The Impact of Economic Perceptions on Status Consumption: An Exploratory Study of the Moderating Role of Education

The purpose of this study was to determine if there was a relationship between economic perceptions and consumers’ motivation to consume for status and if this relationship was moderated by education level. Based on a stratified random sample of consumers in the southeastern USA, those consumers with a lower level of economic welfare (i.e., see the economy and their family’s financial situation as worse this year versus last year) are less motivated to consume for status. Furthermore, this relationship was positively moderated by education. In terms of consumer confidence, no relationship was found between consumer confidence and status consumption. The results suggest that those consumers who perceive themselves to be financially better off this year versus last, particularly those more educated, are more motivated to consume for status.