Holy Joly Treedicator

• Tickerville
• December 3rd, 2009

That’s it, today I am starting a new indicator to resolve the inflation vs. deflation debate. Heck, maybe this indicator is a fantastic prognosticator of the entire economy. It’s centered around the price of a Christmas Tree so to keep it simple we’ll call it the Holly Jolly Treedicator.

Despite my desire to buy a pre-lit, fake tree that can sit in the attic all throughout the year, only to be taken down for about a month which requires little maintenance and no cleanup, Mrs. T insists we make the trek a la Griswolds, in order to truly invoke the Holiday Spirit. Sure, when it’s done I love it, but that’s not the point.

Well, last night the Tatro’s made the traditional trek down to the local lot in order to pick out ‘the one.’ It didn’t take long before the big Douglas Fur jumped out at me saying “I must go home with you” or maybe it was my cold feet and desire to be home rather than trouncing around some tree lot, picking sap off my fingers.

Nonetheless, I noticed that the tree we were buying was $66.00 rather than last year’s $89.00 for the same brand (is that what you call it?) and similar height. Upon inquiry, the gentleman informed me that prices must be cut this year due to the fact that everyone around them is doing the same thing and they did not want to be sitting with inventory after the Holiday.

Well, there you have it. For months if not years, economists have been debating the likes of inflation or deflation making eloquent arguments on either side. I have gone back and forth myself observing price action in areas such as gold or the dollar in order to gain a clue but now feel as though I have a much better indicator and one that I can rely upon each and every year.

In summary, this year’s Holly Jolly Treedicator tells us that we’re in a deflationary environment and it’s as simple as that. Merry ho!

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