Christmas
Have yourself a very merry black Friday
The author of "Scroogenomics" explains why holiday shopping is a drain on the wallet and the holiday spirit
Do not take the misanthropic title of “Scroogenomics” at face value. Consider that the subtitle, “Why You Shouldn’t Buy Presents for the Holidays,” doesn’t apply to the beloveds on your “nice” list. And for God’s sake, pay no attention to the child sobbing atop a red-wrapped package on the book’s cover. Author Joel Waldfogel doesn’t want to harsh on your holidays. In fact, he wants to make them better.
In his sane, reasonable and conveniently stocking stuffer-size new book, the Wharton School economist elaborates on what those of us on a first-name basis with the folks at the return desk already know — that the glut of holiday overspending is a drain on both the wallet and the ho ho ho spirit. But the book is no polemic; it’s a study in retail trends, spending and debt habits, and a simple call for a better use of our money than Itty Bitty Book Lights for people we barely know.
Full disclosure: My favorite phrase is, “Did you keep the receipt?” I have a small holiday budget, and I don’t use my credit card for presents. Years ago I instituted a strict limit for the grandparents on gifts for my daughters. And frankly, I’m usually a whole lot less stressed for all of it.
So when Waldfogel tosses around unfestive phrases like “high yield” and “inefficient giving,” I’m already on board. Nothing truly deflates the holiday spirit like being in the red all January long.
I spoke to Waldfogel via phone last week to discuss recessionary retail mayhem, the department store table of crap, and how to make the shopping season a little happier.
You talk in the book about the concept of “deadweight loss” and how it applies to holiday spending. Can you explain that?
A deadweight is a loss to one party that’s not a gain to someone else. Normally if I spend $50 on myself it’s for something worth at least $50 to me. If I spend $50 on you, and I don’t know what you like or already have, I could buy something that’s worth nothing for you. That’s a loss. The average difference in gift satisfaction between the giver and recipient is about 20 percent.
But we’re a consumer culture. We generally like to shop. Why, then, do the holidays go so wrong?
Normal spending, when we’re buying for ourselves, provides a measure of satisfaction. The problem with gift giving is that’s not what is going on. Usually in shopping there are two parties. There are buyers and sellers. The seller gets a price that’s bigger than the cost he bought it for, and the buyer gets an item he values above the price. That generates profit and satisfaction.
The thing about gift giving is the seller still gets a profit, but on the consumer side the recipient does not get the same amount of satisfaction.
It’s good for the seller, but it’s not good for the buyer or the giver.
There’s this idea that any gesture is better than no gesture at all, even if it’s from the table of useless golf alarm clocks. You call it being socialized “to perpetuate the wastefulness.”
My issue is with spending where something is missing — some satisfaction we could have had if we’d done it differently. You shouldn’t try to pick these symbolic tokens for someone that have no meaning.
Women do 80 percent of the holiday shopping. Look at the time we’d get back if we shopped differently.
What do you do for all those people on your list then? You talk a lot in the book about gift cards, which I love, and which you point out now represent a third of all holiday spending. Whenever I get one, I either spend a little more to make sure it’s all used up, or put it toward a big-ticket item I would feel guilty about buying otherwise. So it’s actually a win for retailers, too.
Gift cards are great. They’re like money laundering — it’s like cash without giving cash. Cards let people choose what they want so it’s not a waste. But it’s no good if the user doesn’t redeem it. I’d love to see these gift cards default to a charity after an expiration date. Buyers who were socially conscious could really make something out of it.
Which brings us to your second suggestion — giving to charity. That’s a tough one to put under the tree.
If you look at spending data, charity is a luxury. It shows up on the lists of these things people would like to do if they had more money. So if you want to give someone an experience of luxury, one where there’s no value destruction, make a donation in their name. Even kids are pretty enthusiastic about charity.
But kids still want something they can open.
I’m not at all against the kind of giving that’s organic. Of course you should give to children. I think people should go on giving to the people they know well. Sometimes givers find transcendent, wondrous things. It’s the obligatory I’m opposed to. But the last thing I want anybody to see is the crying kid on the cover of the book.
Mary Elizabeth Williams is a staff writer for Salon and the author of "Gimme Shelter: My Three Years Searching for the American Dream." Follow her on Twitter: @embeedub. More Mary Elizabeth Williams.
How to argue with right-wing relatives
Responding to common conservative talking points without losing your mind
(Credit: iStockphoto/RobMattingley) There comes a time at most large family gatherings when a heated political argument breaks out. And by “heated political argument” what I mean is “someone just repeats something they heard on Hannity’s radio show that you know to be completely untrue.” You may be the lone liberal in a conservative family, or you may have one right-wing uncle in your left-wing family, but this will happen. What to do?
If you have a “smart phone,” just bookmark Snopes now. That’ll take care of the really weird stuff. (Well, not this level of weird, but “I read that airlines don’t pair Christian pilots and co-pilots in case The Rapture happens” weird.)
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Alex Pareene writes about politics for Salon and is the author of "The Rude Guide to Mitt." Email him at apareene@salon.com and follow him on Twitter @pareene More Alex Pareene.
#occupychristmas
Throughout much of history, the holiday was a celebration of rebellion against authority. It's time to reclaim it
Christmas has always been politicized. Since 2005, when Fox News commentator John Gibson published “The War on Christmas: How the Liberal Plot to Ban the Sacred Christian Holiday Is Worse Than You Thought,” the focus has mainly been on a supposed progressive agenda to, in the words of Bill O’Reilly, “get Christianity and spirituality out of the public square.” Last year the New York City YMCA drew criticism for replacing Santa Claus with Frosty the Snowman at a family event — children were forced, complained the New York Post, to “suffer the icy embrace of a talking snowman” instead of the warm hug of a fur-clad fat man. This year the American Family Association has once again called out retailers who favor the word “holidays,” placing them on its “Naughty” list.
Continue Reading CloseThomas Christensen’s "1616: The World in Motion," an illustrated study of travel and cross-cultural connections in the early seventeenth century, will be published by Counterpoint Press in March 2012. More Tom Christensen.
The fake “War on Christmas” outrage
It's become as integral to the season as caroling and Black Friday -- but the sentiment is completely manufactured
One of the defining qualities of late December is the predictable and ritualized nature of America’s holiday season. Other than discovering what’s inside the wrapped gift boxes, there’s no mystery or suspense to it anymore. The Christmas music starts right before Thanksgiving. Then come the flickering lights, the red-and-green decor, Hollywood’s vacation movie blitz, and finally, with media charlatans turning the key, the fake outrage machine rumbles back to life.
Like a narcissist’s souped-up 4-by-4, this turbocharged colossus of self-righteous indignation makes a lot of noise and leaves a mess in its wake — but ultimately says a lot more about its drivers’ pitiable insecurities than anything else.
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David Sirota is a best-selling author of the new book "Back to Our Future: How the 1980s Explain the World We Live In Now." He hosts the morning show on AM760 in Colorado. E-mail him at ds@davidsirota.com, follow him on Twitter @davidsirota or visit his website at www.davidsirota.com. More David Sirota.
Christmas fading in the Holy Land
In birthplace of Jesus, the exodus of Christians continues
In Jerusalem Christmas isn't much of a holiday.(Credit: Wikipedia) JERUSALEM — In the land that put Christ in Christmas, Christianity is shrinking.
Less than a century ago, Christians comprised nearly 10 percent of the population of Palestine (now Israel and the Palestinian territories). In 1946, the figure was around 8 percent. Today, Christians make up about 4 percent of the West Bank’s population, although there are still a few Christian-majority villages, such as Taybeh, whose skyline is dominated by church spires and whose businessmen produce the only Palestinian beer. In Israel, though Christians make up 10 percent of its Palestinian population, they only constitute 2.5 percent of the total population. In Gaza, the Christian minority is even smaller, representing just 1 percent of the population.
Continue Reading CloseKhaled Diab is an Egyptian journalist based in Jerusalem. His website is Chronikler. More Khaled Diab.
Corporate America: No complaints considered
In the age of pepper-sprayed Black Friday shoppers, stores clearly no longer care what their customers think
In the spirit of the season, I’d like to file a complaint — about complaints. Corporate America just doesn’t handle them the way they used to. As in, at all. I grew up in retail. My father owned a drugstore in upstate New York and was as old fashioned as the next guy when it came to the rules of doing business. As in, Rule #1: The customer is always right. Rule #2: See Rule #1.
Unless, of course, he caught a customer shoplifting, in which case all rules and rights were suspended, including habeas corpus. Make an attempt to sneak out of his establishment with a bottle of moisturizer or a pair of sunglasses and prepare for the thunder of God’s own drums. I never heard him yell at his own kids the way he yelled at any young, incipient Artful Dodger who tried to skip the joint with a purloined Snickers bar tucked under his shirt.
Continue Reading CloseMichael Winship is senior writing fellow at Demos and a senior writer of the new series, Moyers & Company, airing on public television. More Michael Winship.
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