$750 Vs $40K

[landroverking]

Couldn't sleep....Thought back to 1973 when I first laid eyes on a gold GMT(14Kt) I think. price in the window was $750 in Austin Texas, that same year a price a new Chevy truck for $4080. Today the GMT sells for $20K plus and the Chevy truck for $40k plus. Should they not be both about ten times the 1973 price? Please let me know your thoughts on why and how much Rolex prices have gone up compared to the price of your car or truck.

[Solo118]

That watch would be about $4k today

Here's an easy calculator to boggle your mind further. It is crazy indeed but then again Gold is over $1,600 today
http://www.dollartimes.com/calculators/inflation.htm

[2th Dr]

Well, in the early 60's my dad bought a new Omega, solid gold for $20 at the PX in Germany. What would that watch be worth today? The 63 gold-filled Omega I recently bought cost me around $1000. C'est la vie.

[slcbbrown]

Bought my root beer GMT in 73 in the PX system for $220, without bracelet. Gold was $35 per ounce, and I believe they deregulated the price of gold in the US right after that. I could have had a Sub with bracelet for the same $220. MSRP was $440.

[dysondiver]

the rolex probably still runs.

[sierra11b]

Although I am younger than most you past PXers here I kick myself for not at least snagging a couple Speedys when I could have at a steal through the PX.

But yeah, the price for luxury is insane these days.

[MoBe]

Inflation,gold price and demand are the three main factors responsible for the increase in price.

[sierra11b]

I think the demand for a luxury item along with Rolex marketing FAR outweighs inflation and gold price.

[gwalker]

Well it's how it goes. Things nowadays are more than ever. The dollar is so weak it can barely buy a pack of gum. Heck my last Chevy truck I got a year or two ago had a sticker of $60k for a pickup. My neighbor just picked up a F250 that had a sticker of over $70k. At least a gold Rolex will be worth something in 15 years. I remember when I saw the first flat panel TV. $15k now it's not even worth a few hundred. It's just how the cycle goes. IMO if something doesn't change soon we are headed for a bigger crash than 08. Stuff can't keep going up like it does when the avg salary is staying the same or going the other way. Not even going to talk about the govt wasting money I don't know how in other countries anything gets done with the rampant gas prices. Someone needs to get all of this under control especially the inflation. That's the real issue IMO.

[Paladin]

Originally Posted by MoBe

Inflation,gold price and demand are the three main factors responsible for the increase in price.

+1 it's not a simple straight line inflation calculation. Its a very complex simaltanious equation calculation requiring a wide variety of inputs depending on the consumer item being examined.

Other things to be considered are market competition, technology advances in manufacturing processes as well as governmental intervention.

[WhatTheDeuce]

How about the price of a Mercedes, Porsche, Ferrari, Lamborgini, etc. in that same timeframe? Would be curious to see the difference between "regular" cars vs. "luxury" cars. I suspect these would have gone up at a higher rate than a Chevy.

[FeelingTheBlues]

I bought myself a nice two-tone gold bracelet 7 years ago for about 280$. Today this very bracelet (if not smaller) can be sold up to 1 200$ in a jewelry store.

Inflation and gold prices sure "helped" this to happen but I understand what you mean...

[floater156]

Originally Posted by gwalker

Well it's how it goes. Things nowadays are more than ever. The dollar is so weak it can barely buy a pack of gum. Heck my last Chevy truck I got a year or two ago had a sticker of $60k for a pickup. My neighbor just picked up a F250 that had a sticker of over $70k. At least a gold Rolex will be worth something in 15 years. I remember when I saw the first flat panel TV. $15k now it's not even worth a few hundred. It's just how the cycle goes. IMO if something doesn't change soon we are headed for a bigger crash than 08. Stuff can't keep going up like it does when the avg salary is staying the same or going the other way. Not even going to talk about the govt wasting money I don't know how in other countries anything gets done with the rampant gas prices. Someone needs to get all of this under control especially the inflation. That's the real issue IMO.

Venezuela's gas prices are approximately $0.11 per gallon! Got to love government gas subsidies!

[2th Dr]

Originally Posted by WhatTheDeuce

How about the price of a Mercedes, Porsche, Ferrari, Lamborgini, etc. in that same timeframe? Would be curious to see the difference between "regular" cars vs. "luxury" cars. I suspect these would have gone up at a higher rate than a Chevy.

Lets see, my dad bought a new Volvo in 1972 for around $4000. What's a new Volvo start at today? 10X that I would imagine.

[petesjag]

My dad bought his sport Jaguar in 1961 for $1800. Its worth a little more now :) A similar model now would set you back some serious cash, $80+

[gregmoeck]

look at the price of a 911 in 1985 vs the price now!

I dont see how the average worker in america is going to keep up, most people get 4% a year increase at best. The price of gas, cars, tuition, food, plane tickets, hotel rooms are all going crazy.

I bet student loan defaults, medical bill defaults and credit card defaults will be the next big hit on the economy. What did everyone do after they lost their jobs... went back to school taking out massive student loans.