Are luxury goods getting more expensive, or am I just getting older?

[emma peel]

Is it just me or is the weak dollar making luxury goods, most of which come from europe, more expensive? the inflation seems to have happened over the last few years-- i remember buying, for example, a pair of "luxury" shoes 5 years ago and they would be about 400 max, now it's like 600! Or luxury bags would be like 800 and now it seems that 1300 is the base price... Is it just my flawed memory? whaddya think?

 

[mingminglei]

I don't think there's any doubt that the price of luxury goods has increased within the past few years. But I don't know if it's soley based upon the weakened value of the dollar against the euro. Part of it's inflation and part of it is just ridiculous price markup.

 

[fashionista-ta]

I think a significant factor is the dollar being weak. I remember when the dollar and the Euro were equal ... no more

Of course these luxury companies may also be getting a bit greedy, that could be

 

[joiedemode]

Prices are going up because of the euro and they will most likely not go down. Stores have realized that even with such high prices, clients STILL pay all that money, so why would they make the prices lower again? Part of it is also inflation and another part is probably companies raising prices just to see how high they take it.

 

[ailimeanna]

prices are rising in europe too so it's not all to do with the euro. i think i read something along the lines of the average handbag in selfridges costing more than £800 now when it used to be more like £400-500 a few years ago . i also remember designer shoes being mainly £200-300 (and even some around £150 or so) and now if i find anything i like under £300 it seems like a bargain!

 

[emma peel]

yeah ailimeanna, that seems like the types of increases i've noticed too!

 

[iSpot]

^you're right, when a bag was €800 two years ago, it's now €1200 here in europe. I think it's because of the 'massification' or democratization of luxury brands. Especially with bags because they are the new status symbols. Luxury used to belong to the privileged few, but now everyone can buy it when they save their money so it has to be more exclusive etc (eg. price increase).

 

[ailimeanna]

come to think of it, i think marc jacobs shoes have pretty much doubled in price. i'm sure they used to be mostly £150-200 about five years ago, now you see them over £500 sometimes.

and lv bags used to be about £300 mostly didn't they? in the late 90s i mean..

it gets me really worked up sometimes

 

[SomethingElse]

I think that price is determined by what a person is willing to pay, and more money is being held by fewer people these days.

 

[ailimeanna]

i think i need to become more stingy

 

[emma peel]

I think that price is determined by what a person is willing to pay, and more money is being held by fewer people these days.

i like your class analysis, it's all the hedge fund managers' fault (present company who are members at tfs excluded of course!innocent:

 

[Guessgirl96]

I notice prices are going up too. It's crazy. Although this is an extreme, Chanel bags (and everything? or just bags?) went up at least $500 this year.

 

[softgrey]

I think a significant factor is the dollar being weak. I remember when the dollar and the Euro were equal ... no more

Of course these luxury companies may also be getting a bit greedy, that could be

i think it's the second reason more than the first...
and just inflation...

i never hear that word anymore on the news....
"inflation"...that used to be a term used regularly to describe the rising cost of living when i was younger- probably in the late 70's and 80's...

i wonder why no one uses that word anymore and no one seems to be tracking how much the cost of living is increasing...
or at least not as much in the news media anymore...

i would be really curious to see some cold hard facts...
i'd like to see how much things have increased over the last 5-10 years...
everything in new york city has gone up tremendously...

i think that a studio apt that i used to pay $800/mo for is now going for $1600 10 years later...that is pretty scarey......
and things do not seem to be stabilizing....but rather, going up and up...
this cannot be good...
...

i hate to say it...but i think we are headed for a crash...

 

[just_me]

As it has been written a lot in the press lately the Dow Jones has taken quite a beating the last couple of weeks...question which is being raised at the moment is if its going to be a hard or soft landing for the US.

Yes, prices have risen but people keep buying and something has to go...

 

[emma peel]

like in the 1920s, most people are living on credit and the really wealthy are generating fabulous fortunes to afford the most extravagant goods.

sucks having expensive taste and no fortune! i try not to be to excessive with credit however.

softie, totally agree, inflation is like a dirty word these days, like poverty, class inequality, etc...

everyone wants nice things, but it's just so much harder when you have to afford crazy rent in ny which has practically doubled in 10 years.

 

[Yanka]

i think it's also safe to say that most people who could afford to pay 400$ for a pair of shoes, would be getting more money now thus being able to afford 800$ for shoes. The rich are getting richer, after all, someone must be benifiting from the rising prices.

 

[nextnewface]

Yes, but we are definitely heading for something bad soon. Economically speaking, it's inevitable. Sooner or later, we'll have a crash and a depression, that's just how it works. We've had a steady growth for a long time now (at least in Canada, it's the longest growth period ever), at one point that growth will come to a halt, unfortunately.

Sorry hehe, I take tons of economics classes at Uni

But yes, I'm so shocked with the prices these days. I remember 5 years ago, fashion felt much more affordable to me than it does now

 

[joiedemode]

^I know that we will have another depression...it IS inevitable...but when do you think it will be? That is not exactly my field of expertise

This thread is very depressing...

ALSO do you guys think that if the United States at least gets a new president (NOT A CORRUPT ONE ) then we can reverse all this? Or is it too late to avoid a crash now...

 

[seanutbutter]

I doubt getting a new president, "corrupt" or not, would avoid a crash. A president is not responsible for upcoming depressions; it's a variety of reasons, most stated here.

 

[joiedemode]

Yes I suppose...but I was actually asking if a new president could "fix" the economic problems we have now, which have clearly been caused by a certain war that costs 2 billion dollars a week I guess not though