Our society relies heavily on consumerism in order to keep the world economy in a stable shape. We unconsciously buy more than we need, thinking that every product on the market represents a necessity and we absolutely need it. But how does our spending behavior influence the rate of international consumption?
Two crucial factors that account for understanding the world’s consumption are wage inequality and social division. In a 2005 study, researchers concluded that over 76% of the total private consumption was accredited to the top 20% of the wealthiest earners worldwide, whilst the average middle-class jobholder made up approximately 21% of it. These statistics have not changed drastically over the past few decades. Wealthy individuals spend their income in a completely different manner than the rest of society. They prioritize purchasing objects that don’t exhibit their value. For example, you might think a plain T-shirt would cost 10$ at most, but in the world of the richest, it could cost up to 400$. Confident, well-off consumers buy such expensive items partly for their impeccable quality, but mainly to be recognized by others. Only somebody truly skilled and with the proper expertise (and budget) could tell the difference between two white T-shirts with such a different price tag.
In contrast, middle-class income workers who want to appear wealthier tend to purchase items with visible logos. They are also more likely to spend more money if there is a considerable sale such as Boxing Day or Black Friday. With this phenomenon, a new subgenre of the consumer market arises - counterfeit products, which are usually produced in a poor manner in sweatshops by underpaid workers. This industry has rocketed in recent years, being worth now around 3 trillion dollars. Nowadays, you can buy anything counterfeited at a fraction of the original price ranging from clothing to even medicine. Purchasing this type of merchandise gives the illusion of affluence only to individuals who aren’t familiar with the things that the truly rich acquire.
No matter what our spending habits look like, we should be aware of the fact that over-consumerism has irreversible effects on our planet which accelerate climate change. Instead of focusing on the quantity or the price of something we buy, we should focus if it truly has a purpose in our life and if it will help us in any way.
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