# Monthly Economic Report - July 2020 **URL:** \ **Category:** Dev Blogs\ **Tags:** mer, official, devblog\ **Created:** [August 24, 2020, 1:25pm UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501 "2020-08-24T13:25:21Z")\ **Posts on this page:** 13\ **Page:** 3
**Author:** ![Namaros](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/namaros/32/461419_2.png) [@Namaros](https://forums.eveonline.com/u/Namaros)\ **Post date:** [August 28, 2020, 6:52am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/41 "2020-08-28T06:52:59Z")
Not we are but a few. ---
**Author:** ![Teckos\_Pech](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/teckos_pech/32/375283_2.png) [@Teckos\_Pech](https://forums.eveonline.com/u/Teckos_Pech)\ **Post date:** [August 29, 2020, 6:54am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/42 "2020-08-29T06:54:57Z")
> [@Pith\_Hurdaa](#): > > Well, for me something is scarce when there is so little of it that it is hard to find. And then what happens? > [@Pith\_Hurdaa](#): > > You could buy just now in jita enough compressed ore to produce 1.000 dreads, and set up a buy order at the same price for another 1.000 and it would be filled by tomorrow. Would you say that ore is scarce? If the price is non-zero, yes. > [@Pith\_Hurdaa](#): > > Of course there is less ore than before, but it is not scarce by any means. Sheeesh… ---
**Author:** ![Vixen\_Vix](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/vixen_vix/32/384059_2.png) [@Vixen\_Vix](https://forums.eveonline.com/u/Vixen_Vix)\ **Post date:** [August 29, 2020, 7:46pm UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/43 "2020-08-29T19:46:08Z")
> [@Teckos\_Pech](#): > > There is no scarcity…yet prices went up. Goodness. How I read it with my limited economic knowledge. ![image](https://global.discourse-cdn.com/eveonline/original/3X/1/0/10054eb38fbedca0e414ac9450fee6131771e372.png) The velocity of money can go down if there is a lot of money in economy or the economy is saving. If prices go up and velocity is going down we have an inflation: “In economics, inflation is a general rise in price level relative to available goods resulting in a substantial and continuing drop in purchasing power in an economy over a period of time.” In both economic crisis (2008-2009) and now covid 2020 the economy was saving thus velocity going down too. ![image](https://global.discourse-cdn.com/eveonline/original/3X/0/3/0329f05bc6adb2dcc2bd3803adf043c40e65282e.png) ---
**Author:** ![Xeux](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/xeux/32/428022_2.png) [@Xeux](https://forums.eveonline.com/u/Xeux)\ **Post date:** [August 29, 2020, 7:57pm UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/44 "2020-08-29T19:57:52Z")
That equation is just made up. Velocity of money is something the economists created so that they could balance their phony math. ---
**Author:** ![Sylvia\_Kildare](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/sylvia_kildare/32/416948_2.png) [@Sylvia\_Kildare](https://forums.eveonline.com/u/Sylvia_Kildare)\ **Post date:** [August 30, 2020, 9:56am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/45 "2020-08-30T09:56:16Z")
> [@Destiny\_Corrupted](#): > > If all Caldari space disappeared tomorrow, along with everyone who willingly chooses to live there, I think the game would be _much_ better off. Maybe so, but I’ll miss Guristas ratting in Cal HS, even so. ---
**Author:** ![Teckos\_Pech](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/teckos_pech/32/375283_2.png) [@Teckos\_Pech](https://forums.eveonline.com/u/Teckos_Pech)\ **Post date:** [September 1, 2020, 6:42am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/46 "2020-09-01T06:42:49Z")
What does velocity have to do with scarcity of a given good? > [@Vixen\_Vix](#): > > The velocity of money can go down if there is a lot of money in economy or the economy is saving. Yes, if the money supply increases then the velocity of ISK, all other things constant, would decrease. However, we also see that produced is also decreasing and that there appears to be a pretty good correlation between produced and velocity. That is, it is a change in the numerator that is driving the velocity more than the denominator. > [@Vixen\_Vix](#): > > If prices go up and velocity is going down we have an inflation: > “In economics, inflation is a general rise in price level relative to available goods resulting in a substantial and continuing drop in purchasing power in an economy over a period of time.” Very good, but in looking at the measures of inflation what do we see? Little to no inflation. > [@Vixen\_Vix](#): > > In both economic crisis (2008-2009) and now covid 2020 the economy was saving thus velocity going down too. Indeed, an exogenous shock (COVID) and a financial crisis both appear to have lead to an increased desire for liquidity. However, there is no COVID in EVE and there doesn’t appear to be a financial crisis (the financial sector in EVE is trivial) so…again it looks like the change in velocity is due to the real side of the economy. ---
**Author:** ![Teckos\_Pech](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/teckos_pech/32/375283_2.png) [@Teckos\_Pech](https://forums.eveonline.com/u/Teckos_Pech)\ **Post date:** [September 1, 2020, 6:43am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/47 "2020-09-01T06:43:24Z")
You mean David Hume? ---
**Author:** ![Solstice\_Projekt](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/solstice_projekt/32/503293_2.png) [@Solstice\_Projekt](https://forums.eveonline.com/u/Solstice_Projekt)\ **Post date:** [September 2, 2020, 10:04pm UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/49 "2020-09-02T22:04:05Z")
Hm. I believe we _still are_ too wealthy, but times are changing. Maybe the “we” part is the problem in my statement, because it doesn’t really define _who_. You make me look deeper into these things and I really appreciate that. : D The graph shows that the velocity of ISK is going down. I’ve cut, stretched and superimposed the money supply graph onto the velocity graph … … to match the different time frames. It’s accurate enough, as can be seen at the bottom. ![image](https://global.discourse-cdn.com/eveonline/original/3X/2/b/2b33ae20850c3171976c9b695a8c6607d9ea1a30.png) Whatever ratio that is … I’m not quite seeing it. I see that at “Lifeblood” there’s a dip on both graphs happening. I can’t make much sense of it, except that “Lifeblood” clearly had an impact … … and Chapter 2 also. Doesn’t seem to correlate to money supply much. > [@Teckos\_Pech](#): > > Very good, but in looking at the measures of inflation what do we see? Little to no inflation. What we have now, in EVE, is a decreasing supply of money … … and a reduction in the amount of goods … … combined with a lowered velocity of isk due to discouraging market changes. We have little to no inflation, because the money supply is decreasing … … combined with the supply of goods decreasing, aka … … there’s less money and less goods, but _demand_ stays roughly the same? Sheesh! It’s much easier to just think “prices go up means inflation”, you know? 😁 ---
**Author:** ![Iceberg\_Ace\_Luffy](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/iceberg_ace_luffy/32/227506_2.png) [@Iceberg\_Ace\_Luffy](https://forums.eveonline.com/u/Iceberg_Ace_Luffy)\ **Post date:** [September 4, 2020, 6:54am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/50 "2020-09-04T06:54:52Z")
Is it possible to get an extracted data table that breaks total trade and production value out by “period” “indexName” “subIndex” “totalValue”? I’m looking to perhaps discover how regions perform compared to each other on a index and subindex category level. Also I just love data haha! Thanks! -Ace ---
**Author:** ![Iceberg\_Ace\_Luffy](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/iceberg_ace_luffy/32/227506_2.png) [@Iceberg\_Ace\_Luffy](https://forums.eveonline.com/u/Iceberg_Ace_Luffy)\ **Post date:** [September 4, 2020, 6:58am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/51 "2020-09-04T06:58:36Z")
Solid move, bringing Fred to the party! ---
**Author:** ![Teckos\_Pech](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/teckos_pech/32/375283_2.png) [@Teckos\_Pech](https://forums.eveonline.com/u/Teckos_Pech)\ **Post date:** [September 7, 2020, 6:50am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/52 "2020-09-07T06:50:17Z")
> [@Solstice\_Projekt](#): > > The graph shows that the velocity of ISK is going down. Yes, and so is produced, which can be thought of as something akin to GDP. So what does that mean? > [@Solstice\_Projekt](#): > > What we have now, in EVE, is a decreasing supply of money … Which also tends to track is deflation, not inflation. And if prices are decreasing or people think they will decrease in the near future they may sit on their ISK waiting for prices to drop. We maybe wealthy…but we aren’t spending that wealth. Why? Because getting more ISK is hard? I don’t think so. For some reason people are sitting on their ISK…could it be the war in the south west? Are players hanging on to ISK to be able to replace ships? IDK…maybe. Is it that the overall CPI has been decreasing and players are hoping to see even lower prices/holding ISK now has a positive rate of return? Both? Something else? I don’t think it is wealth - i.e. too much ISK in one’s wallet. Maybe too much wealth in that players have a plethora of ships and fittings and just don’t feel a need to buy… ---
**Author:** ![Xeux](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/xeux/32/428022_2.png) [@Xeux](https://forums.eveonline.com/u/Xeux)\ **Post date:** [September 7, 2020, 11:04am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/53 "2020-09-07T11:04:36Z")
It would be helpful if we had some idea of what people were buying before. I can imagine that the demand for upwell structures, rorquals, and titans have all dropped considerably in the last year. ---
**Author:** ![CCP\_Dopamine](https://sea1.discourse-cdn.com/eveonline/user_avatar/forums.eveonline.com/ccp_dopamine/32/280835_2.png) [@CCP\_Dopamine](https://forums.eveonline.com/u/CCP_Dopamine)\ **Post date:** [December 6, 2020, 11:04am UTC](https://forums.eveonline.com/t/monthly-economic-report-july-2020/262501/54 "2020-12-06T11:04:42Z")
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