New York Fashion Week kicked off on Friday against a backdrop of lost U.S. jobs, home foreclosures, stock market woes and surging food and fuel prices. But while most designers admit that has been at the back of their minds while creating their collections for spring/summer 2009, they aren’t letting it get them down!

The week was officially launched on Thursday with a launch party at Saks Fifth Avenue’s shoe department celebrating the “Wizard of Oz”ruby slipper collection, where designers such as Manolo Blahnik and Christian Louboutin recreated Dorothy’s ruby slippers using Swarovski crystals.

Over at the American Museum of Natural History, environmentally conscious celebrities including Lauren Hutton, walked the runway in “Earth friendly” fashion to raise awareness of environmentalism. “Entourage” star Adrien Greiner turned up to show his support. The GenArt show, spotlighting up and coming designers took place at the Manhattan Center Grand Ballroom, while pole dancers modeled lingerie at the West Bank Café in Midtown Manhattan.

First designer down the runway on Friday morning was New York-based Australian designer Michael Angel with a 70s rock inspired collection that included metallic shorts and tailored jackets, silk chiffon dresses (see the above picture by Brendan McDermid) and Swarovski Crystal mesh shoulder pads. Among other designers showing at the Bryant Park on day one were BCBGMaxAzria, Rubin Singer with a 40s inspired collection (see picture right), Nicole Miller, Erin Fetherson and Perry Ellis.

And the parties were due to continue on Friday night with Dolce and Gabbana hosting a photo exhibit by Vanity Fair fashion and style director Michael Roberts called “The Good Shepherd.”