Sirtaj,
> Baseball cards are an alternative currency based around cards on
> baseball players. They can fluctuate wildly in value, since they have no
> central bank controlling money supply and interest rates. There are
> exchanges and everything, just like bitcoin. They are similar to Magic
> the Gathering cards*, except less fun.
I don't think it's clear that the lack of a central
authority is responsible for the fluctuations in price.
Other causes could be:
o Uncertainty regarding card supply & deman
o Disparities in information regarding buyers & sellers
(effective topological differences open the door wide
for arbitrage, demand elasticity testing, etc).
o Fad-like variations in the appeal of the cards
themselves and/or the trading activity.
Aside: I never got into Magic the Gathering, but many of
the cards did look a lot more interesting than
baseball cards to me too! ;)
Cheers,
-Jon
