other than the fact that people convert when SBD is <= $1.00 and they don't when it is above.

I don't know why you are being so flippant, that "other than" is a major source of inflation in Hive and Steem historically. When the price of HBD is below $1 AND the price of Hive is below the average rate at which the HBD was created - the virtual supply expands at the same time that conversions happen. This has been the cause of Steem and Hive inflation being in the range of 15-20% per year instead of as it is supposed to be below 9%.

Inflation has been a major problem in Steem and Hive. Right now times are good and inflation is low/reversed, but after created all this extra HBD to create selling pressure, witnesses and the ecosystem should be prepared to mitigate the inflation that will arise in a bear market as we have seen repeatedly in Steem/Hive history.