Veblens Theory of Conspicuous Consumption - Essay Example

The theory of conspicuous consumption is evident in the lives of very many people today. For instance, many renowned celebrities today such as rappers, singers, actors, sports personalities, deejays, and socialites among others are known to make a lot of money. These celebrities do not shy from spending their money lavishly in ways that are intended to provoke the envy of other members of the public just as stipulated in Veblen’s theory of conspicuous consumption. They simply do this as a means of displaying their superior socio-economic status and letting the world know that they are economically powerful. For example, popular celebrity actor Jennifer Aniston passed by a New York lighting store and spent $ 20,000 on lights for her mansion in Los Angeles. While in Paris, socialite Kim Kardashian spent more than $ 100,000 on buying less than seven handbags for herself. Victoria Beckham was also recorded as having spent more than $ 1.5 million on clothes, sunglasses, shoes, and bags. Other conspicuous spenders include Brad Pitt who spent more than $ 10,000 at once just buying boy’s clothes.

The fact that the above-mentioned celebrities go on these spending sprees conspicuously and end up attracting the attention of members of the public on their spending abilities proves that Veblen’s theory of conspicuous spending is still relevant today because it is evident in the spending habits of a group of people who wish to maintain a certain social status. According to Veblen’s theory, this social class of super-rich people came into sight as an outcome of the accumulation of wealth during the Second Industrial Revolution. That is the same case with the people who conspicuously spend money on luxury items today. They usually accumulate their wealth through various ventures that they engage in. After accumulating their wealth, they apply it as a way of publicly displaying their social and economic power. This is regardless of the fact that this power may be real or perceived as is the case with many such spenders today who languish in debts just to maintain a certain social status.

In summary, it is correct to conclude that Veblen’s theory of conspicuous consumption is very relevant today. The tenets of this theory can clearly be seen in the spending habits of some celebrities who purchase luxury goods and services so that people can know their financial might and for them to maintain a certain class in society. These spenders usually ensure that people are aware of their spending habits and just how much cash they have to throw around on luxury goods and services. This form of conspicuous spending is what makes Veblen’s theory very relevant today.