Valve Software's popular game Counter-Strike: Source uses prices to balance more and less desirable pieces of equipment purchased by players. Because scarcity in the game is only an illusion, a price adjustment algorithm was implemented to simulate a global weapons market. This simulated market mechanism, its operation, history, and results are examined. In an attempt to better understand what is going on, particularly in regards to how the mechanism produces undesirable results, simple simulations are conducted. Some changes are proposed that may improve the behavior of prices over time.It's currently a working paper. If anyone has an idea for a journal to which it could be submitted, let me know. It's a strange paper; I'm not sure where it would fit in.
Updated: The first time I tried to post this Chrome froze up. The second time I forgot to link to the paper! A link is now available above.