From the same old DOC file we looked at yesterday, by Karl Widerquist:
Keynes did recognize the possibility that there would be new products to consume, but his prediction rested on a relative diminishing of the cost of our “absolute needs.” He describes two kinds of needs: Absolute needs are things we need regardless of our situation relative to others (i.e. physical needs). Relative needs are the things we need to make ourselves feel equal or superior to others. Keynes did not mention “wants” at all, as if the desire to feel superior to others motivates all of our material wants aside from those directly related to our physical needs.
...as if the desire to feel superior to others motivates all of our material wants... What a great, funny line!
Is that what Keynes thought of people?
Dunno.
Does it matter?
No.
Is it funny?
Uproarious.
1 comment:
I took a marketing class once, and it was axiomatic that there is NO difference between wants and needs.
My protest that I needed transportation, but wanted a Porsche 911 fell on deaf ears.
as if the desire to feel superior to others motivates all of our material wants aside from those directly related to our physical needs.
Not too sure about how literally to take the "all" but it does go a long way towards explaining a lot of economics, as well as other real-world phenomena, like building the world's tallest sky scraper, trophy wives, sports championships and high school cliques.
I'm being totally serious.
JzB
Post a Comment