Insurance Fraud - This made me laugh

The Utility Function

This is a cheeky post about the utility function (more below but don't give up read now!).  It uses Eve Online ingame insurance fraud as the example.

In economics the utility function is the measure of satisfaction, pleasure, or benefit that a person gets from using a good or service.

Which is why, in real life, not everyone is trying to make billions or become the great ruler.  Some people are perfectly happy at a low level of wealth or have other pleasures like family.

And this applies to Eve - never forget that not everyone is travelling in the same direction as you!

The background

There is a post on reddit where the OP points to making "easy" isk by mining the ore, building the ship, insuring it and then destroying it.

At least that's how i read it.

So i would guess making more isk from the insurance payment than selling the Ore or selling the Ship (or perhaps quicker isk).

and a helpful image was put up:

So, looks like making 27k isk a shot.

First take

That is a seriously the equivalent of wading through treacle to make a serious small amount of isk.

Time cost of money

Now, don't get me wrong here.

Before i spout out about this being a seriously poor and dull use of time to make isk i have to recognise that this is a sandbox game and caters for everyone of all tastes and desires.  In other words, i have to understand that everyone has a different "utility function", ie the measure of satisfaction, pleasure, or benefit that a person gets from using a good or service.

So a miner, like TheOneAndOnlySidar loves mining, does twitch shows about it and i love watching them.

But the above insurance "fraud" is pushing that, i think.

Sandbox

That said, this is a sandbox.  And if the OP loves doing that then go ahead.  From small things grow great empires.