is it not a tad too simplified to suggest that inflation is the only reason
why a price go up, or should go up?

Increase in costs will drive up prices too. In footballing terms look at the
salaries of players.. there is plenty evidence suggesting
that some clubs spend too much of their "GDP" on player salaries only.
Portsmouth went down because they spent more
than 100% of their income on players only. I forget how much, I think it was
around 120%. there are other costs involved as well of course, plenty I
suspect.

In the end of the day the big one is demand and supply. If we didnt go to
games prices would drop..

On Thu, Aug 18, 2011 at 9:32 PM, Nigel Sykes <[email protected]> wrote:

> > Sarge asked:
> > Inflation is only 77% in the last 20 years - are they sure ?
> >
> > So a house that cost £10,000 is now available for £17,700 ?
> > A new car that cost £2000 is now  £3440 ?
>
> Don't know about 1991, but I have a benchmark for 1995 that could be
> used...
>
> In 1995, a new Fiat Cinquecento Sporting was £7,000
> Today, a new Fiat 500 in similar spec is around £12,000
>
> That's about 71% extra in 16 years, so 77% in 20 isn't too outrageous (on
> this admittedly tiny sample!)
>
> Nigel
>
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