Retailers Prepare For ‘Triple Whammy’

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The Obama economy continues to limp along. The Christian Science Monitor reports that retailers are preparing for a ‘triple whammy” as consumers adjust to their lower paychecks, higher gas prices and sluggish employment. Low income Americans are the hardest hit by Obama’s most recent tax hike, so retailers like WalMart have a lot to be concerned about. People just don’t have as much money to spend.

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Retailers are preparing for a triple whammy as the restoration of the payroll tax, surging gas prices, and stagnant employment and wages take a bite out of consumers’ disposable income, leaving them with less cash to spend on clothing, groceries, and eating out.

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As a result, more than three years after the recession officially ended, American consumers might be preparing to downshift again, if only slightly, with low-income consumers hit the hardest. Sensing consumer trepidation, retailers are scrambling to adjust.

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Retailers, restaurants, and consumer goods companies like Wal-Mart are lowering sales forecasts and adjusting marketing campaigns ahead of expectations that consumers will slash spending, the Wall Street Journal reports. (Read More)

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If you think it’s bad now, just wait until Obamacare is fully implemented. But of course the Democrats will continue to blame it on Bush, or Republicans in the House, or storms.

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Update: Linked by The Pirate’s Cove – thanks!

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