Conspicuous Consumption in Veblen’s Opinions and the Saving Problem



Obviously, in analyzing and explaining economic and social problems, institutionalism is different from other approaches including neoclassical approach. The problem of poverty and inequality are important for many schools and have led to different analyses. Veblen tries to explain that some classes in society seek to save their position and honor it in many ways. The goal of this article is to show that some behaviors such as conspicuous consumption has some goals beyond honorable by Using analytical-descriptive methods and library references. Honorable behaviors try to keep differences between classes and deepen them, so that the dominant classes in society, developing this kind of characteristic and converting it into habits, will bring other groups to their submission or obedience and prevent the formation saving (a vehicle for going out of the poverty cycle and preventing the deepening of inequality) in the lower classes. Therefore, conspicuous consumption is considered to be a great problem and a great obstacle for the economic capability of some groups.
JEL Classification: O12, E21, B52