Quote:
Originally Posted by DonVoigt
Then how do you explain used cars with prices of $10k, or 20k, or even 40k?
$5k is not "a lot" for a used car; just a lot for some used cars! 
$8k IS a lot for a pistol over 100 years old!  |
If you notice the common ground of many expensive items on market -- almost all of them bear this property -- it has no use in daily life. No matter it's an antique car or an antique gun or an antique gold coin, etc. Those are useless things in life, looking-only items.. Useful items are usually cheap. But, are these really looking only? They bear another property though, or, at least, people think they bear another property.
There is no need to dig out the value basis of these things. People treats them as value store. $5k AE Luger has certain value-store property. Without this property, it's just a piece of iron, $300 a ton.
Of course,
there is no need to trade $5k cash with a $5k value store unless you have great interest in that item and you're in certain age range. Keep $5k value in cash is not a bad choice in low inflation environment.