I think the cost of karting is actually pretty reasonable. It isn't significantly different now to what it was 15 years ago. However, the cost to be competitive has increased greatly. Why? Firstly, because the level of professionalism has increased immensely. Professionalism means people and people are expensive. Secondly, because the people at the front are dedicating far more time to the sport than previously. There is no substitute for bum in seat time.
Of course, with specific regard to KF, it hasn't been popular for many reasons. It is more expensive to start, but this wouldn't be so much of a problem if there was a second hand market. For a second hand market you need club racers. Club racers aren't racing it because, frankly, it's just a bit rubbish. It's a more expensive, less reliable version of Rotax.
I'd be interested to see the numbers racing FA/ICA/JICA at national level in it's final years compared to the numbers initially racing KF1/2/3. Were the numbers already falling? I ask this because I remember full grids of TKM at every circuit and good grids of 100A, but the 100A racing at club level seemed to die off with the introduction of Rotax.
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