Debt Consolidation and Management Guide

December 15, 2008

Icelanders face frugal Christmas as economy chills

Filed under: News & Articles

REYKJAVIK, Iceland - Here are a few things selling briskly in Iceland’s capital as Christmas approaches: horse meat, secondhand clothing and used DVDs of The Sound of Music.

Thrift is the new mantra in Iceland, a volcanic island nation just below the Arctic Circle, now trapped in economic deep freeze with rising unemployment, soaring prices and a paralyzed banking system.

"Before, you didn’t think about what you were buying, but now we’ve been woken up," said Holmfridur Kristinsdottir, who sells such delicacies as dried fish and pungent chunks of fermented shark at Reykjavik’s flea market. "When we buy beer now, we buy Icelandic beer - it’s cheaper."

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