aug '17 7:04:42 AM brolaf
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Added DiffLines:

** There's actually even more evidence; Mario & Luigi lose coins when they flee from battles, and if the player flees enough to cause them to lose all their coins, the exchange still comes to 10 Beanbean coins ([[DevelopersForesight they get 3 coins during the cutscene]]). Then again, [[HeroicMime they can't exactly complain]].
10th Aug '17 8:28:07 PM brolaf
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* Averted in Creator/FScottFitzgerald's ''Diamond As Big As The Ritz''. The Washington family discovers a mountain made ''entirely'' of solid diamond, but cashing in would lower the value of diamonds to next to nothing and leave the family near-broke. Today, the mountain would not necessarily be rendered worthless though--today, more diamonds are used for industrial purposes than as jewelry. However, Fitzgerald wrote before this was a common industrial practice.

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* Averted (not really) in Creator/FScottFitzgerald's ''Diamond As Big As The Ritz''. The Washington family discovers a mountain made ''entirely'' of solid diamond, but cashing in would lower the value of diamonds to next to nothing and leave the family near-broke. Today, the mountain would not necessarily be rendered worthless though--today, more diamonds are used for industrial purposes than as jewelry. However, Fitzgerald wrote before this was a common industrial practice.
** That's not averted, as the profitability of diamond mines is largely a result of marketing, rather than supply. They could have set themselves up as jewelers and made a fortune.
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