Goblin Squad Member
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...flight and teleportation will be available at some point...It shouldn't be there for everybody right off the bat. But it should be available to high power spellcasters...Which means pretty much everyone after some time and this is why such a system doesn't work.
Simply attacking players isn't going to get you much, and is really only satisfying to those who simply wish to kill other players for no good reason, aka, griefers.
It's attacking groups transporting goods that gets you the money, and it's easy to say that you can teleport(for a high cost) but you can't telleport more than you can carry, and the good that bring in the big bucks should be WAY more than you can carry, thus requiring some sort of high storage capacity vehicle you must transport.
Those problems are already adressed in the Pen&Paper spells mentioned. You usually can't bring more than what you can carry easily, be it by teleportation for flying. Of course, small items can be very precious anyways. Personally I did enjoy the mechanics in EQ a lot, where you used to be very dependent on other players if you wished to travel quickly. I wouldn't mind paying higher level spellcasters quite a sum to get me somewhere quick and safe. Also, such transportation needn't be without costy components either...
As for the flying... weather effects were mentioned. Could be fun to fly into a thunderstorm. You might still be forced to walk after all. :)