Hi Thanks for reply. On Mon, Jul 9, 2012 at 5:30 PM, Nigel Titley <nigel@titley.com> wrote:
Hi Nigel, E-board& TF,
Thanks for the update.
I'm real happy to see some kind of normalization in the fees and agree that most of the LIR's would probably normalize into the Regular category.
Question that I have is what would be the criteria between changing from / to Small, Regular or Large. Is it only based on self-selection and peer review or could someone be somewhat pushed into the right bucket? For the first year it will be derived from your existing category, after
On 09/07/2012 15:52, Erik Bais wrote: that it is self selection.
What would happen for instance if everyone (apart from a few) would select Small for instance? I understand that it is noble to think that everyone would select their own correct bucket ... but what if they don't?
If they don't (and if everyone chooses Small for example) then the charge is equal for everyone. "Real" Small members will end up paying more than they should, "Real" Large members will end up paying less and the majority of regular members will end up paying roughly what they would be anyway.
Sounds to me it will end up that way, Moral hazard will come into play. But if it ends up this way, why would we need this long paper anyway, because we can replace it by one line. equally divided by member numbers. If in term of pure cost assumption, this proposal with single line should get passed.(people paying average fee will not object, and the large guys will support it, and only small guys will object it in which they will become minority in this case). If the entire charging proposal end up simply with this single line...I don't know if this will be good for all.
Nigel
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