Retailers are struggling to convince tight-fisted shoppers to loosen
their purse strings during the crucial back-to-school season.
The season comes this year just as signs point to a slowing economy and reduced consumer spending.
Slumping retail spending is reflected in two major economic reports from Statistics Canada released this week.
The Consumer Price Index finds prices for clothing and footwear
are one of only two categories to show declines in the past year.
And its leading economic indicator index — which points to where
the economy is headed— suggests retail will continue to be a drag on the
economy.
Consumers are reining in their spending amidst rising interest rates and economic uncertainty.