High prices may be naturally assumed to deter many from buying more of something than they need, which can have benefits if that item is unsustainable. Research from Penn State shows, however, that when an individual is wealthy, they tend to buy more of the unsustainable item when it’s pricier.
The researchers found that upper-class people were more likely to buy unsustainable goods when they were pricier as the higher price was found to make them feel more entitled to the benefits of the items and ignore the environmental costs associated with them.
Social costs
Crucially, this also seemed to extend to other purchases that might incur a social cost. This phenomenon only really evaporated when consumers were encouraged to think of other people as being equal. In a world in which we’re encouraging people to make sustainable choices, the researchers believe their findings could be crucial.
“If we want to turn off the purchase of socially costly products, then we need to focus on messaging strategies that encourage people to think more about the overall equality of human beings,” they explain. “When we prompt people to think about equality, or to think more about the environment, then we can circumvent this effect and make them not as likely to accept these social costs just because they paid a high price for the product.”
Traditionally, we have thought that when given the choice between equal products, we will plump for the one that offers social benefits, such as being more sustainable. This doesn’t always translate into people buying greener products, however, especially when a more convenient option is available.
Across a number of experiments, the researchers found that high prices give us an entitlement to whatever the benefits of the product are and encourage us to dismiss any negative externalities that come with the product. This can be especially prominent among wealthier people.
Sense of entitlement
“It’s possible for people to have a chronic sense of entitlement, but our findings were focused on this specific tendency for price to trigger a feeling of being justified in their purchases,” the researchers explain. “We’re also not talking about really severe social costs. If the cost would be very high, like someone being physically harmed, we wouldn’t see this effect.”
What’s more, the researchers argue that people from lower social classes may think in a more communal manner, which can help to protect them from any sense of entitlement from paying a higher price for something.
“This might come from the experience of having to rely more on their community, and therefore being more communal-minded and less likely to think transactionally,” they conclude. “They are more likely to recognize the social cost and think of it as hurting their community, and they’re not willing to incur that cost, even if they pay more.”
