Johnathan S. Fox creates a model by which to examine the 'value' of items, compared to the 'effort' needed to gain the item in question. He looks at the ratio of cost to utility, and states that players will be more likely to get an item that has the better ratio. Johnatan S. Fox then talks about how this affects MMORPGs:
If you divide utility by cost, you get a general rating for how awesome an object or strategy is, and how willing a player will be to get it.
It might seem like a perfectly balanced game would have all of its objects have the same utility to cost ratio, but this is not necessarily true. MMORPGs often rate their equipment in rarity tiers, where higher rarity items have both higher costs and higher utility — but the opportunity cost in lost utility from using a lower rarity item instead of a higher rarity one is so high that medium to high rarity items almost always win out as the superior strategy. A game like World of Warcraft manipulates this over time by shifting the dominant rarity across levels, so that low level players will tend to play with low rarity items, while high level players will be decked out with high rarity items. This adds to the sense of progress and accomplishment in the game as players exceed the base performance of their level more and more the longer they play.
...I wonder if this utility to cost ratio could be abused for Single Player games too.
In MMORPGs, it is necessary to have a sense of progression so as to urge people to continue on the treadmill. But in single player games, once a person bought the game, it is unimportant to encourage people to go on the treadmill. Thus, what works for MMORPGs does not necessarily work for single-player games.
If the goal of a SP game is to produce the most utility (and it does not have to have such a goal, granted), then cost is counterproductive. Cost reduce the amount of utility that can be acquired. Sure, you got the +5 Sword of Slashing, but you spent an hour of your time getting that item. An hour that would never be gotten back.
Thus, why would one have the Player pay any Cost whatsoever? Give the player all the Items he wants. The player gets all the Utility from the Items, and do not have to pay any Cost.
Alternatively, if your game is lineral, a less radical course of action would be giving the player the Items they need when they reach certain parts of the game. Players will have to pay a Cost...but the Cost is the Time Investment needed to play through the game. Essentially, it would be the same as if the Players had paid no cost whatsoever for the Item, since they have to play the game anyway to get it. So, again, it is zero cost, lots of utility.
However, there does seem to be a problem I realize with this idea: If you provide something without cost, people will not "appericate" it. It's only when you 'work' for it, and pay a Cost for it, then that Item actually become useful. I think it is important to formulate this concern in economic discourse.
There are items that I would like to call, for lack of a better word,
"Luxury Goods". The higher the Cost of a Luxury Good, the more demand there is for that Good. The reason is simple: If you manage to acquire the good, then you must have enough Time Investment in order to get the good. Therefore, the Luxury Good is a status symbol, and could be used for "bragging rights". Thus, developers are tempted to create goods that have high Time Investment. The end result is higher difficulty levels, finally culiminating in punishing games like "I Wanna Be The Guy", where the main reason these games are popular is due to the belief that anybody who can beat that game can get "bragging rights". If we assume Time=Money, then the more Time a person has, then the more demand for Luxury Goods.
At the same time, there are
Inferior Goods. The lower the Cost of the Inferior Good, the less demand there is for that Good. That's because of the preception that, if anybody can do it, then it isn't really important at all. It has no "bragging rights" whatsoever. The more Time a person has, the less demand there would be for Inferior Goods, and the player will instead play normal games or Luxury Goods.
Basically: Inferior Goods=Super Easy Carebear Mode (possibly even Casual Games). Luxury Good=Super Hard "Hardcore" Mode. And the argument for having Costs is to prevent the goods from being seen as an "Inferior Goods", which will only be played by people with only a little bit of Time, and will be abanonded by people who have more Time.
Yet, Time is different from Money. It isn't like Money where, if you spend it, you can acquire some more money. Once you spend Time, you lose that Time forever, and you can't regain the Time that you wasted. The concept of "bragging rights" does not apply for single-player games too, since the only person the game will entertain is the player itself. Cost
does decrease utility, and I do not know how much Cost is needed before "Bragging Rights" can be acquired...and if the Higher Cost would be worth the possible increase in Bragging Rights.
I do still think that the concept of reducing or even getting rid of Costs for Items entirely is the best way of increasing Utility for single-player games. But I am open to any other arguments.