Zoogster said:As for disposable income being new. That is also perception. People used to be ashamed to have much debt, so the average person didn't owe much. Today it is normal to have long term payments for vehicles, massive long term debt for houses, nevermind credit cards and other debt. Is it really disposable income if they still owe half what thier house costs, but they are spending a fraction of that on guns or tvs or other listed devices?
It would seem that some decades ago people owned thier homes and vehicles a lot faster than they do today on average.
Maybe they were the ones that really had disposable income, it just didn't seem like it because they were spending it in smaller quantities as they made it, but what they did buy was in addition to the big ticket things they actually owned.
+1 I was telling the wife the other day while watching football that I remember watching the NFL back in middle school (about 15 years ago) and there was a lot of ads on for car dealerships talking about how they charged $X over factory invoice. I can't remember the last time I saw a car commercial that stressed price, heck most of the ones I've seen recently were advertising leases, especially the ones for overly expensive companies like Acura.