This uses the rating system used in chess. Read about the Elo system here. This version starts everyone at 1800 and uses a K-factor of 10. Inactive players, those who have not played in 90 days, are put below active players, but keep their rating.
Let's say you have played a four player game. The result is: John:22;Paul:15;Luke:11;Halvard:0 . Paul ended up in second place. In this rating system he has then played three games. He lost against John, but he beat Luke and Halvard. This means as long as you avoid last place you may still gain rating points.
If you play someone rated lower than you you win less points when you win and you lose more points when you lose. The higher your rating gets the better you need to perform to gain further rating points. At around 120 rating points difference you need to win twice as often as you lose just to keep your rating. And the system is logarithmic (360 rating points difference means the higher rated player is expected to win 8 games to every 1 game lost).
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