During the pandemic, near-zero interest rates and government subsidies enabled excess consumption beyond sustainable means. That inflated the prices of most goods and assets while exacerbating wealth gaps between the old and young, as well as between the top ten percent and the rest. We are now in a mean reversion phase, and the downward momentum is contagious across the economy.
The RV market has been in recession over the last two years, with prices of RVs plummeting by as much as 25%. This RV market collapse is a leading indicator for the US economy and suggests an economic slowdown is underway. The last time the RV market crashed like this was before the 2008 economic crash. Sales declined and prices dropped. Today, Many RVs cost as much as $100k to $150k, and some people who bought during the pandemic can no longer afford them. Publicly traded RV companies like Winnebago are showing the slowdown in their stock price, down as much as 60% the last three years. Here is a direct video link.
;
