Price Increase

[float5]

Originally Posted by steve dunham

The exchange rate on Oct 1st ,2015 was $1 US =$1.33 CAN
The exchange rate on Jan 31st ,2016 was $1 US= $1.40 CAN
The percentage of change = approx 5% in favor of the US Dollar
The 21 ft escape went from $27,800 to $31,800 an increase of almost 15%
$27,800 CAN at the 10/1/2015 exchange rate =$20,900 US
$31,800 CAN at the 1/31/2016 exchange rate =$22,715 US
A cost difference of $1815
The increase in the exchange rate is not enough to cover the price increase.
The notion that an increase in the base price made the trailer cheaper to purchase is wishful thinking in my book.

You are not going back a year, much less two, but only four months. Ruth and I are looking at the prices year to year and Escapes are now a better deal than in several years for Americans. You could just as well look at the price ten days ago and the price the day after it changed and say that it is up. But not with the change in the dollar over the year.

It is still a better deal for Americans than last year, is it not? When our 2011 19' was bought, it cost more than the price in Canadian dollars. The dollar advantage today for Americans is phenomenal. It is the Canadians who are paying a price increase. Americans have a decrease, and a big one. Most are saving several thousand dollars over the Canadian price.

[Mary F]

Once I realized a new, fully optioned 17 ft. Casita would run me about $22k (IF I wanted one), the price of the 21 ft. Escape became more attractive.

[rbryan4]

Originally Posted by steve dunham

The exchange rate on Oct 1st ,2015 was $1 US =$1.33 CAN
The exchange rate on Jan 31st ,2016 was $1 US= $1.40 CAN
The percentage of change = approx 5% in favor of the US Dollar
The 21 ft escape went from $27,800 to $31,800 an increase of almost 15%
$27,800 CAN at the 10/1/2015 exchange rate =$20,900 US
$31,800 CAN at the 1/31/2016 exchange rate =$22,715 US
A cost difference of $1815
The increase in the exchange rate is not enough to cover the price increase.
The notion that an increase in the base price made the trailer cheaper to purchase is wishful thinking in my book.

Depends on when you purchased. Our rate meant a base price of $25,500 CAD equaled $21136.95 USD at the time when the funds were converted in early 2015.

With the increase to $30,300 CAD base price, and using a rate from January 19th of this year, that comes to $20813.07 USD, which means even with the price increase, the trailer would have been slightly cheaper. The price increase may not be enough to cover the increase on any given day, but there's alot of fluctuation in the rate. In any case, considering how close these numbers are, I consider the price increase to be fair and not excessive.

[Donna D.]

I follow International Money, partly because I enjoy it and partly because I have a 401(k) that could take a hit if I decided wrong.


I think I probably mentioned this before, but when I decided Ten Forward was in my future, I figured my budget based on US dollars, that's where I earned my wages. The money I put down and was refunded was almost like getting a refund from the IRS when I filed.

[dfandrews]

Originally Posted by Rossue

Bullwinkle: Humble, that's me... Mr. Modesty. When it comes to humility, I'm the greatest.

You and Cassius Clay!

[Greg A]

Really is a moot point at the moment as you can't determine what the US$ cost of the new Escape is going to be using today or even January rates because you can't currently order one. Once orders are being taken again then the exchange rate can be pulled and each buyer can evaluate what the actual cost will be in US$ at that time. It may still be a savings or it may amount to an increase, but you won't know until you get the exchange rate at that time, and you also have to be able to send the money to capitalize on that rate.

[Stargeezer]

Originally Posted by Jim Bennett

If one wants to justify not buying an Escape, they will find a way. If you step aside, there will be many ready to step up to the plate to take your place, and make a deal for one of the best values in fiberglass trailers.

I do realize the increase may be just that little bit too much to afford at the time, but that is the case with homes, automobiles, and most consumer products.

There was definitely a time in my life, not all that long ago, I could not have afforded an Escape.

Hey Jim... not all that long ago, all Albertans were flush... Now and for the last few months all we have heard is how hard yu'all have it out there So... if that is so, how is it that you can afford this expensive 5.0TA now, or have yu'all just been "funning" us

Larry

[float5]

Originally Posted by Greg A

Really is a moot point at the moment as you can't determine what the US$ cost of the new Escape is going to be using today or even January rates because you can't currently order one. Once orders are being taken again then the exchange rate can be pulled and each buyer can evaluate what the actual cost will be in US$ at that time. It may still be a savings or it may amount to an increase, but you won't know until you get the exchange rate at that time, and you also have to be able to send the money to capitalize on that rate.

Yes, if ordering for 2017, but there are hundreds of people right now deciding whether they want to send up more money or wait, hoping the rate will be even better, who have ordered for 2016. And middle of March, they can see if they want to pay extra for the new shell, and pay then or not. Which is all before orders are expected to open. Other than the ones picking up shortly who will soon have a new 2016!

[Jim Bennett]

Originally Posted by Stargeezer

Hey Jim... not all that long ago, all Albertans were flush... Now and for the last few months all we have heard is how hard yu'all have it out there So... if that is so, how is it that you can afford this expensive 5.0TA now, or have yu'all just been "funning" us

Larry

I have been saving for quite a few years now, while times were good. And yes, it is very unfortunate that the economy is so depressed here right now, and work for me too is slowing down, but I am not going to let that stop me from what I want to do.

And far from all Albertans were "flush", that was just a misconception because a few were doing good, along with the economy. Those living from paycheck to paycheck are now hurting, which is terrible to see.

[Marry]

The Alberta spirit: "but I am not going to let that stop me from what I want to do". (In the same boat here on the prairies).

[abby]

Originally Posted by Brian B-P

I don't see how that would do any good. If they need to buy a US-made component that used to cost US$100, so it cost them C$120, and the exchange rate shifts so it now still costs US$100 but that's now C$140, it's C$140 out of the Escape bank account no matter where the cheque is written. As you say, there is no duty so the cost doesn't change by crossing the border.

The model I'm suggesting assumes a US-based account that would be used to purchase US supplied materials. If the Canadian dollar declines relative to the US dollar, then the Canadian purchaser (ETI) wouldn't be adversely affected when paying US suppliers from a US dollar-based account. True?

[Dave Walter]

Alberta is a very diverse province. There are many "well to do" people here that will feel the recession, but have a large enough income and small enough debt load that it will not really disrupt their lifestyle. There are also many who are living hand to mouth and any disruptions or reductions in their income can have devastating effects on their lifestyle. These are the working poor. There is also another class that includes many with good high paying jobs (usually oil industry based) who assumed that oil generated good times were going to be permanent. Many of these folks have lived a high debt lifestyle that has no chance of surviving any periods of recession. You know the type, big house with big mortgage, new cars/trucks bought on credit, and a yard full of toys including snow machines, quads, boats, and super big 5th wheel trailers, of course all bought on credit. Those people are really hit hard during bad times.

[Marry]

This is only the beginning of a ripple affect. Soon more and more will be affected as many businesses will have sales down. Resulting in more lay offs, and probably upting prices, trying to survive. It's just plain sad it is this way.

[Iowa Dave]

Do they teach personal fiscal responsibility in school? Seems like a good use of student and teacher time. I haven't been in public school for a half a century but did manage some pretty good sized budgets when I was working. Sometimes you have to say no.
Dave

[emers382]

Originally Posted by Iowa Dave

Do they teach personal fiscal responsibility in school? Seems like a good use of student and teacher time. I haven't been in public school for a half a century but did manage some pretty good sized budgets when I was working. Sometimes you have to say no.
Dave

Dave, no they don't unfortunately. With borrowing being so cheap now many Canadians are going into unbelievable debt. They say many would be in financial difficulty if they missed but ONE pay cheque.

If you want to read about Canadians and our crazy debt levels, check out the blog I've been following for a month or so. The author is a financial guy but has also been involved in real estate and was Canadian cabinet minister in charge of revenue.

Book and Weblog – Authored by Garth Turner — Greater Fool – Authored by Garth Turner – The Troubled Future of Real Estate

We have sometimes thought of upgrading to 5.0TA or 21 but with the current price increase and the fact we travel so much in the US, we shall have to be happy with our classic 5.0 for some time yet


Adrian

[J Mac]

Originally Posted by Iowa Dave

Do they teach personal fiscal responsibility in school? Seems like a good use of student and teacher time..... Sometimes you have to say no.
Dave

I doubt it (teaching personal fiscal responsibility).
I agree (sometimes you have to say no).

[J Mac]

As far as prices go, if a new Escape Trailer costs more so can a used Escape Trailer.

[dfandrews]

Originally Posted by Iowa Dave

Do they teach personal fiscal responsibility in school? Seems like a good use of student and teacher time. I haven't been in public school for a half a century but did manage some pretty good sized budgets when I was working. Sometimes you have to say no.
Dave

Fiscal responsibility? No!

Entitlement? Very commonly, Yes.

[Brian B-P]

Originally Posted by steve dunham

The exchange rate on Oct 1st ,2015 was $1 US =$1.33 CAN
The exchange rate on Jan 31st ,2016 was $1 US= $1.40 CAN...

As already mentioned, this is too short a time span for meaningful comparisons. Maybe it would be helpful to go back to the last time that the Escape prices were changed.

Originally Posted by abby

The model I'm suggesting assumes a US-based account that would be used to purchase US supplied materials. If the Canadian dollar declines relative to the US dollar, then the Canadian purchaser (ETI) wouldn't be adversely affected when paying US suppliers from a US dollar-based account. True?

No, not unless the price is adjusted to stay the same in US dollars despite the exchange rate change.

It isn't that easy, and it doesn't matter where your bank is located. It matters very little how many times you convert the currency, if you don't charge enough for the trailer you can't afford to buy the parts; the location of an account won't fix that.

If you have money saved, just sitting in an account, you certainly want that account in the currency which doing better. Shuffling money between accounts to achieve this is not possible for most people, and right up there with day-trading on the stock market as a game for those who think they are smarter than everyone else.

[Patandlinda]

Originally Posted by dfandrews

Fiscal responsibility? No!

Entitlement? Very commonly, Yes.

I think how to handle your money started for us at home . I think the entitlements that need changing are ceo's pay and perks , government workers and their pensions we can no longer support , including city workers , really taking a look at disability payouts ,sometimes not earned . paying into social security every dollar you earn , no cut off . Charging you penalties for moving your money out of the United States . How come we paid enormous taxes and license fees , for our trailer bought out of country ? However ,corporations know with their lawyers how to not pay their fair share in taxes . The little guy doesn't have the lawyers or lobbyists so we end up paying for everyone including Congress who become millionaires and have better health care then the average little guy which we supplement . I really need to go camping . I have been home to long . Pat