Shoppers spending rebate before they get it
April 29th, 2008, 10:00 am · Post a Comment · posted by David Woodfill
Apparently, some consumers just couldn’t wait to spend their tax rebate checks from the federal government – even before they received them, a retail industry report said.
Sales increased last week .9 percent – a week before tax payers began receiving checks aimed at jump-starting the ailing economy, said a report from the Washington D.C.-based International Council of Shopping Centers. The group said sales jumped 1.9 percent over the same period last year.
The group blames unseasonably cold weather in parts of the nation and spiking gas prices for a slump in retail sales recently.
“Consumers continue to face very difficult economic conditions with record high gasoline prices curbing discretionary spending,” said ICSC chief economist and director of research, Michael P. Niemira, in a press release. “But the one bright spot is the federal tax rebates—which are just now beginning to flow to consumers—should help to stem some of the weakness seen earlier this year.
