Movies appearing in movies is an old gag, but sometimes it is an effective device helping reveal the story. In Gremlins it was a key plot device. Director Joe Dante takes this idea and warms up the audience with It's a Wonderful Life 1946. By mere coincidence Holiday Season Bunting can be seen hanging from the store walls and windows. Oddly George Baily, Jimmy Stewart, is counting his blessings and greeting the inanimate objects with a Christmas Cheer, as if they were alive. Also note that vexilloids are often imbibed with spirit since people revere, worship, and sometimes talk to flags.In another scene Gismo is watching To Please a Lady - 1950. Again bunting can be seen moving by the breezes in the stadium. Although not so much a Christmas Classic, it subtly foreshadows an upcoming scene. Becoming a part of Christmas Classic in its own right within this film.