PhotoDude.com

Thu. Dec 18, 2003

Cost of Christmas Up

Cost of Christmas Up – Don’t be fooled, not all the economic news is good. At this time of year, this one hurts: ”While stiff import competition is driving deeper discounts on merchandise sold in the United States, skilled labor cost is on the rise, resulting in a 16 percent increase in this years PNC Advisors Christmas Price Index the biggest jump the Index has seen in its 19-year history.”

”’The Index reflects the broader trend of productivity growth in the U.S. economy that has driven prices lower on goods while allowing prices for services to rise modestly,’ said Jeff Kleintop, chief investment strategist for PNC Advisors. ’Whereas in the mid-1980s the cost of the goods in the song dominated the Index, the trend over time has been toward lower goods prices, such as the pear tree, and higher prices for skilled labor, such as the pipers,’ he said.”

”’The abundance of cheap labor in countries such as China have contributed toward increased pressure on U.S. manufacturers to outsource their unskilled labor overseas, and evolve toward higher-skilled areas, to maintain profitability. Unfortunately, the unskilled Maids haven’t managed an increase in price for their services in many years,’ he added.”

”Two exceptions to this trend, however, are the swans and the calling birds, which cost significantly more this year [...] ’The low inventory of calling birds and swans this year, combined with a resurgence in demand, has boosted prices a sign of consumer confidence returning.’”

”As in the past, most items are more expensive to buy over the Internet, primarily due to the cost of shipping, which has gone up this year.”

$4,230.89 for nine ladies dancing? Well, I guess Atlanta’s Gold Club is proof it’s easy to spend that kind of money on dancin’ ladies.

But $3,500.00 for seven swans-a-swimming? Can’t we sub-in some geese? They’re cheap at $150 for a half dozen.