Quote:
Originally Posted by
Dean Roddey
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Actually inflation since 1985 is between about 2x and 2.5x or thereabouts, not 10x. So it would bea bit over $5K today or so, still a very hefty return on investment if you sold them today for $25000.
Not entirely correct. If you go by govt numbers sure its 2.2x but if you look at the cost of food, gas, real estate and yes even U47's you see that the real inflation rate was close to twice the numbers that the Govt would have us believe. For instance, back in 1985 gas was $1.20 a gal. Now it is about 4x that price.
Heck, just look at the numbers the Govt gives out today, inflation at 2 or 3% according to the Fed. Seems to me that food has gone up at least 15% in the last year... oh yeh, the Govt doesn't like to count food or gas in their numbers... DOH!
Still, I figure if I paid $2,500 for a Fairchild 670 back in 85 and sold it for $25k today I probably got a real return of about 40% after inflation which is a decent return. But factor in the added revenue I got for using it too and its not the worst investment I can make.
Now if I bought an SSL J series back in the 90's...