Business & Economics Collection: Thorstein Veblen Edition (30+ Works in One Volume). Thorstein Veblen

      From the foregoing survey of the growth of conspicuous leisure and consumption, it appears that the utility of both alike for the purposes of reputability lies in the element of waste that is common to both. In the one case it is a waste of time and effort, in the other it is a waste of goods. Both are methods of demonstrating the possession of wealth, and the two are conventionally accepted as equivalents. The choice between them is a question of advertising expediency simply, except so far as it may be affected by other standards of propriety, springing from a different source. On grounds of expediency the preference may be given to the one or the other at different stages of the economic development. The question is, which of the two methods will most effectively reach the persons whose convictions it is desired to affect. Usage has answered this question in different ways under different circumstances.

      So long as the community or social group is small enough and compact enough to be effectually reached by common notoriety alone that is to say, so long as the human environment to which the individual is required to adapt himself in respect of reputability is comprised within his sphere of personal acquaintance and neighborhood gossip—so long the one method is about as effective as the other. Each will therefore serve about equally well during the earlier stages of social growth. But when the differentiation has gone farther and it becomes necessary to reach a wider human environment, consumption begins to hold over leisure as an ordinary means of decency. This is especially true during the later, peaceable economic stage. The means of communication and the mobility of the population now expose the individual to the observation of many persons who have no other means of judging of his reputability than the display of goods (and perhaps of breeding) which he is able to make while he is under their direct observation.

      The modern organization of industry works in the same direction also by another line. The exigencies of the modern industrial system frequently place individuals and households in juxtaposition between whom there is little contact in any other sense than that of juxtaposition. One's neighbors, mechanically speaking, often are socially not one's neighbors, or even acquaintances; and still their transient good opinion has a high degree of utility. The only practicable means of impressing one's pecuniary ability on these unsympathetic observers of one's everyday life is an unremitting demonstration of ability to pay. In the modern community there is also a more frequent attendance at large gatherings of people to whom one's everyday life is unknown; in such places as churches, theaters, ballrooms, hotels, parks, shops, and the like. In order to impress these transient observers, and to retain one's self-complacency under their observation, the signature of one's pecuniary strength should be written in characters which he who runs may read. It is evident, therefore, that the present trend of the development is in the direction of heightening the utility of conspicuous consumption as compared with leisure.

      It is also noticeable that the serviceability of consumption as a means of repute, as well as the insistence on it as an element of decency, is at its best in those portions of the community where the human contact of the individual is widest and the mobility of the population is greatest. Conspicuous consumption claims a relatively larger portion of the income of the urban than of the rural population, and the claim is also more imperative. The result is that, in order to keep up a decent appearance, the former habitually live hand-to-mouth to a greater extent than the latter. So it comes, for instance, that the American farmer and his wife and daughters are notoriously less modish in their dress, as well as less urbane in their manners, than the city artisan's family with an equal income. It is not that the city population is by nature much more eager for the peculiar complacency that comes of a conspicuous consumption, nor has the rural population less regard for pecuniary decency. But the provocation to this line of evidence, as well as its transient effectiveness, is more decided in the city. This method is therefore more readily resorted to, and in the struggle to outdo one another the city population push their normal standard of conspicuous consumption to a higher point, with the result that a relatively greater expenditure in this direction is required to indicate a given degree of pecuniary decency in the city. The requirement of conformity to this higher conventional standard becomes mandatory. The standard of decency is higher, class for class, and this requirement of decent appearance must be lived up to on pain of losing caste.

      Consumption becomes a larger element in the standard of living in the city than in the country. Among the country population its place is to some extent taken by savings and home comforts known through the medium of neighborhood gossip sufficiently to serve the like general purpose of Pecuniary repute. These home comforts and the leisure indulged in—where the indulgence is found—are of course also in great part to be classed as items of conspicuous consumption; and much the same is to be said of the savings. The smaller amount of the savings laid by by the artisan class is no doubt due, in some measure, to the fact that in the case of the artisan the savings are a less effective means of advertisement, relative to the environment in which he is placed, than are the savings of the people living on farms and in the small villages. Among the latter, everybody's affairs, especially everybody's pecuniary status, are known to everybody else. Considered by itself simply—taken in the first degree—this added provocation to which the artisan and the urban laboring classes are exposed may not very seriously decrease the amount of savings; but in its cumulative action, through raising the standard of decent expenditure, its deterrent effect on the tendency to save cannot but be very great.

      A felicitous illustration of the manner in which this canon of reputability works out its results is seen in the practice of dram-drinking, "treating," and smoking in public places, which is customary among the laborers and handicraftsmen of the towns, and among the lower middle class of the urban population generally Journeymen printers may be named as a class among whom this form of conspicuous consumption has a great vogue, and among whom it carries with it certain well-marked consequences that are often deprecated. The peculiar habits of the class in this respect are commonly set down to some kind of an ill-defined moral deficiency with which this class is credited, or to a morally deleterious influence which their occupation is supposed to exert, in some unascertainable way, upon the men employed in it. The state of the case for the men who work in the composition and press rooms of the common run of printing-houses may be summed up as follows. Skill acquired in any printing-house or any city is easily turned to account in almost any other house or city; that is to say, the inertia due to special training is slight. Also, this occupation requires more than the average of intelligence and general information, and the men employed in it are therefore ordinarily more ready than many others to take advantage of any slight variation in the demand for their labor from one place to another. The inertia due to the home feeling is consequently also slight. At the same time the wages in the trade are high enough to make movement from place to place relatively easy. The result is a great mobility of the labor employed in printing; perhaps greater than in any other equally well-defined and considerable body of workmen. These men are constantly thrown in contact with new groups of acquaintances, with whom the relations established are transient or ephemeral, but whose good opinion is valued none the less for the time being. The human proclivity to ostentation, reenforced by sentiments of good-fellowship, leads them to spend freely in those directions which will best serve these needs. Here as elsewhere prescription seizes upon the custom as soon as it gains a vogue, and incorporates it in the accredited standard of decency. The next step is to make this standard of decency the point of departure for a new move in advance in the same direction—for there is no merit in simple spiritless conformity to a standard of dissipation that is lived up to as a matter of course by everyone in the trade.

      The greater prevalence of dissipation among printers than among the average of workmen is accordingly attributable, at least in some measure, to the greater ease of movement and the more transient character of acquaintance and human contact in this trade. But the substantial ground of this high requirement in dissipation is in the last analysis no other than that same propensity for a manifestation of dominance and pecuniary decency which makes the French peasant-proprietor parsimonious and frugal, and induces the American millionaire to found colleges, hospitals and museums. If the canon of conspicuous consumption were not offset to a considerable extent by other features of human nature, alien to it, any saving should logically be impossible for a population situated as the artisan and laboring classes of the cities are at present, however high their wages or their income might be.

      But there are other standards of repute