Yarn manufacturers were my first thought too. I keep very little of what I make; I donate or sell most of it.
I spend a lot of money shipping items, so the Post Office will suffer if I can't sell or donate.
Fabric manufacturers will lose money. Fabric retailers, like JoAnn's, will end up laying off employees if no one can spend money on gifts/donations/sales.
I used to make baby items to donate to the local hospital for families who didn't have a lot of money; to donate to the crisis pregnancy shelter; to donate to the Angel Tree at church at Christmastime, but I can't do that anymore. All of those local families and charities will suffer.
For some of us, the money we make through online sales and garage sales allows us to stay off Welfare and Disability.
As I look at my desk right now, I see all the things I use to sell/donate items that I won't be buying more of it the CPSIA law is enforced. Everything from envelopes to shipping boxes to printer paper. Ink cartridges, record-keeping books too. I won't be buying packaged trim, ribbons, buttons, polyfiberfill, safety eyes, or thread for my sewing. I won't be getting the new sewing machine that I've been looking at at Gloria Horn's. I won't be spending money on gas to to the store to get supplies or to ship things. I won't be buying labels for my children's items. I'm sure some folks won't be buying digital cameras and rechargeable batteries because just having them for personal use isn't a good enough reason to buy them.
And of course, taxes, as littlethingsboutique mentioned. Can't pay 'em if I'm not making any money.
