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Old 1 February 2018, 10:30 AM   #11
JacksonStone
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Join Date: Jul 2011
Location: Oregon
Posts: 5,150
Quote:
Originally Posted by GradyPhilpott View Post
Given the rate of increase in the few years prior to that, it does seem that one is due, but people have been predicting the next price increase regularly for nearly six years now.
Between 2010 and 2012, prices were going crazy (the SS SubC LN went up 16% in less than two years) due to the booming Asian economy and a devalued US dollar. Those increases were out of step with western economies, which had tanked due to the real estate bust in 2008. In other words, global demand had been propped up almost entirely by Asia. By 2012, Asia had cooled off, and the dollar had stabilized, so prices couldn't rightly go up any more at that point. People who were predicting increases may not have been looking at the bigger picture.

At this point, we're due for an increase, not so much because it has been six years since the last one, but because the circumstances indicate it: the US economy has improved enough that it can withstand an increase, particularly with demand here being what it is; the dollar is going down again (although it's not in freefall yet), so prices may need an adjustment to offset that; and demand in China is up again. From a more ground-level view, when was the last time you can remember pre-owned SS sports models listing for more than MSRP?

The only reason I can think of why they wouldn't increase prices is if their analysis suggests we're in a bubble economy due for an imminent correction. That would be a bad time to raise prices on luxury items, and some theorize that's a reason for the decreased production of SS sports models as well. I suspect it's the opposite, though: a price increase is imminent, and the decreased production is either to spur demand to justify the increase, or to make way for new models after Basel.

Time will tell.
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