Some pundits believe the economy only improves when men’s underwear sales go up, the theory being that undies are the last thing to be replaced when people are short on cash. Those prognosticators are feeling a little better now, because after a year’s decline, men’s underpants sales leveled off last spring.

I look to a different bell weather—the Neiman Marcus Christmas Book—and I’m not feeling nearly as confident.

The luxury retailer usually launches its holiday catalogue in early September with a splashy presentation of over-the-top gifts. But this year’s edition came out last week, much later than usual and with much less fanfare.

My conclusion: the recession is now affecting even even fantasy gifts. And that’s not good.

Sure, the Neiman Marcus 2009 Christmas Book offers some glitzy gifts, like His & Her Icon A5 airplanes for $250,000 and a limited edition Jaguar XJL at $105,000. All 50 of the available cars were sold within four hours.

This year’s edition also includes lots of “Fab Finds” for the budget minded and “Little Gems” (gifts under $100). A press release brags that half the gifts are under $200 and the least expensive gift—a tin of NM chocolate chip cookies—is only $24.

Christmas sure ain’t what it used to be.

Though the holiday catalog was first published in 1915, retail genius Stanley Marcus positioned it as a publicity magnet in 1959 when he and his brother Edward offered a Black Angus steer delivered on the hoof or as steaks with a silver-plated serving cart. In 1960, the Marcuses garnered even more attention with their first His & Hers gifts, a pair of Beechcraft airplanes. In the years since, the store has offered such outrageous His & Hers gifts as hot air balloons, Chinese shar-pei puppies, ermine bathrobes, Egyptian mummy cases and dual Hummers.

Over the years, the outrageous became the norm. An unfinished Boeing business jet, at $35 million, holds the record for the most expensive item ever offered in the holiday catalog, followed by a $20 million submarine. In the mid-'90s, the store advertised an 18-karat gold miniature soundstage accented with diamonds for $1.6 million, and in 2001 the asking price for a limited-edition Bell 430 helicopter was $6.7 million. In 2005, the store offered a private Elton John concert for 500 of your closest friends for $1.5 million.

During the 1970 economic recession, the store tried to lighten up dour moods by advertising a modern-day Noah’s ark for pessimists, complete with a French chef, Swedish masseur, German hairstylist, English valet and an Italian couturier for $588,000. Alas, there were no takers, which may be one reason that this year’s catalog lacks a tongue-in-cheek attitude. No one seems to be in a laughing mood.

The most expensive gift in this year’s catalogue is the dual helicopters, but a straight-faced Neiman’s official told Women’s Wear Daily that the lack of glitzier gifts was not intentional.

“After we had our meeting (to make final selections), I realized we didn’t have a million dollar gift,” said NM Vice President Ginger Reeder. “I just didn’t have anything special at that million dollar price point.”

This year’s lineup seems more socially responsible, with a $12,500 “sustainable art chandelier” made of 366 plastic bottles that artist Michelle Brand collected from a landfill and an “Algonquin Round Table Experience,” featuring dinner with eight prominent thinkers at the legendary Algonquin Hotel in New York ($200,025). (Neiman Marcus will donate all proceeds from this gift to First Book, a charity that distributes new books to children in need.)

Too bad we can’t all follow the advice of Dorothy Parker, a founding member of the original Round Table. “Take care of the luxuries, and the necessities will take care of themselves,” she once said.

I'll take that as advice I should spring for the Cupcake Car, a $25,000 electric automobile that looks like the namesake frosted dessert. It would be a big hit at the Art Car parade.