The Veblen effect, or How we unconsciously buy up all goods

Эффект Веблена, или Как мы неосознанно скупаем все товары 

Many people are faced with a situation when accidentally takes an entirely unnecessary thing. What emotions they experienced? What prompted them to reckless spending? “Rambler” has tried to find answers to these questions.The economist was rightsabout the 1950s, the American economist Harvey Leibenstein outlined a new deviation in human behavior and called it “Veblen effect”. Harvey noted that everyone can behave like a real snob without realizing it. According to Leibenstein, effect occurs when people buy goods in order to make a lasting impression on others. Man does not measure the real price of the product and adds it to the prestigious buying potential, increasing the cost several times. The Veblen effect is relevant for people who appreciate the status of the product and are committed to any brands and famous brands. This effect may be that people in so-called limbo and trying to change their social status is higher. Most interesting, the effect, the higher the price, the faster the demand for the product.How does this affect psychicweb to see the effect of Veblen’s effect on the human psyche, just look at the people around you. First and foremost, it is an indication that the psyche of the people, prone to the effect, dominated by the motives of the desire for luxury, independence and prestige. His influence to a greater extent to the young. In the modern world the notion the more expensive novelties, the more people will want to buy them. This is not quite the right balance of price, quality and consumer desires affect the self-esteem of adolescents and many adults. They can consider themselves successful enough and happy if you don’t have certain things, which can afford more. Also the Veblen effect dominates in terms of economic stratification and increases the risk of inciting a mass conflict between rich and poor people of the Earth.Similar to snoweffect Veblen has characteristics similar to the effect of a snob. But it is worth noting that there are significant features, which indicate that the effect of outdoor Harvey, can Express present mental disorder of the person. The snob effect depends on the size of the consumption of others, while Veblen effect depends primarily on prices for similar products when the consumer chooses the highest price possible. People suffering from this disorder, losing an objective vision of the picture. Hoping not to burn, they pay a lot of money to please others.

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