Economics of the Royal Baby

The first child of the Duke and Duchess of Cambridge is expected to provide a financial windfall for British retailers.

The Centre for Retail Research estimates that the birth will inject around $403million in the period from July 1st to August 31st.

Most of that money will come from festivities. $41million in food and $102million in alcohol was be dished out as the British hold informal parties to celebrate the baby's birth. The organisation expects three million bottles of champagne will be opened.

Retailers can expect $133million to be spent on merchandise items like toys and souvenirs.

Books, DVDs and other media are likely to fetch around $126million dollars.

And don't forget the likely export dollars to be gained. The news will likely draw visitors to places like Britain's various Palaces and Royal Births are often viewed as good news stories, so expect blanket coverage across all media to cash in to the positive sentiment.

Brett Mason is covering the event for SBS World News Australia in London and noted in a tweet to me:

Brett is on location where countless journalists are waiting outside St Mary's Hospital where step ladders dot the entrance where photographers and camera crews hope for a clear shot of the new family in the coming hours or days.