Key Points of Game Economic System Design

The economic system in game design plays an important role, not only limiting certain aspects of the gaming experience but also supporting character development, rewarding players, promoting social interaction, and introducing difficult choices. However, designing an efficient economic system is a daunting task. This article will introduce the basics of economic systems from the perspective of game design and explore some potentially useful tools, techniques, and design points to help designers create better economic systems.

What is an Economic System

The economic system in the game is similar to the supply and demand market in real life, centered around currency and resources. Some game economic systems are very complex, and the benefits of these economic systems include the distribution of power, support for specialization, and facilitation of player interaction and role-playing. However, not every game requires the same depth and complexity of economic systems. Currency and resources are core components of various economic systems.

Currency and Resources

In simple terms, currency is a conventionally accepted medium of exchange used to purchase goods or services. The key is "exchange". However, in games, what is referred to as currency is not always real money, but rather resources used to gain extra lives or protections. The essence of currency is not related to its rarity or value, but to its function as a medium of exchange. Currency usually has multiple uses, but it can also have limited purposes. Resources play a key role in the currency system, while currency acts as a bridge connecting different parts of the player experience. At the same time, resources can exist completely independently of currency, or they can function as currency. Resources have inherent value, which is often conferred through conversion into currency. Although currency and resources are often viewed as the same concept in game design, distinguishing between them can lead to a better understanding of their relationship, thereby creating more robust systems.

Source and Consumption

Essentially, these two terms are very straightforward: income is the means of acquiring currency, such as selling items, opening treasure chests, or defeating enemies, while expenditure is the way of spending currency, such as purchasing items, dying, or repairing and upgrading equipment.

Economic designers need to pay attention to two important aspects of these resource sources and consumption: how many sources and consumption points each currency will have, and the balance between these sources and consumption, which we refer to as "generosity."

Source and consumption quantity

In the game, there are no strict regulations on the number of sources and consumption points. There can be multiple sources funneling into a single consumption point, or just one source. The required sources and consumption points for each currency depend on the game's system and the expected player experience. Multiple ways to obtain currency can encourage players to freely choose and express their individuality. If the game encourages participation in a specific system or rewards certain actions, designing a dedicated currency will immediately motivate players.

Having multiple consumption points provides players with meaningful choices and priorities, while having only one consumption point focuses player actions and gameplay on a single, unmissable goal.

Generosity

Generosity is crucial to player engagement in the economic system, depending on the balance between sources and consumption points. Excessive generosity may lead to players losing interest, while insufficient generosity may cause players to abandon the game. Balance is key.

Excessive generosity may yield short-term benefits, but in the long run, it can lead to disaster, weaken the game system and affect player motivation. Both extremes can cause players to leave the game. Therefore, finding the right level of generosity is crucial to maintaining player interest and engagement.

Trying two extremes at different stages of player experience is a feasible suggestion. At the beginning of the game, excessive generosity can give players a strong sense of control and progress, attracting them to keep playing. As the game progresses, players' desires and needs become more specific and explicit. In this shift, reducing sources and increasing consumption will better meet these desires, improving player retention and their demand for mastery of the game.

Economic Pillar

Before designing an economic system, it is crucial to determine the application areas of the currency, rather than merely listing different game systems. Instead, we should consider how to enhance aspects or pillars within the game through the economic system and whether there are connections between them. For example, the exploration pillar can be achieved by rewarding players for discovering scarce resources in the region. The cooperation/social pillar can be strengthened by circulating and appreciating currency among players, used for purchasing community goods to enhance collaboration and interaction. The endgame phase can offer a new concluding experience by unlocking unique shops and upgrades through micro-currencies obtained after defeating the game's ultimate challenges. In the design process, we can prioritize these ideas based on the importance and connection of the pillars.

Currency Quantity

When designing a game economy system, determining the required amount of currency is a complex issue with no definitive answer. One extreme is to have only one currency associated with all systems, which may lead players to lose the sense of game limitations. The other extreme is to have several types of currency, with each micro-system having its own currency, but this may undermine player agency and the coherence of the game.

A good design should find the right point in balance. For example, "Hades" divides currency into three main pillars, each with its own source and consumption. This design aligns with the core mechanics of Rogue-Like games, providing a foundation for an efficient game loop, encouraging players to try again, and offering the best gaming experience.

Therefore, designers need to comprehensively consider factors such as game type, player motivation, and system interaction to find a suitable economic system balance point for the game.

Currency Semantics

For each currency, list the relevant verbs as follows:

Coins: Plunder/Sell/Buy/Repair/Earn/Obtain Diamond: Discover/Exchange/Reward/Steal/Protect Iron Ore: Smelting/Trading/Negotiation/Bargaining/Upgrading

This approach can highlight the interactions between different currencies and help you focus on specific currencies, allowing you to delete or create new ones. At the same time, it will also bring new system ideas that may not have been considered before, further enhancing the gaming experience.

Player Value and Evolution

Before concluding the discussion on currency, there is one last aspect to talk about: the changing value of currency over time. This does not refer to the game's value, but rather the value to the players: the value of the game's currency in the eyes of the players and how it changes over time.

In simple terms, this value will fluctuate continuously in the player's gaming experience and progress. Here are two fairly common examples.

In games, there is usually a form of soft currency, such as gold coins, that serves as the primary currency. In the initial stages, gold coins are the most valuable resource, and players can use them to purchase almost anything. However, as time goes on, players become increasingly wealthy, the available items to purchase decrease, and the value of the currency gradually declines. Eventually, players reach a state where gold coins lose their value to them, and the related systems also gradually disappear. This is a common situation in many games.

In the final stages of the game, there exists a currency that has no use for players at the beginning of their journey. However, as players approach the end of the game, they gradually become aware of the existence of this currency and begin to recognize its importance and the increase in value! Ultimately, when the game system associated with this currency is truly opened, it will become one of the most valuable currencies, serving as one of the main driving forces in players' gaming experience!

Inflation, Deflation, and Destructive Economy

When discussing economic systems, a concerning term often comes up: inflation. It is generally believed to be the worst thing in the economy, and efforts are made to avoid it. However, the reality is much more complicated.

Inflation and deflation are two sides of the same coin, closely related to supply and demand, directly impacting the purchasing power of currency. In the real-world economy, there is a high sensitivity to these values, and central banks take active measures to control them. However, simply transferring real-world models and solutions into games is not suitable because virtual economies are often too simplified to sustain themselves in the long term.

Taking "Diablo II" as an example, the game revolves around a type of currency: gold coins. Unlike the real economy, players can continuously create gold coins, obtained from defeating monsters or opening chests. In multiplayer games, players accumulate a large amount of gold coins, causing them to lose value, making it impossible to purchase high-level items, and there is no alternative currency in the game to solve this problem. Therefore, players began to engage in barter, forming a commodity currency based on the "Stone of Jordan," which became the rarest and most valuable ring. This created a player-driven secondary economic system.

The economy in the game is influenced by the game mechanics. As the prices of items in the shop remain unchanged, they almost become free, and the currency devalues to zero, rendering parts of the game progression and core loop irrelevant.

World of Warcraft takes an interesting approach by rebalancing the economy with each new expansion release. The introduction of expensive new items incentivizes wealthy players and rebalances the entire economy, increasing ways to earn gold to ensure new players can participate. However, this practice also has obvious downsides: gold depreciation leads to players losing significant wealth, and player engagement may decline from one expansion to another.

Protective Measures and Currency Protection

Here are several ways to alleviate issues in the game economy:

• Remove multi-user sharing components or tax them: one of the direct and effective methods. Maintaining player-centered currency flow can better control growth and usage.
• Increase and specialize currencies: Introduce different types of currencies to reduce their influence, in order to better control and protect the economic system.
• Destructive Transactions: By establishing a system for destroying excess currency, offsetting the constantly generated currency by players.
• Maintenance System: Players are required to pay fees for the items they own, such as apartment taxes, weapon repair costs, and guild taxes. This method is efficient and can be adjusted based on players' wealth levels to control the circulation of currency, but it may also be seen as a constraint by players.
• Wallet restrictions: Limit the amount of currency that players can carry and store, forcing them to spend in order to continue earning more. By combining currency consumption mechanisms, a secure economic foundation can be established, but this may also be viewed as an artificial limitation.
• Economic Rebalancing: Adjusting the economic system to rebalance resources and consumption, in order to keep player currency within acceptable limits. This approach is efficient, but may make the most loyal players feel deceived.

![Game Section: Economic System Design