When the story opens, Della and Jim are living in a simple flat on $20 a week. It is Christmas Eve and Della is lovingly dreaming of buying a gift for Jim.
CLIMAX
Della has only $1.87 to buy her husband a gift, which is not enough.
FALLING ACTION
Della decides to sell her hair for money so she can purchase a gift worthy of Jim. She gets $20 and uses it to purchase a platinum chain for Jim's heirloom watch.
RESOLUTION
Della and Jim exchange gifts. Jim has sold his watch to buy Della a beautiful set of combs. Neither one of them will be able to use their gifts.
Jim and Della decide to put their gifts away until they can both use them.
Despite their errors, Della and Jim still love one another, and learn a valuable lesson about sacrifice and love.
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