Firearms and InFlation

[tizzo]

One example....I bought a brand spanking new Colt series 70 1911 (5" government model) in nickle finish for $399.95 way back in 1980, What's it worth today? I don't know but similar NEW Colt 1911's are going for over $1000 retail. Better yet, that same day in 1980 I bought a Colt S.A.A for the same $399.95....those are topping $1100 new today. Of course, had I invested that $399.99 in Microsoft back in 1980, well...let's just say that I would have been able to buy several DOZEN new Colts today with those stock gains!

With your example, wouldn't that mean guns are keeping up on inflation? $399.95 back in 1980 is equal to $1,142.90 today. Assuming the calculator is accurate, of course.

http://www.dollartimes.com/calculators/inflation.htm

[DeanC]

With your example, wouldn't that mean guns are keeping up on inflation?

Just barely. That also implies you haven't shot it and it is still in 100% NIB condition. Where's the fun in that?

[Snakeman721]

With your example, wouldn't that mean guns are keeping up on inflation?

Just barely. That also implies you haven't shot it and it is still in 100% NIB condition. Where's the fun in that?

Very true. But I have other guns I shoot. My problem is finding free time to do so....lol.

[Scott Notaeh]

With your example, wouldn't that mean guns are keeping up on inflation?

Just barely. That also implies you haven't shot it and it is still in 100% NIB condition. Where's the fun in that?

Dean,

If you believe in the inflationary reaction to the O-Bush-ma Keynesian stimulus projects, wouldn't you be happy with just barely keeping up with inflation? Plus there will be huge potential upside when when the next socialist takes over from Obama in 2016 (Bernie Sanders?) and promptly bans the new production or importation of any evil guns.

[DeanC]

With your example, wouldn't that mean guns are keeping up on inflation?

Just barely. That also implies you haven't shot it and it is still in 100% NIB condition. Where's the fun in that?

Dean,

If you believe in the inflationary reaction to the O-Bush-ma Keynesian stimulus projects, wouldn't you be happy with just barely keeping up with inflation? Plus there will be huge potential upside when when the next socialist takes over from Obama in 2016 (Bernie Sanders?) and promptly bans the new production or importation of any evil guns.

On a regular investment, yes. With a gun, though, you can't shoot it or barely touch it. And to realize the gain, you have to sell it. I'm just not that ascetic when it comes to firearms. I have to play with them and I never want to part with them.

[Scott Notaeh]

On a regular investment, yes. With a gun, though, you can't shoot it or barely touch it. And to realize the gain, you have to sell it. I'm just not that ascetic when it comes to firearms. I have to play with them and I never want to part with them.

Sell a gun? No way. You are right. This won't work.

[gjlog]

So to recap, if you buy a collector gun, it might increase in value at the same rate as inflation, but you'll have a hard time finding a buyer. If you buy a crappy gun, it won't increase in value and you probably won't find a buyer anyway. If you buy a decent gun, it might retain its value as the dollar deflates.

I think I asked the wrong question from the start, so I'll try it again. Let me "tee it up first".

Suppose you have $500 dollars in today's currency.

Option 1: Leaving it in the bank means that it will lose at least 30% value in the next decade, probably more given our deficit and debt.
Option 2: If you put it in the stock market, you are taking a ride without knowing the desination.
Option 3: Spend it now on food, drink, tv's, appliances and get $500 value on stuff that will be gone in days or weeks if not years.
Option 4: Buy gold or silver at prices that are high to say the least and could crash any day--as they did after Carter.
Option 4: Buy decent guns. They will still be there 10 years from now. People will still want them as much as they want any machine.
Option 5: ?

What can we do with money today so that it keeps the same or better purchasing power under these conditions?

[Snakeman721]

So to recap, if you buy a collector gun, it might increase in value at the same rate as inflation, but you'll have a hard time finding a buyer. If you buy a crappy gun, it won't increase in value and you probably won't find a buyer anyway. If you buy a decent gun, it might retain its value as the dollar deflates.

I think I asked the wrong question from the start, so I'll try it again. Let me "tee it up first".

Suppose you have $500 dollars in today's currency.

Option 1: Leaving it in the bank means that it will lose at least 30% value in the next decade, probably more given our deficit and debt.
Option 2: If you put it in the stock market, you are taking a ride without knowing the desination.
Option 3: Spend it now on food, drink, tv's, appliances and get $500 value on stuff that will be gone in days or weeks if not years.
Option 4: Buy gold or silver at prices that are high to say the least and could crash any day--as they did after Carter.
Option 4: Buy decent guns. They will still be there 10 years from now. People will still want them as much as they want any machine.
Option 5: ?




What can we do with money today so that it keeps the same or better purchasing power under these conditions?

Who can argue with this logic? What? You're still on the computer? Well, get out there and INVEST some money in quality firearms!!!

[Angel Eyes]

The gun shops have been selling an awful lot of Taurus' !! Not to knock Taurus, Iactually like them but 20-25 years ago every serious gun enthusiast bought only brand names. I will say that $600 + for a S&W model 10 is a bit ridiculous ! I remember when they sold for $359 ! Unusually Glocks areen't too much higher than when first introduced. Everything else however including ammo is beginning to become out of reach for many folks these days. There's not too many people going out and buying Sigs, H&K's, Kimbers, and Colts anymore ! Glock, Springfield XD/XDM, Taurus, and S&W are the main sellers these days, and for good reason, they are good guns that are affordable. If the prices were like 20 years ago my collection would be double right now !

[Snakeman721]

The gun shops have been selling an awful lot of Taurus' !! Not to knock Taurus, Iactually like them but 20-25 years ago every serious gun enthusiast bought only brand names. I will say that $600 + for a S&W model 10 is a bit ridiculous ! I remember when they sold for $359 ! Unusually Glocks areen't too much higher than when first introduced. Everything else however including ammo is beginning to become out of reach for many folks these days. There's not too many people going out and buying Sigs, H&K's, Kimbers, and Colts anymore ! Glock, Springfield XD/XDM, Taurus, and S&W are the main sellers these days, and for good reason, they are good guns that are affordable. If the prices were like 20 years ago my collection would be double right now !

Generally speaking, it's much cheaper to produce a polymer gun than an all steel one....especially a quality steel gun with tight tolerances and a smooth action.