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What is "Luxury Good"?
A nonessential good/item which people tend only to buy (and buy more of) if they can afford basic necessity goods and expenses.
Good Types and Elasticity Diagram
In economics, a luxury good is something which is demanded more by a consumer as their income increases. Generally, consumers do not invest in luxury goods unless they can afford necessity goods.
In games, luxury goods may include purely cosmetic items that don't confer gameplay advantages. Where the player has a choice of buying cosmetics or necessity items (e.g. medkits or repair kits), we would expect them to only purchase the former if they have enough currency to first buy the latter.
Some goods can be totally substituted for luxury goods once the player's income is sufficient. For instance, once players can afford higher-level gear (a luxury good), they may stop buying low-level gear (an inferior good).
Understanding what items can be considered luxury goods and inferior goods, and under what conditions, can help designers anticipate the shifts in players' behaviour as they progress through the game.
Level Up Your Game Design – The Key Tool for Game Design Success
Machinations is a dynamic platform that serves as a hub for game designers, strategists, and simulation enthusiasts alike. With an intuitive interface and powerful simulation engine, you can visualize, prototype, and refine game mechanics with unparalleled ease.
Whether you’re an indie designer striving to create captivating gameplay experiences or a seasoned professional seeking to optimize player engagement, Machinations provides the tools and resources necessary to bring your vision to life. From visualizing complex systems to simulating player behavior, Machinations empowers you to experiment, iterate, and craft compelling interactive experiences.
