HappySqurriel said: [SNIP] The housing slump and sub-prime crisis is going to eliminate a lot of home equity (in many cases the house's value will be lower than the mortgage), the Fed will stay at lower interest rates because high inflation is more politically acceptable, and the devaluation of the American dollar will result in 'record' high energy prices which (combined with other inflation) makes the cost of living rise dramatically faster than people's incomes. The overall negative position of the economy over the next 18 to 24 months will greatly reduce people's ability and desire to buy luxury items |
No one has really been mentioning this. One of the few things to sell well during financial downturns is cheap (inexpensive) entertainment. The Wii seems to be positioned well for this. OTOH the housing credit crisis seems to have delayed HOME for another six months.
