I heard this come over my Marketplace podcast and my ears perked up. It's an interesting story. What's even more interesting are the comments that people have posted. I went to post this on the NPR group in Ravelry, but someone had beat me to it. If you have a sec, definitely check this story out.
images and text reposted from: www.marketplace.org.
KAI RYSSDAL: Not too long ago you could find young hipsters in coffee bars knitting away at shawls and berets. Yarn shops were popping up in fashionable neighborhoods, and 20-somethings were organizing knitting circles. But it looks like the fad has passed, because those still in the market for needles and yarn are buying most of their wares online.
Carolyn Adolph reports that has some of those knitting stores spinning a sad tale.