The Economy… How are everyday Americans going to be affected this holiday season?

November 19, 2008

As thanksgiving break approaches us, we are also getting closer and closer to the single most busy shopping day of the year: Black Friday. Notorious for its great sales, black Friday traditionally attracts millions to malls and department stores around the country in search of holiday gifts. In a recent November 14^th article, the Star Ledger claimed “The Commerce Department today said that retail sales fell by 2.8 percent last month, surpassing the old mark of a 2.65 percent drop in November 2001 in the wake of the terrorist attacks that year.” With such a drop in retail sales, how will the traditionally busy holiday-shopping season play out?

According to whiz.com news reporter in her article, The Economy and the Holiday Season, Jennifer Steck says that black Friday will continue to be a busy, profitable day for retailers across the country. She claims that because of the lowering of gas prices, families have been able “to save a few extra bucks for one more present for a friend or family member.” She then continues to say how the great sales of Black Friday will attract just as many, if not more buyers then in previous years because of the great holiday bargains. In a time where more and more people are becoming conscious of there spending, Black Friday will provide an excellent opportunity to buy cheap.

CVS KIMT, Iowa and Minnesota’s CBS news channel, predicts in an online article for revenue to be low for retailers this holiday season, because many people may be looking to give homemade gifts. Iowa artist Glennda Metzen said, “In these times of our economic recession that we are in, people are looking for a way to create and make homemade things rather than buy them.” In some places this year, homemade gifts may become more popular then the normal, store-bought holiday presents.

The Pacific Buisness News newspaper of Honolulu, Hawaii brings up another issue concerning the economy and the holidays: business holiday parties. An annual survey the newspaper conducted from a New York-based executive search firm claimed, “Only 81 percent of businesses will have some type of holiday celebration this year, the lowest level in 20 years, [and] additionally, 37 percent say their event has been impacted by the economy in some way—either cancelled or scaled back.” With so many companies struggling with their financial situations, the holiday season at work may be very different for many working Americans.

Finally, travel and airfare are being greatly affected by the recent economy. The Daily Collegian Online’s Kevin CIrilli wrote an article on November 11^th about the travel dilemna facing many Penn State students. Thanksgiving day will host the last Penn State home football game of the year- against rival Michigan. Many students are now deciding to miss the game and go home a day early, because of the cheaper air-fare on Thanksgiving day. Allison, a student and huge football fan, says she would sell her Nov 22^nd football ticket. “I definitely want to be there for the game,” she said. “But because the ticket prices were cheaper for Thursday, I’ll forgo the game.” Allison is one of many students who now has to more clearly consider airfare and flights because of the hurting economy.

Before reading all of these different articles, I did not really understand the affect the current situation of our economy would have on the holiday season. Now I can see its effects trickle down in so many different ways, and how everyone will be affected somehow by a change in their holiday season. So, this year although the sales might be better then ever before, spending during the holiday season in general is going to be very difficult for families across America.