ABSTRACT
Only in recent times is attention from economists moving to the topic of consumption, even as Adam Smith claimed in his Wealth of Nations that consumption is the sole end of production. One reason for this increased attention may be that consumption patterns become increasingly fickle. Further, and in contrast to the intuition of economists, considerations about price, given people's budget constraints, seem to play a minor role for consumers in making decisions about what to buy. This seems especially true for what might be called “symbolic goods”, goods that people define themselves in terms of, goods the consumption and use of which helps constitute people's identity, goods that communicate the kinds of commitments people have.
