ARLINGTON, VA -- Consumer electronics gifts will account for a quarter of all holiday gifts, with revenues rising 21% to $21 billion this holiday season, the Consumer Electronics Association said.

"The holiday outlook for our industry is a merry one," said director of industry analysis Sean Wargo. "Consumers' confidence in the economy is on the rise and the CE industry will benefit. CE gifts dominate a quarter of the overall holiday gift giving market. And consumers tend to shop with a 'one for you-one for me' mindset during the holiday season. As a result, gifts for others only account for about half of the volume of sales in the fourth quarter."

According to the survey, consumers will spend $195 on average for consumer electronics gifts.

"The upgrade cycle is driving a lot of this growth. Lured in by the declining prices on many new digital products, consumers are spending more for consumer electronics on average than they have in the past. An example of this is the MP3 player versus the portable CD player. The initial price for an MP3 player is higher than the initial price five or 10 years ago for a portable CD player," said Wargo.

For the second year in a row, the most popular item among adults to give or get is MP3 players. The rest of the top 10 list includes all types DVD players/recorders, digital cameras, laptops and PCs, televisions, video game systems, cellphones, camcorders and HDTV.

Topping the gift list, or what consumers actually plan to buy, this holiday season are digital cameras, cellphones, MP3 players, video game consoles, portable CD players, carrying cases, cordless phones, additional memory for digital cameras, laptops and clock radios.

Teen aged 12 to 17 selected MP3 players, video game consoles and computers.