Product Innovation

During the past maybe six or seven years I have seen a lot of product innovation, amongst companies. I have seen this innovation especially in Apple's Ipod. Around the year 2000 the ipod came out with just a black and white small screen. Now in almost 2010, there are color ipods, that have video, photo, and many other new features. But through the years they would make small innovations to the ipod each year, so most people would go get the "newest" ipod with the latest features. Then a year later apple would make another ipod with a slightly new feature. Im sure apple had the technology to make the 2009 ipod, back in 2002 but they just made small innovations each year for more sales.

Is this common amongst electronic device companies? If so, which ones and in what way?

Response to Jack

Is materialism's affect on Christmas important for the troubled economy?

During the holidays many people get into debt because they are making so many purchases for gifts. They also spend a lot of money on new sweaters or dresses to look nice on Christmas day. People also buy a lot of food and alcohol to provide for their family and friends. All these purchases cause many people to get into debt for the new year. Most of these people are expecting a nice big Christmas bonus and or a nice tax return to pay off this debt. As a result of all this shopping and purchasing can be very bad for the economy.

Is there any ways that this can be good for the economy?