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RV's as an economic indicator


Ray,IN

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The marine industry had a good Fall boat show sales season. Most orders taken since 2008. The Miami International Boat show and the New York show are this month and next. It will be interesting to see if the trend continues.

Water sports are at the bottom end of the recreation spending chain, so if they are moving up then the mood of the people with a little reserve cash is improving.

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Causative factor and what I believe is really driving the economy at this time is energy prices. Once the higher fuel tax models were rejected and the price structure stabilized we saw recovery. While there have been a few slow downs or stutters, they have been more than compensated for with the projections on reserves.

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Causative factor and what I believe is really driving the economy at this time is energy prices. Once the higher fuel tax models were rejected and the price structure stabilized we saw recovery. While there have been a few slow downs or stutters, they have been more than compensated for with the projections on reserves.

Well, Indiana may put a damper on that for residents. State government is considering raising road tax by 8-12 cents/gallon.

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I wouldn't get too excited about the numbers. Keep in mind that the industry was not too healthy after 2005. In reality the climb is more about recovery rather than new business. And who's figures are they? Build figures? Sales to dealers? Registration numbers? And listening to a manufacturer marketing manager would be like believing everything an RV salesman told you.

 

Let's see the figures when fuel gets back to $4.00. And it will.

 

Am I negative? Yes.

 

Also keep in mind that it is possible that new sales in RVs may be a result of folks not being able to afford sticks and bricks and are buying RVs as a 'cheap' housing option. So in reality they may be built as RVs but used as housing.

 

Get two economists in a room and let them 'debate' the figures.

 

regards

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