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wedrifid comments on Karma Changes - Less Wrong
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That's just considering the effects of you having the awesome exponential downvote power. Would LW look much different if everyone had it?
It seems to me that the current system works pretty well. In general, posts at -2 aren't worth reading, and there isn't much drama associated with downvoting.
I was considering the general case. It is definitely hard to predict what the outcome would be. My hunch - once people adapted it would barely make any difference.