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Consumerism

Acquisition of goods beyond essential needs

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  • 3 chapters
Mall cultural in Jakarta, Indonesia .
Jonathan McIntosh · CC BY 2.0

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Consumerism has been criticized by both individuals who choose other ways of participating in the economy (i.e. choosing simple living or slow living) and environmentalists concerned about its impact on the planet. Experts often assert that consumerism has physical limits, such as growth imperative and overconsumption, which have larger impacts on the environment. This includes direct effects like overexploitation of natural resources or large amounts of waste from disposable goods and significant effects like climate change. Similarly, some research and criticism focuses on the sociological effects of consumerism, such as reinforcement of class barriers and creation of inequalities.

Evolution of the term

The term "consumerism" has several definitions. These definitions may not be related to each other and they conflict with each other.

In a 1955 speech, John Bugas, a vice president of the Ford Motor Company, coined the term "consumerism" as a substitute for "capitalism" and better describe the American economy:

The term consumerism would pin the tag where it actually belongs – on Mr. Consumer, the real boss and beneficiary of the American system. It would pull the rug right out from under our unfriendly critics who have blasted away so long and loud at capitalism.

Bugas's definition aligned with Austrian economics founder Carl Menger's conception of consumer sovereignty, as laid out in his 1871 book Principles of Economics, whereby consumer preferences, valuations, and choices control the economy entirely. This view stood in direct opposition to Karl Marx's critique of the capitalist economy as a system of exploitation.

For social critic Vance Packard, however, "consumerism" was not a positive term about consumer practices but rather a negative term, meaning excessive materialism and wastefulness. In the advertisements for his 1960 book The Waste Makers, the word "consumerism" was prominently featured in a negative way.

One sense of the term relates to efforts to support consumers' interests. By the early 1970s it had become the accepted term for the field and began to be used in these ways:

  1. Consumerism is the concept that consumers should be informed decision makers in the marketplace. In this sense consumerism is the study and practice of matching consumers with trustworthy information, such as product testing reports.
  2. Consumerism is the concept that the marketplace itself is responsible for ensuring social justice through fair economic practices. Consumer protection policies and laws compel manufacturers to make products safe.
  3. Consumerism refers to the field of studying, regulating, or interacting with the marketplace. The consumer movement is the social movement which refers to all actions and all entities within the marketplace which give consideration to the consumer.

While the above definitions were becoming established, other people began using the term consumerism to mean "high levels of consumption". This definition has gained popularity since the 1970s and began to be used in these ways:

  1. Consumerism is the selfish and frivolous collecting of products, or economic materialism. In this sense consumerism is negative and in opposition to positive lifestyles of anti-consumerism and simple living.
  2. Consumerism is a force from the marketplace which destroys individuality and harms society. It is related to globalization and in protest against this some people promote the "anti-globalization movement".

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