Question

Define Conspicuous Consumption as defined by Veblen and illustrate a contemporary example of this concept. How does it help to reinforce the standing of the leisure class? Veblen describes the concept in a pejorative manner. Conclude by stating whether you feel Conspicuous Consumption is inherently harmful and if it is not, then provide any potential benefits that may come of it.

Answer 1

The theory, developed by economist Thorstein Veblen, that much spending by the affluent occurs primarily to display wealth and status to others rather than from enjoyment of the goods or services. The term refers to consumers who buy expensive items to display wealth and income rather than to cover the real needs of the consumer.

Example.Fast Fashion is a good example of conspicuous consumption because people are constantly buying more clothing to keep up with changing styles and to maintain status. It is simultaneously a good example of conspicuous waste because the clothes wear our fast, are wasting resources, and are just speeding up this process to maintain a profit.

He refered to signaled status. The rich display all luxury items conspicuously in the home. These objects had little purpose on display but this is the point. The incredibly complicated clothing worn by affluent, that obviously signal is no manual work could be produced. They often travelled-which connoted superior wealth and then displayed exotic objects or had collections. The leisure class include an entire class of people who were exempt from the more routine and menial (not valued) tasks necessary for economic survival. It consists of those whose ownership of wealth and whose control of the means of production permits them to engage in relentless competition. The leisure class does not do any of the menial labor and they are never on the work floor with their workers. Such collection of luxury items reinforce the status of leisure class. The leisure class demonstrate their wealth, luxury and success in business.

Yes, Conspicuous Consumption is inherently harmful . We imitate of the spending habits of our peers and those above us on the social ladder. We are social beings and cannot help to emulate those around us. Conspicuous consumption is conspicuous waste because it is just showing off wealth and to demonstrate income, we don't need the things we are buying and accumulating and it ultimately drains our resources that could be used in a more productive way.