We are all guilty of it.
We buy things simply because others have it, not because we need nor really want it.
Life feels like a comparison game sometimes. A never ending cycle where we are competing against each other running in place.
Consume a Peloton for that experience.
Guilty as charged.
Instead of ruminating about the money lost on a purchase or in the stock market, thank yourself for staying diversified and taking the chance. Investing should be done during every cycle, expansion, peak, contraction, trough, and in the recovery. If you havenât done so already, donât panic yourself or panic sell! Take advantage of the dip and lower valuations while you can. Overtime, the markets are bound to go up.
Thereâs always a bull market + good deal somewhere!
The activity of conspicuous consumption is a lifestyle I despise. The last thing I want to do is show off. Keeping it low-key, down to earth and being a frugal minimalist has changed my perspective on life and made me more appreciative of every challenge. Iâve not only saved my connections and bank account doing so, Iâve saved myself mentally from falling into the pleasing addiction trap.
Sadly, with majority of Americans owing some sort of âtoxicâ debt that depreciates as time goes on, conspicuous consumption is in their DNA, especially if they arenât well versed about the markets or financially literate.
Conspicuous Consumer
This is a totally optional addictive behavior of buying luxury high end goods for otherâs approval and social status. You have to have a certain fixed mindset to buy goods simply to impress others and not care about your financial situation. Easy to begin, impossible to quit. I suggest never to try it. Now in some respects, we all have to do this to seem reputable and put together but to any extent, it looks obnoxious and completely selfish after a point. In fact, if you overdress with the bling and logos, it is for show. It will be harder for people to be attracted to your character and smarts since youâre trying too hard. Tame it down and you will find more success. Isnât that strange how trying less can give you more? Pay attention to it within the markets as well.
Recently Iâve been reading about the benefits to conspicuous consumption. I know. I was afraid to come across an article that posed the other side to a lifestyle that seems too self-serving yet as an open minded person, I was compelled to listen in.
Believe it or not, I had the guts to read the full top to bottom argument and by the end of it, my perspective on conspicuous consumption flipped on its head.
Swipe
Before you bark at me for not practicing what I preach, hear me out. Although this is a valid argument, Iâm still a frugal minimalist stealth wealth consumer at heart. Itâs in my DNA, makes me feel more comfortable, secure, and myself all in the best way. I wouldnât change it for the world because at the end of the day, if you feel the need to impress everyone, you donât have a healthy amount of self-esteem and must work on your insecurity and self-confidence. Itâs the mindset and self-talk that counts.
The Benefits
To some sociologists, conspicuous or conscious consumption in a way is a form of superior good, diminishing income inequality that exists in society if done correctly. They believe an egalitarian policy would emerge which inherently reduces the conspicuous consumption of luxury goods and services. This sounds a bit absurd since the only way this could really be achieved is if the price of goods and services dramatically decline or get to leveled low prices which is not likely to ever happen. Due to inflation, they are only rising 7%.
For the capitalists out there, conspicuous consumption certainly promotes economic growth and prosperity. Despite or because of the pandemic, corporate earnings have been bolstered and at-home to even in-person industries such as the tourism, hospitality, leisure and travel have seen a swift recovery in 2021 all fueled by a surge in retail spending and as a result, inflation spurred by the easy money policies by the Fed.
Conspicuous consumption is simply to acquire more than one needs, with extra disposable income on hand deciding to acquire more tangibles to simply display oneâs social status instead of investing it.
It isnât necessary but sociologists believe one day it will be a way towards a more egalitarian society, which I beg to differ. How about a flat tax or wealth ceiling proposed by the Danes? Luxury spending will naturally be lowered this way and conspicuous consumers could vanish.
No matter what your stance is, realize more goods wonât solve more of your problems. They donât vanish, in fact, mo money = mo problems. Read here what I mean.
You need to focus internally first. Be a little selfish and invest in yourself first. Education is a true luxury. Itâll feel better too.
Stuff is cheap, people are expensive, especially their tastes.