surely that's not possible
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veblen goods are more valuable as they get more expensive so they wouldn't cause the budget constraint needed for giffen goods
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Goods you were already consuming becoming more valuable to you does not cause your purchasing power to increase.
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what else could purchasing power possibly mean?
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Ability to purchase goods. This goes down if price goes up.
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Or ability to purchase goods weighted by how valuable the goods are.
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One might think this stays constant if price and value of goods rise proportionally, but increases in value of conspicuous consumption goods typically is relative to the value of substitutes, and ability to extract value from goods in general does not increase along with price.
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Anyway, the point is, if you keep buying a good whose price has risen, you have less money left over to spend on other goods, and the fact that the good's value to you has increased does not change this.
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Thanks. Twitter will use this to make your timeline better. UndoUndo
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Modern art.
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how about first-edition Make America Great Again hats under a dystopian police-state scenario where they become valuable as indicators of loyalty
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