Quote:
Originally Posted by vintagetoppsguy
I don’t think people’s discretionary income is lower than it used to be. My discretionary income is still the same. Nowadays I just choose to save more money than I used to and spend less. It’s a personal choice, not a matter of having less to spend. That will change as the economy changes.
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David,
People's discretionary income is way down. For those of us in south Texas is seems like the economy isn't too bad, and it isn't here, but we're the lucky ones. Much of the country is hurting. Families that depend on two incomes are down to one, people are being forced to take pay cuts to keep their jobs, and in some cases people are depending 100% on government benefits to survive. I got a nice raise this year, but I'm sending a good bit of it to my wife's family in Illinois. Some of them have moved here for work.
In my opinion this is the most significant reason that prices are dropping.