“Keeping up with the Joneses” was a concept that emerged during the 1950s and never went out of style. Many Americans are still looking to impress their family and friends, and some people base their spending on this concept.
Basing spending decisions on what will look good can be costly. It leads to high debt. But how often is spending based on impressing? And are these individuals in debt?
Spending to Impress Not New
Spending to impress is what economists call “conspicuous consumption.” The phrase has existed since 1899, so this isn’t a modern-day phenomenon. It was originally coined to describe the habits of the emerging upper class. They were made rich by the industrial revolution. This new class wanted to establish their worth in their peers’ eyes. The result was leading a lavish lifestyle to impress.
