Eve Online Bank Scandal, Essay Example

The article chosen was “Eve Online Bank Scandal”, it details the fictitious community of Eve MMO. The fake bank, EBank that runs on ISKs, is the main source of financing in the virtual world. The game has over 300,000 subscribers, but they all used EBank. Panic ensued once the CEO stole 200 billion ISKs from the EBank. This sparked the run of the rest of the subscribers to pull their money out the bank. What happened next is the problem. The CEO took the fake money and exchanged it for real money (Australian) with a third party websites, which violated the terms of service. This is similar to the events of the economy during the Depression, but overall this explains the voluntary exchange system, as well as another type of market system that reflect the supply and demand for ISKs.

In this article, the author only states the facts, there is nothing to sway, but instead he is trying to inform on a subject that would be of interest to people living in a similar economy. Such as in the explanation from the founder of the virtual game, “EBank was founded about two years ago based on the fractional reserve banking model used by modern American financial institutions, according to Dave Carter, the chairman of EBank.” (Ocampo, 2009) Other interesting facts is that the author gives is information on the transfer of fake money to real money which has been banned in China, since many are doing it.

No, it explain the impacts of withdrawing large amounts of deposits from the banks, and how it mirrored a real world bank, and the economy. The main topic that the article was about was the banking economy of the virtual game.

There were no standout arguments, instead the article presented facts about the game, about the player that stole the money in exchange for actual money to pay for bills, and the fact that this practice is an important problem that many online worlds were trying to avoid.

Changes to the supply and demand will create a disequilibrium in the market. Once there is a shift in the supply and demand for drugs if they are free, will increase the demand, the equilibrium price, and the quantity.

With the wage increase, the quantity increases as well, as it creates an incentive for more workers.

The quantity demanded will also increase from employers, but the number of unemployed teenagers will increase, as employers do not want to pay out increased wages.