Ghosts of Veblen still haunting us

A recent visit to a restaurant in the city left me hungry because I had no prior booking – yet the seats were empty. I assumed the guests were on their way. Not wanting to create a fuss, I left, but it got me thinking.PHOTO: COURTESY

One of the economists I most admire is Thorsten Veblen (1857-1929). He was a Norwegian immigrant who taught at the University of Wisconsin and is famous for coining the term conspicuous consumption.

Simply put, we often buy what we buy not so much because we need it, but because we want to be conspicuous – we are seeking recognition from others.