U.S. CitiesCity-Data Forum Index
Covid-19 Information Page
Go Back   City-Data Forum > General Forums > Economics
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 06-24-2008, 11:24 AM
 
16,092 posts, read 37,273,007 times
Reputation: 6280

Advertisements

Inconspicuous Consumption

"Writing in the much poorer world of 1899, Veblen argued that people spent lavishly on visible goods to prove that they were prosperous. “The motive is emulation—the stimulus of an invidious comparison which prompts us to outdo those with whom we are in the habit of classing ourselves,” he wrote. Along these lines, the economists hypothesized that visible consumption lets individuals show strangers they aren’t poor. Since strangers tend to lump people together by race, the lower your racial group’s income, the more valuable it is to demonstrate your personal buying power.."
Reply With Quote Quick reply to this message

 
Old 06-24-2008, 11:57 AM
 
Location: Northern California
3,700 posts, read 13,426,880 times
Reputation: 1881
I saw Suze Orman on TV the other day and when asked what is our biggest financial problem, she said "We spend money we don't have to impress people we don't know or don't like".

I see alot of people with the McMansions, SUVs and the other "toys" and I can't help but think that some are probably so deep in debt and have saved little for a rainy day or for retirement.
Reply With Quote Quick reply to this message
 
Old 06-24-2008, 05:25 PM
 
947 posts, read 2,884,772 times
Reputation: 729
That's a pretty good quote. No doubt that's the long and short of it.
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 04:11 AM
 
Location: Los Angeles Area
3,306 posts, read 3,560,378 times
Reputation: 592
I should note that Veblen work is a classic economic text and its much more interesting than what was talked about in the article which is pretty banal. If the researchers "went back to Veblen" they should have noted that he argues that conspicuous consumption tends to be used in communities where people do not know each other. Where as communities that are more closely tied together rely on conspicuous leisure, the idea being its sort of hard to fake wealth when your neighborhoods etc know what you do for a living.

Anyhow, much of what Veblen says is far more interesting/deep than "People fake wealth" or what this boring study was about. The problem is Veblen ideas even today are rather offensive to most people.
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 07:36 AM
 
Location: Heartland Florida
9,324 posts, read 24,279,525 times
Reputation: 4927
Why would anyone bother to save when 10% inflation is eating up your savings?
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 07:52 AM
 
947 posts, read 2,884,772 times
Reputation: 729
Do you mean bother to save money in a bank? If so, I save money in a bank because I still have to pay bills, if my husband loses his job we still have overhead to pay for...
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 08:16 AM
 
55,257 posts, read 44,015,757 times
Reputation: 34537
Quote:
Originally Posted by tallrick View Post
Why would anyone bother to save when 10% inflation is eating up your savings?
There is a big difference between saving and living within ones means.
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 08:24 AM
 
9,638 posts, read 24,399,322 times
Reputation: 5304
. The problem is Veblen ideas even today are rather offensive to most people.

Maybe it's just me but when I read Veblen's "Theory of the Leisure Class" I found it to be a really humorous book, certainly one of the funniest economics books around.
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 04:48 PM
 
Location: Los Angeles Area
3,306 posts, read 3,560,378 times
Reputation: 592
Quote:
Maybe it's just me but when I read Veblen's "Theory of the Leisure Class" I found it to be a really humorous book
It can be humorous but it can also easily offend many people. For example I would imagine women may get upset at his theory on their role in conspicuous consumption. Wifes in many cases end up being a sort of conspicuous consumptions and little more.

Also, he argues that the notion of beauty is directly tied to what amounts to class warfare. So he has a lot to say about things your typical American does all the time, like buy Diamonds, wear heal highs and so on.

Quote:
Why would anyone bother to save when 10% inflation is eating up your savings?
Hedge your money against inflation. Putting large sums of money into a savings account is a bad idea whether inflation is high or not.
Reply With Quote Quick reply to this message
 
Old 06-25-2008, 05:28 PM
 
1,570 posts, read 1,729,002 times
Reputation: 461
Quote:
Originally Posted by humboldtrat View Post
I saw Suze Orman on TV the other day and when asked what is our biggest financial problem, she said "We spend money we don't have to impress people we don't know or don't like".
She is a liar Will smith was the one who said that.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics
Follow City-Data.com founder on our Forum or

All times are GMT -6. The time now is 01:17 AM.

© 2005-2020, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top