Did Christmas get more expensive?

In a speech last week, President Donald Trump said that the U.S. economy is doing well. “Tonight, after 11 months, our border is secure inflation has stopped, wages are up, prices are down, our nation is strong, America is respected, and our country is back, stronger than ever before. We’re poised for an economic boom the likes of which the world has never seen,” Trump said.
The answer to how the economy is performing, especially in rural Alaska, might be a little more complicated. Mike Jones at the Institute of Social and Economic Research at University of Alaska at Anchorage said that tariffs have driven an increase in consumer costs. “Tariffs are driving about a 1.3 percent increase in prices across everything,” he said. “Which is equivalent to an average household income loss of $1,800.”

Holiday Shopping
Electronics, clothes, home decor and furnishings are the most affected. Nome prices are going to be higher than prices Outside, but companies like Amazon can lower the overall cost of holiday goods. Still, there’s an overall increase from last year. “If we bought the exact same amount of types of stuff last year as we did this year, per shopper, it would cost about $132 more,” said Jones.
In Nome, shoppers have the option to buy locally made gifts. Three businesses on Front Street said that sales this holiday season seem to be similar to past years.
Alice Douglas, the manager at Naataq Gear, said that sales have been about the same since last year. She said that one thing that seems to help bring in customers is posting on the Nome Post Facebook group with the store’s hours. “Ever since we got our new jackets in, we’ve been getting a lot of online orders,” she added.
Lora Schlink at Poorboy Hide & Fur also said that sales had been the same this year. However, product being flown to Nome has hit a snag. Since last week, Alaska Airlines has put an embargo on shipments from Anchorage to bush hubs, including Nome. Schlink said that orders and products were delayed for that reason. The thing that has been selling? Her Christmas gnomes, often with fur beards. “Who doesn’t love a gnome?” she said.
At Maruskiya’s, Kris Greenly said that there are always Christmas sales. “People are always spending at Christmas time whether they have the money or not,” she said.
Jones said that tariffs are not affecting food and fuel as much as he expected them to. Pharmaceutical and medical products, personal care products, car parts and household supplies bear the overall brunt of tariffs, which surprised him. “I expected this would have a much greater impact on food in general than it has,” he said.
According to reporting from Alaska Public Media, Jones compared prices of a holiday meal and found that the same meal in Anchorage would cost $77 compared to $177.45 in Nome – a 130 percent difference. Carolyn Tix from ISER compiled data that shows that the prices of some food items you might see on the Christmas dinner table in Nome grocery stores are now cheaper, some have stayed the same and others have increased. Ground beef, frozen turkey and potatoes – if available —have decreased in cost compared to last year. Flour and milk prices have increased. Bananas and yams have stayed the same.
“Businesses have absorbed some of the price increases because of tariffs, and consumers have had to absorb the rest,” said Jones.
The bottom line is that tariffs have had a real effect on consumer’s pocketbooks. “The Federal Reserve says that tariffs have raised personal consumption expenditures by about a half a percent, which is about 20 percent higher growth than there would have been otherwise,” said Jones.
“In general, consumer sentiment is quite low right now, and people have a fairly dismal view of the economy, and they tend to buy less when they do,” he said.

Shopping Cart 12/23/25

Loaf of Bread                         $4.99

1 gallon of whole milk             $5.59

1 lb of ground beef                $7.79

12 grade AA eggs                  Out, 60 eggs for $30.29

1 lb of bacon                          $10.99

1 lb of bananas                   Out, $1.89

5 lbs of potatoes                  bulk for $1.99/lb

2 lbs carrots                          $5.99

48 oz canola oil                     Out, 40 oz for $9.99

10 pack hot dogs                  $5.79

16 oz block of cheese           $7.99

20 lbs rice                             Out, 5 lbs for $7.49

20 oz ketchup                       $4.99

30 oz mayonnaise                 $7.49
68 fl oz  olive oil                     $ 69.99