wasting money

No one has ever saved money by spending money. There is an economic downturn going on right now and people are not making the right decisions on what they should spend their money on and what they should not. People on black Friday are wasting their money buying new TV’s and such instead of stocking up on things they actually need.

VIDEO: http://www.dailykos.com/story/2012/11/20/1163454/-Walmart-does-damage-control-as-Black-Friday-protests-approach

"Black Friday: The Dark Side of Humanity." Consumerism Comm. 12 Dec. 2012 http://www.consumerismcommentary.com/black-friday-the-dark-side-of-humanity/.

 

"Daily Kos." : Walmart does damage control as Black Friday protests approach. 12 Dec. 2012 <http://www.dailykos.com/story/2012/11/20/1163454/-Walmart-does-damage-control-as-Black-Friday-protests-approach>.

employers

Retailers are trying harder and harder every year to pay for their employees equally. It is getting very hard because since the economy is going down and getting worse, people need more jobs but employers do not have the money to pay for them. Black Friday is especially affected by this because they need a lot more people to work for more hours to control everything and make it go smoothly.

"Black Friday: Americans Can Enjoy Low, Low Prices Without Suffering Slave Wages." Alternet. N.p., n.d. Web. 12 Dec. 2012.

Rise in shoppers

Store shoppers exceeded everyone’s expectations even though our economy isn’t very good right now. Although it showed that people are very willing to spend money, it does not show whether or not this will make the economy better, worse or stay the same. Most people made purchases they did not plan to buy because they were “dirt cheap”. The NRF still predicts that the holiday sales will be down from last year.

"Black Friday Effect: Weekend Sees Rise in Shoppers - USATODAY.com." Black Friday Effect: Weekend Sees Rise in Shoppers - USATODAY.com. N.p., n.d. Web. 12 Dec. 2012.

Retail sales

Black Friday retail sales were “improved” as told by most analysts, even though the spending amount wasn’t very encouraging. Online shopping during the weekend has gone up, which shows that there is a trend that will continue to increase. The regional fed banks have shown mostly good reports, with the index improving and is now only slightly negative. Below is a chart of 3 day averages of spending which people self-reported.

"Post-Thanksgiving Economic Review." Minyanville. N.p., n.d. Web. 12 Dec. 2012.

Our economy

The two most important things to citizens right now are jobs and the economy. We are not looking at how the elections could affect our economy since they are over but how our spending could increase our economic numbers. If our spending this black Friday was a sign, then our economy must being doing better since consumer spending rose 9.2% over the last year. Nearly 25% of people also made a purchase of some kind online on cyber Monday.

"What Does Black Friday Weekend Say About Our Economy? « CBS Denver." CBS Denver. 11 Dec. 2012 http://denver.cbslocal.com/2012/11/25/what-does-black-friday-weekend-say-about-our-economy/.

 

Negatives

Some economists are saying that black Friday is just a trap to get consumers to buy products they really don’t need and this could cause consumers very large problems such as larger debt or even bankruptcy. Revolving credit has also led to a drop in production of consumer goods and lowering of retail sales data. Below is a graph showing the decline of consumers economic well being.

"Charting The Demise Of The US Consumer." ZeroHedge. 11 Dec. 2012 <http://www.zerohedge.com/news/2012-11-19/charting-demise-us-consumer>.

Stock market and black friday

The stock market is up more than 60% since March and black Friday pushed it up even more. "This year Black Friday (and holiday) sales will have a little extra meaning," says Timothy Vick, a portfolio manager at Sanibel Captiva Trust. "Investors are looking at the Christmas shopping season as the first barometer to see if the consumer is patching up" their finances. Black Friday is one of the most important year end events for the economy.

Your guide to the best deals 

"Stock watchers keep eye on Black Friday store sales - USATODAY.com." Stock watchers keep eye on Black Friday store sales - USATODAY.com. 11 Dec. 2012 http://usatoday30.usatoday.com/money/markets/2009-11-23-black-friday-markets_N.htm?csp=34.

Black friday myths

Everyone thinks that black Friday is the only day to get the best deals when really, some stores match black Friday prices even after the day. Most people also believe that “door busters” are free until they actually get to the store and are disappointed because they have to pay for what they want. This might affect the economy negatively because people might get mad and change their minds and not buy anything. Here is an article with more myths: http://money.msn.com/saving-money-tips/post.aspx?post=7c27f378-1225-4702-97e7-8e3c219ff411

"15 Black Friday myths busted." MSNMoney. 11 Dec. 2012 <http://money.msn.com/saving-money-tips/post.aspx?post=7c27f378-1225-4702-97e7-8e3c219ff411>.

Black friday production

This year, black Friday produced $52 billion, which is up 16% from a year ago. Although this was very good, it does not promise a strong holiday shopping season. Spending could go down next year unless congress passes a $44 billion extension of long term unemployment benefits. If they don’t pass it, 6 million unemployed people will stop receiving benefits. Tim Duy, an economics professor at the University of Oregon said, “the reported jump in holiday spending so far this year just isn’t that important, nor is it a key to economic indicator. There was a massive drop in demand that looks more permanent than temporary.”

YouTube. YouTube. 11 Dec. 2012 http://www.youtube.com/watch?v=gAGV_IQctnY.

 

Year., NEW YORK (CNNMoney) -- The holiday shopping season reportedly got off to a strong start this past weekend. But don't expect to find a thriving U.S. economy under the Christmas tree this. "Impact of strong Black Friday won't solve U.S. economic woes." CNNMoney. 28 Nov. 2011. Cable News Network. 11 Dec. 2012 http://money.cnn.com/2011/11/28/news/economy/black_friday_impact/index.htm.

What is black friday?

This year 247 million people shopped during the 3 day black Friday weekend. On average, each person spent about $423. In total, they spent $59.1 billion, which is 16% more than black Friday 2010, according to the National Retail Federation. Black Friday is the very beginning of the holiday shopping season. This is important because about 20% of retail sales occur between black Friday and Christmas. Some retailers, such as jewelers, is even higher- almost 40%. Now, people are also more likely to use money they already have saved or layaway instead of credit cards.

"Black Friday Versus Cyber Monday: Ad Planning." ROI Factor Blog Black Friday Versus Cyber Monday Ad Planning Comments. 11 Dec. 2012 http://www.bluefountainmedia.com/blog/black-friday-versus-cyber-monday-ad-planning/.

 

"What Is Black Friday?" About.com US Economy. 11 Dec. 2012 http://useconomy.about.com/od/demand/f/Black_Friday.htm.

Could black friday save the economy

Economists now are focused on consumers now because businesses are waiting for the result of the fiscal cliff negotiations. Retail sales fell in October because of Hurricane Sandy the most amount since July of this year. Nowadays, 2% economic growth is like a miracle to the economy. Global pullback has really hurt the US manufacturing and industrial production this year. This has also majorly affected job creations. Jobs are more needed but people just can’t afford to hire them. This affected black friday negatively this year because companies could not hire the amount of people needed.

"Will Black Friday save the economy?" CBSNews. CBS Interactive. 11 Dec. 2012 http://www.cbsnews.com/8301-505123_162-57551461/will-black-friday-save-the-economy/.

Holiday spending

The majority of holiday spending in on goods, not services. This is not good because the United States economy is largely dependent on services rather than manufacturing. Retail sales overstate the big picture of the US economy. The fears of the US economy going back into a recession have gone down since the end of the summer, but they say that even an amazing holiday season can’t predict what happens in the next year.

Year., NEW YORK (CNNMoney) -- The holiday shopping season reportedly got off to a strong start this past weekend. But don't expect to find a thriving U.S. economy under the Christmas tree this. "Impact of strong Black Friday won't solve U.S. economic woes." CNNMoney. 28 Nov. 2011. Cable News Network. 11 Dec. 2012 http://money.cnn.com/2011/11/28/news/economy/black_friday_impact/index.htm.

US economy depends too much on black friday sales

Black Friday produces almost 20% of the total yearly sales of retail stores. Because of this, the economy has started to depend on this day to recover from the recession. This year some shops opened before midnight which drew in an even bigger crowd. It is almost impossible not to spend money when everything is so electronically linked. The benefits of black Friday still do not outweigh the costs. Below is a graph comparing black Friday sales to overall official holiday retail sales.

http://www.washingtonpost.com/blogs/wonkblog/wp/2012/11/23/black-friday-is-a-bunch-of-meaningless-hype-in-one-chart/

"U.S. economy depends too heavily upon Black Friday." The Daily Utah Chronicle. 11 Dec. 2012 <http://www.dailyutahchronicle.com/?p=2581213>.

Black friday can have negative effects

Black Friday can be a very good stimulus for one day, but if it goes on for longer it could actually really hurt businesses. If they stayed on longer, people would have to be laid off of work because employers would not be able to pay their employees. If people don’t start spending, their money will be worth less and less. Black Friday can also be one of the most violent days of the year- and the best paying for security people and police officers. Below is an example video of some of the things do to get what they want.

http://money.msn.com/shopping-deals/article.aspx?post=ef88f2d7-049c-4a97-a151-792bc2f7179d

"Holiday Shopping Guide." MSNMoney. N.p., n.d. Web. 11 Dec. 2012.

 

"The Black Friday Effect: Let’s Stimulate the Economy with Inflation." The Black Friday Effect: Let’s Stimulate the Economy with Inflation « Hot Air Headlines. N.p., n.d. Web. 11 Dec. 2012.

Why people shop on black friday

If spending is up on black Friday, it is a good sign for retailers because this means that shoppers are gaining confidence about how the economy is. Black Friday is also the perfect time to go shopping because of all the great sales and the majority of people have the day off from work. Black Friday is the busiest shopping day all year for retailers. People purchase a variety of items on black Friday, but below is just an example of how gaming systems competed against each other this year on that day.

"Console 2012 Black Friday Sales Chart." [a]listdaily. N.p., n.d. Web. 11 Dec. 2012.

 

"Black Friday." Black Friday. N.p., n.d. Web. 11 Dec. 2012.