How Urgency and Demand Makes Everyone Spend More Money and How You Can Use Time to Avoid This

Photo by Markus Winkler on Unsplash

Lack of planning with your purchases hurts your wallet.

We purchase items when we need them. But by doing so we often increase the amount we spend, and with the current supply chain crisis, it is becoming more important to time the market.

Here’s what happens:

When demand outmatches supply, costs go up

We see it everywhere currently:

🚗 Used cars are shooting up in value due to the chip shortage.

🏘️ Houses are skyrocketing in price as there are building supply shortages.

⛽ Fuel prices are increasing.

Now many of these purchases are essential to people’s lives and unavoidable.

But if you are able to make a sacrifice in the short term, you can save huge amounts on costs.

Supply will catch up to demand

With the chip shortage, you have a typical depreciating asset shooting up in value.

There is an expectation of the chip shortage to settle by the end of the year. As soon as the market catches up, used cars will return to their normal value.