rE: Euro vs. deutschmarks etc...or, the coming Marklin shortage
>Subject: Euro vs. deutschmarks etceuro countries
>What is the ungoing thoughts in germany and other
about whether prices will go up or down when its euro
instead of DM ?
>I know that in theory it should be exact the samebut what about the
>Everywhere prices are 9,95 instead of 10 etc etc--
>So what happens when 9,95 DM becomes 5,10 euro ?
>will it be 4,95 euro or 5,95 euro or 5,50 euro ?
>any thoughts from euro-land ?
>Denmark voted no to the euro :-))))
>Christian Vinaa- - - - -
Christian raises a very interesting subject....and one
that will affect all of us.
First of all, I think the the people of Denmark made a
very wise choice by turning down the Euro. (But that
is a discussion for another time).
Now, for the coming Marklin shortage.
According to recent articles in the Financial Times of
London and similar European publications, there is
going to be an extremely large inflow of cash of
various currencies into the Euro contires economies
between now and the end of the year. This is because
the Euro is suppose to kick in on January 1, 2002
(however I will believe it when I see it).
The problem, if you want to call it that, is that
Europeans tend to keep money at home. For reasons of
security, profits from black economy transactions, or
whatever, generally Europeans have a lot of cash
around the house...especially the older Europeans and
Now, These people are expected to go out and spend
this money rather then taking it to the bank after
January 1, and exchanging it for Euros.
It follows that Europeans, who are Marklin fans, with
all of this cash will be expected to go out and buy
more Marklin equipment. Therefore, it is predicted,
that this year's Christmas buying season in Euro
countries is going to be a great one. All of these
people with extra cash that they need to spend it
before January 1, 2002.
The end result is that beginning in about November you
should expect to see Marklin items begining to be in
short supply. The closer it gets to the end of the
year the more accute this shortage will become.
The affect on the North American market will be that
as the people at Marklin realize what is happening,
their shipments of product to North America will be
less, therefore creating a tight market here...and no
doubt an increase in prices.
Therefore, this year you may be wise to do your
Christmas shopping in July or August.
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