Where is the money for gifts?

I bet a big concern weighing on people's mind right now is the upcoming holiday season and where they will get the money for holiday gatherings and gifts. I know this would normally be my worry even if the economy wasn't unstable.

But this year it seems like our list is shorter than ever. My husband's kids are in college now and they would rather have gift cards or cash. Our parents usually ask us not to spend money on them. Although, we always do, of course. I guess all parents are like that. Our parents do so much during the year, I want to show them how much we appreciate and love them. Seems like Christmas is a good time to do that.

So, I was wondering what you guys were thinking about the upcoming holiday season and your own financial situations. Will you be buying less? Or will you just suffer through the months of credit card bills next year, so your family doesn't have less this year?