Good Deals

I'm rarely one to condone excess consumption but assuming you are not one of the hoards of people that are un- or underemployed or at risk of being so, and you need stuff now or in the next five years, I'd recommend you might want to go shopping.

The fallout from the horrific holiday season for retailers has begun, with the operator of an online toy seller filing for bankruptcy protection and more stores are expected to do the same — meaning more empty storefronts and fewer brands on store shelves. A rash of store closings, which some experts predict will be the most in 35 years, is likely to come across areas from electronics to apparel, shrinking the industry and leading to fewer niche players and suppliers.

Or worded another way, retail shops are having the best sales in the last 35 year right now. They stocked betting on sales like last season, and that just didn't happen, so not only do they have to survive the crumbling capital markets (where they borrow money for expansion) they also aren't selling any products.

Good deals are to be had. I bought work pants at 60% off at Gap and Alexis bought a pair cords at 65% off at JCrew.

Having said that, I hardly think the worst of this economy is at hand so if you don't have the money, be careful.

Be a savvy shopper

-- Avoid shopping with children, as research shows shoppers doing so spend 40 percent more than planned.

-- Eat first. If you're hungry, you'll buy more of everything - from food to flat-screen televisions.

-- Carefully consider the actual price you are paying, not how the cost is promoted. Lindstrom once conducted an experiment at a grocery store where he posted a $1.95 price tag near cans of soup. "The next day we put a little tag next to it that said "Maximum eight cans per customer," and people bought like crazy," he said.

-- Pay for your purchases in cash. Research shows that shoppers spend as much as 30 percent more when using credit cards.

-- Consider not using a shopping cart - they've doubled in size over the past two years, and shoppers buy considerably more because of it.