Let's hope so, but living in California and seeing what it going on here makes me want to side with chicken little. Home prices are still way beyond reach of the average middle class family. When a 2 earner income family purchases a $500,000 dinky condo with a $300/month HOA fee and a 1 hour commute to work each way, I just don't see where they extra $300.00/month for a new car payment fits in. Almost everyone I know is paying more in gas each month than they would on a Mercedes lease payment. They are also starting to sock money away for maintenance in lieu of trading up to a new car, which is exactly what I've been doing. Granted this is all anecdotal, and economists probably have it right, but it's just so hard to ignore what you see with your own eyes every single day. Some how I just don't see this as lasting only one or two quarters.