People spend money for apparently many reasons. We spend money to sustain our daily lives; we spend money for foods, rents and many other bills. Though we predominantly spend money for good reasons, some people in a bid to enlighten their lives extravagantly spend money. Considering that spending money copiously requires one to have a consistent flow of income, the aftermath in the long run has some effects (Charles et al. 45). Though one enjoys the benefits realized from spending money, the repercussion effects of the same are inevitable. Considering that people tend to spend more on the grounds of maintaining their image irrespective of the amount they earn, they end up facing dire upshots at times when they have no money to spend. With the above said, this essay will scrutinize how and why people spend money to maintain their image and the aftermath effects that come along with the spending.
Arguably, some people spend money as a way of keeping up with an image. Majority of people predominantly the youths think that if they fall below a certain level people around them will think less of them. Though the truth behind this is that the people around them will think and perceive them the same way, majority of them end up overspending in an effort to sustain that particular image. In addition to the above, some people work to maintain a particular image owing their low self-esteem. Considering that such people will want to fit to a particular group that acts and think in a particular way. They end up spending more on things like clothing’s and foods as a way of establishing a new definition of self to those around them.
In our modern day society, many things have evolved. Fashion, for instance, has since evolved to a level where competition among those who strongly adhere to it has become inevitable. In a way to maintain the image of being perceived as fashion conscious, an individual will spend a lot of money on clothing and jewellery irrespective of his or her financial situation. In other cases, celebrities end up spending much of their money on things that foster their personal image rather than doing things that in essence make them happy in the aftermath. As a way of maintaining a certain image, the celebrities will drive lavish cars, go to expensive hotels, rent expensive houses and engage themselves in costly activities.
In a nutshell, working to maintain a certain image is an imperative cause to money spending as accentuated in the above arguments. It is of the essence to denote that; though the act of spending money is inevitable. Spending money for the purpose of maintaining a certain image will have some dire repercussions in the aftermath that will in the fundamental nature surpass the effects felt during the course of spending the money (Tan and Frank 318).
Consequent to the overspending nature of the individual who seeks to maintain a particular self-image are many effects that are in the main not positive. Firstly, the overspending nature of the individual who seeks to maintain a particular image will compel him or her to borrow money from banks (Tan and Frank 320). Considering that this individual will have no money to save in the aftermath, he or she will be prone to debts hence bankruptcy. Bankruptcy in effect causes poverty. The above is unlike the case where one spends his or her money sensibly.
Considering that the initial intent of spending the money was to maintain a particular image. One will be subjected to psychological torture that will in essence distract him or her from his or her sleep, job, and in the long run cause him or her marital strife. With the current dampened economical situation and the perilous job situation, engaging in spending that are unnecessary like the one where an individual seek to maintain a particular image fosters poverty and bankruptcy. The effect of bankruptcy in our modern day society is evident in many apparent ways. A number of people based on research findings end up being psychologically tortured and becoming poor subsequent to the dire need to establish or otherwise maintain a particular image to those around them (Lo and Nigel 164).
The second effect of spending money on grounds of maintaining a particular image is the effect of paying additional interest. In most cases, those that spend money to maintain a particular image borrow money from financial institutions adding new debt to the already existing debt (Creedy and Cath 125). Considering that he or she cannot pay the debt in full amount consequent when the bill arrives. He or she will end up accumulating the debt to higher quantities owing the interests that come along with the same. Based on research findings, interests rates adjusted to inflations will have tripled in ten years to come. In cases were interest is calculated using the current debt amount. An individual who borrows more debt on top of the current debt will be predisposed to paying huge amounts of money in the aftermath ensuing the accumulating interest. The above is avoidable if only the individual becomes aware of the consequences of borrowing money prior to visiting the financial institutions that offer debts. In the main, an individual will have to face dire consequence of accumulating debt in quantities that are apparently higher than he or she earns. Having the strain of paying accumulated debt owing the interest will cause stress and psychological torture to an individual in the long run.
Thirdly, the individual who engage himself or herself in spending with the main reason being to maintain a certain image. Will certainly cause a crushing burden on the upcoming future generations particularly his or her children (Lo and Nigel 168). Considering that such individuals will be working to reduce debts rather than making developments. His or her children in the future will have an insufficient amount to acquire high-level educations and meet their basic needs. Apparently, the act of too much spending on the grounds of maintaining a particular image will possibly cause a crushing burden on the upcoming future generations particularly the children of those who engage in the same.
Summarily, many people spend money for many reasons. One of the reasons brought forth in this essay is the use of money on the grounds of keeping up with a certain image. From the arguments in the essay, it is evident that people will go to extra miles in a bid to acquire money they will use to maintain their image. Consequent to this habit, people will end up going bankrupt, causing a crushing burden on the upcoming future generations particularly his or her children and paying additional interest on their accumulated debts.
Works Cited
Charles, Kerwin K., Geng Li, and Robert Schoeni. "Overspending–Who, Why, and How?."
Unpublished paper, National Poverty Center, Gerald R. Ford School of Public Policy, the University of Michigan (2006).
Creedy, John, and Cath Sleeman. The Distributional Effects of Indirect Taxes: Models and
Applications from New Zealand. Edward Elgar Publishing, 2006.
Lo, Hui-Yi, and Nigel Harvey. "Effects of shopping addiction on consumer decision-making:
Web-based studies in real time." Journal of Behavioral Addictions 1.4 (2012): 162-170.
Tan, Hun-Tong, and J. Frank Yates. "Financial budgets and escalation effects."
Organizational Behavior and Human Decision Processes 87.2 (2002): 300-322.
