Nov 16, 2008

Buy local for holidays, group urgesBy John EwoldtStarTribune.com

MN — A St. Paul-based think tank wants to expand the “buy local” mantra this holiday season to strengthen Minnesota’s economy.

Minnesota2020, which believes it makes economic sense to support local manufacturers and retailers when possible, said it makes even more sense now. Regarding employment and personal income, Minnesota is struggling at a rate slightly worse than the national average, state economist Tom Stinson said.

The just-released report — “Made in MN 2008: Boosting Minnesota’s Economy in Tough Economic Times” — states that if Minnesotans spent one-fourth of their holiday budgets on items made in Minnesota, more than $2 billion would trickle into the state’s economy, possibly causing small and local businesses to hire more employees.

The report also indicates that 68 cents of each dollar spent with a local independent business circulates in the Minnesota economy. Buying from a national chain that does not have headquarters in the state contributes about 43 cents of each dollar spent, according to the report.

Are consumers heeding the “buy local” message? Not so much, said Britt Beemer of America’s Research Group. More people (63 percent) say they plan to buy local this year, but only a third of consumers who said they planned to buy local last year (61 percent) actually did, Beemer said.

“Their good intentions fall by the wayside if the retailer isn’t advertising,” he said.

Read complete article.