Gifts

I heard that some retailers are going to be dropping prices early this year. Have you got your Christmas list all ready? The discussion about whether giving Christmas gifts is good for our economy is an interesting one.

I just read an article by Tyler Cowen debating the issue against Joel Waldfogel's book "Scroogenomics." In the book Waldfogel apparently suggests (I haven't read it) that we shouldn't give gifts because people value the gifts they receive at only about 85 cents on the dollar. Since we spend approximately $60-$90 billion on gifts that 15% drop is a considerable loss. That 85 cent figure is probably high too. That puke colored sweater you got from your in-laws you probably value a lot less.

So there we have it. Clear cut case against buying presents. The Christian thing to do is to be a good steward and not by gifts. It will cut billions of dollars in waste.

But then Cowen muddies the issue all up again by pointing out all the intangibles that are associated with gift giving, or "indirect costs" as he puts it. One could add the stress involved in deciding what to get to the cost of the gifts along with many other factors to really drive up the cost of giving gifts. But then you also have to count the value of joy, celebration, love, not feeling forgotten or alienated, relational growth, etc. on the plus side. And what about all the valuable information you learn about yourself and your friends from the gifts you receive or don't receive. "How come Jim got such a nifty gift from Julie while all Julie gave me was a new pair of socks?"

The articles goes on to mention a lot more but the result is that it just isn't cut and dried. It is just another thing with which you have to live with the tension. So I hope everyone enjoys their holiday season while you roll that one around in your head.