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From Wikipedia

A toy is an object meant to be played with. Toys are usually associated with children and pets, but it is not unusual for adult humans and some non-domesticated animals to play with toys. Many items are manufactured to serve as toys, but items produced for other purposes can also be used as toys. A child may pick up a household item and 'fly' it around pretending that it is an airplane, or an animal might play with a pinecone by batting at it, chasing it, and throwing it up in the air. Some toys are intended primarily as Collector's items and are not to be played with.

The origin of toys is prehistoric; dolls of infants, animals, or soldiers, and miniature representations of the tools of adults are readily found at archaeological sites. The origin of the word is unknown, but it is believed to have been first used in the 14th century.[1]

Toys and play in general are an important part of the process of learning about the world and growing up. The young use toys and play to discover their identity, help their bodies grow strong, learn cause and effect, explore relationships, and practice skills they will need as adults. Adults use toys and play to form and strengthen social bonds, teach the young, remember and reinforce lessons from their own youth, exercise their minds and bodies, practice skills they may not use every day, and decorate their living spaces. Toys are more than simple amusement, and they and the way they are used profoundly influence most aspects of life.

Economics

With toys comprising such a large and important part of human existence, it makes sense that the toy industry would have a substantial economic impact. Sales of toys often icrease around holidays where gift-giving is a tradition. Some of these holidays include Christmas, Easter, Saint Nicholas Day and Three Kings Day.

In 2005, toy sales in the United States totaled about $22.9 billion. Money spent on children between the ages of 8 and twelve alone totals approximately $221 billion annually in the U.S.

Toy makers change and adapt their toys to meet the changing demands of children thereby gaining a larger share of the substantial market. In recent years toys have become more complicated with flashing lights and sounds in an effort to appeal to children raised around television and the internet. According to Mattel's president, Neil Friedman, "Innovation is key in the toy industry and to succeed one must create a 'wow' moment for kids by designing toys that have fun, innovative features and include new technologies and engaging content."

In an effort to reduce costs, many mass-producers of toys locate their factories in areas where wages are lower. 75% of all toys sold in the U.S., for example, are manufactured in China. Issues and events such as power outages, supply of raw materials, supply of labor, and raising wages that impact areas where factories are located often have an enormous impact on the toy industry in importing countries.