Valentine’s day is Tuesday, and while inflation is coming down, it’s still high. So how will this impact gift giving this holiday?

Timothy Malefyt, professor of marketing at Fordham’s Gabelli School of Business, joined “News All Day” to talk more about the economics of Valentine’s Day.

Malefyt says that consumer spending is a bit tepid this year, but things aren’t as bad as they seem. For example, even though there have been layoffs in the tech industry, hiring in the service industry like hotels and restaurants is increasing.

When it comes to gifts, Malefyt says that experiences are particularly valuable because it helps create memories. “It’s the thought that counts” is really true.

Malefyt also notes that gift giving creates reciprocal obligation and helps strengthen connections.