Cruising Sailors Forum Archive

Supply, Demand and 'disposable income'

My conjecture for the pricing differences is simple supply-demand vs. the drastic reduction in available 'disposable income' as has been greatly reduced by INFLATION. Also too there is a dramatic lowering of consumer confidence (9+% reported unemployment / ~17% 'actual' unemployment) with the present economy adding to the consumer withholding (saving for a rainy day) of disposable income.
The current government inflation rates arent the same as in the past but now have the inflation rates due to increased food and fuel costs OMITTED; the government reports 3% inflation and the actual (based on inflation including food/fuel/energy) is approaching 10% .... and consumers can FEEL this inflation drain; hence, increasing the lack of confidence. Consumer confidence is what drives the USA economy.

So, if you own a boat, or other 'tangibles', you'll have to 'hold-on' until consumer confidence (the economy) gets back to 'normal' .... probably in 10+ years if you want to 'recover' your initial investment ... and thats if the govt. doesnt totally collapse/default in the meantime.

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