Cory Curtis has been noticing a few extra collectibles on her store’s shelves.
Curtis, owner of Cool Creations, 209 M.A.C. Ave., said the items have been collecting dust because holiday sales just weren’t as crazy as a year ago.
According to a survey by the Michigan Retailers Association and the Federal Reserve Bank of Chicago, Curtis is experiencing the same sale slowdown as many other Michigan businesses.
The survey reported many businesses experienced record low sales in December, while the survey also predicts low sales for the first three months 2001.
“I am hoping sales will go up and things will go better,” Curtis said. “And people will get more relaxed and get back into the swing of things.”
The report examines inventory, prices, promotions and hiring compared to a year ago.
“Retailers have seen economic slowdown in their stores,” said Tom Scott, vice president of public affairs and communications for the Michigan Retailers Association. “So it is natural that they would have a less optimistic view for the first quarter.”
The association estimates 44 percent of sales would decrease in the first quarter, compared to the first quarter a year ago. Scott said decreased sales could be related to the economy, as well as other factors that affected shoppers.
He attributes raised interest rates and skyrocketing gas prices to putting a damper on recent sales.
William Straus, the Federal Reserve Bank of Chicago’s senior economist and economic adviser, said the report has been consistent with activity.
“Retail sales have been very, very strong and are softening off those high levels,” he said. “Consumer confidence levels have also dropped.”
Economics professor Charles Ballard believes decline in sales might be blown out of proportion: “It is not as if things are worse than last year, just that they aren’t getting better as quickly as last year.”
He said the nation has gotten used to a booming economy, and anything in comparison looks rotten.
Even with the predicted drop in sales, some shoppers say they’ll keep spending their money.
“I spent just as much as last year,” anthropology junior Allison Spensley said. “If not more.”
Shannon Murphy can be reached murphy78@msu.edu.
