Economists use the theory of Consumerism in an effort to explain how the American market is influenced and shaped by the by the choice of the consumer. Consumerism has been an essential element in economies since the civilization of man and is the foundation to our free-market enterprise. Indeed, consumerism is good for the wants and needs of American society and may be described as a necessary evil. In today’s modern society that is ruled by the cell phone, tablet and plastic credit cards, I argue that Consumerism is necessary in spurning healthy completion in successful markets and, as a highway in our goal of the “American Dream”, is successful in creating consumer “want” to drive markets forward.
Consumerism inspires entrepreneurship, the building block of free-market enterprise and the basis of our economic systems. In American society, the need to invent is directly related to the need to consume and our economy is built solely on this concept. Our economy functions much differently then that of other economies, for example: Canada. In Canada, consumerism was not as prominent as the in the U.S. since Canadian consumers generally focused more on “needs” as “wants”. But as consumerism evolves so does the wants of the consumer. For example, as opposed to 20 years ago, Canadians now spend two and a half more on goods and services (Canadian Bureau of Statistics). According to a recent report by CGA Association of Canada (Certified General Accountants), Canadians are ranked first in asset-to-debt ratio and, opposed to 20% of saved disposable income twenty years ago, Canadians savings have fallen bellow 1%. This higher amount of disposable income spent on goods as services have aided Canada in growing their economy. Canadian spending has been increasing steadily since 1987 (Canadian Bureau of Statistics).
Surprisingly enough, Consumerism also aids Americans views of popular culture. American consumers buy goods according to personal needs and what they deem...
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