Milo
Platinum Member
- Joined
- Aug 7, 2006
- Messages
- 951
- Location
- Preston County, WV
- Tractor
- JD 3520, Ferris Z2100, Kawasaki Mule Pro MX, Honda Pioneer 520
I'd say that your Tractor House example proves the point about the dollar falling.
When you take the same tractor and can use it for a couple of years and after that much more use it takes MORE dollars to buy that tractor then that doesn't mean the tractor's value has somehow gone up. It means that the dollars are worth less.
rScotty
I certainly agree inflation is responsible for some of this but we also have covid shortages severely limiting new inventory which has increased selling prices, and used values follow new. Also contributing to shortages is the demand by many of the credit purchasers since interest is practically zero. If (when?) consumer credit raises to 8+% and the big manufacturers start promoting "7% interest for 6 years" instead of 0%, a lot of people who previously could buy tractor won't be able to, slowing demand.