@Nevar: Multiplicative would mean that every bonus or debuff becomes a factor, e.g. 20% physical resistance means you apply a factor of 0.8 to the damage received, another 20% resistance, puts you at 0.8*0.8=0.64 and so on. It would work the same for vulnerability with factors bigger than 1. This would make getting 95% resistance a lot harder (e.g. 0.8^6 = 0.26... is still far from 95% resistance) without a single HUGE bonus (even with 52% stoneskin). On the other hand, additional damage to negative resistances would increase quadratically, so this should probably be modified if there are ways to get resistances that low (but I don't think there really are any, apart from casting greasy mist on plants. That would be 2*1.7=3.4 times as much damage with the multiplicative system).
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