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It's hard to say ...

Over the past 6 years we have seen very unusual buying habits from people because of a combination of record low interest rates, record high housing prices, easy to access credit and the spread of home equity loans. Essentially, people tapped into their home equity (typically a non-liquid asset) to increase their spending faster than their income was increasing. Essentially, we have been in a period where people have lived above their means.

Personally, I expect that we are currently seeing the begining of a correction although I'm uncertain what the form of the correction will be; it could be inflationary where the cost of everything (except assets) raises at a rate faster than your income, or deflationary where people lose money and the value of assets drops, and it could be a quick and painful correction or a long term soft landing. As a result people are going to be far less focused on buying gadgets to "keep up with the Jones'" and far more likely to be conserned with "Making end's meat".

Basically, I expect the rate of HDTV adoption to slow to the rate of people replacing their existing TVs which will result in HDTV becomming the "Standard" in 2011 or later.