In “The Gift of the Magi” by O Henry the core conflict is the struggles that a couple faces in poverty. The couple’s apartment was described in detail to help us visualize exactly how poor the couple is in material wealth. Also, Jim and Della are going through internal struggles. Della’s long beautiful her is her most prized possession and has convinced herself that she is doing the right thing when she cuts it. As for Jim, it is his watch a family heirloom that has been handed down to him from the previous generation. It is not something he can go back out and buy back if he gets the money for it later. It is difficult for him to sell his watch a well.The theme of this story is love, generosity, wealth and poverty. The theme of love and generosity is shown through the selfless actions of both Della and Jim. They both sold their prized possessions to purchase a Christmas gift for each other. They both loved their prized possessions but were willing to seethem make each other happy. Even though they are poor, they are both rich with their generosity.