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Home/Featured/How the World Embraced Consumerism

How the World Embraced Consumerism

Capitalism preserved its momentum by moulding the ordinary person into a consumer with an unquenchable thirst for its "wonderful stuff."

Written by Kerryn Higgs | Thursday, January 28, 2021

Over the course of the 20th Century, capitalism moulded the ordinary person into a consumer. Kerryn Higgs traces the historical roots of the world’s unquenchable thirst for more stuff.

 

The notion of human beings as consumers first took shape before World War One, but became commonplace in America in the 1920s. Consumption is now frequently seen as our principal role in the world.

People, of course, have always “consumed” the necessities of life – food, shelter, clothing – and have always had to work to get them or have others work for them, but there was little economic motive for increased consumption among the mass of people before the 20th Century.

Quite the reverse: frugality and thrift were more appropriate to situations where survival rations were not guaranteed. Attempts to promote new fashions, harness the “propulsive power of envy,” and boost sales multiplied in Britain in the late 18th Century. Here began the “slow unleashing of the acquisitive instincts,” write historians Neil McKendrick, John Brewer, and J H Plumb in their influential book on the commercialisation of 18th-Century England, when the pursuit of opulence and display first extended beyond the very rich.

But, while poorer people might have acquired a very few useful household items – a skillet, perhaps, or an iron pot – the sumptuous clothing, furniture, and pottery of the era were still confined to a very small population.

In late 19th-Century Britain a variety of foods became accessible to the average person, who would previously have lived on bread and potatoes – consumption beyond mere subsistence. This improvement in food variety did not extend durable items to the mass of people, however. The proliferating shops and department stores of that period served only a restricted population of urban middle-class people in Europe, but the display of tempting products in shops in daily public view was greatly extended – and display was a key element in the fostering of fashion and envy.

Although the period after World War Two is often identified as the beginning of the immense eruption of consumption across the industrialised world, the historian William Leach locates its roots in the United States around the turn of the century.

In the US, existing shops were rapidly extended through the 1890s, mail-order shopping surged, and the new century saw massive multi-storey department stores covering millions of acres of selling space. Retailing was already passing decisively from small shopkeepers to corporate giants who had access to investment bankers and drew on assembly-line production of commodities, powered by fossil fuels. The traditional objective of making products for their self-evident usefulness was displaced by the goal of profit and the need for a machinery of enticement.

“The cardinal features of this culture were acquisition and consumption as the means of achieving happiness; the cult of the new; the democratisation of desire; and money value as the predominant measure of all value in society,” Leach writes in his 1993 book “Land of Desire: Merchants, Power, and the Rise of a New American Culture”. Significantly, it was individual desire that was democratised, rather than wealth or political and economic power.

Release from the perils of famine and premature starvation was in place for most people in the industrialised world soon after WWI ended. US production was more than 12 times greater in 1920 than in 1860, while the population over the same period had increased by only a factor of three, suggesting just how much additional wealth was theoretically available. The labour struggles of the 19th Century had, without jeopardising the burgeoning productivity, gradually eroded the seven-day week of 14- and 16-hour days that was worked at the beginning of the Industrial Revolution in England. In the US in particular, economic growth had succeeded in providing basic security to the great majority of an entire population.

In these circumstances, there was a social choice to be made. A steady-state economy capable of meeting the basic needs of all, foreshadowed by philosopher and political economist John Stuart Mill as the stationary state, seemed well within reach and, in Mill’s words, likely to be an improvement on “the trampling, crushing, elbowing and treading on each other’s heels … the disagreeable symptoms of one of the phases of industrial progress”. It would be feasible to reduce hours of work further and release workers for the spiritual and pleasurable activities of free time with families and communities, and creative or educational pursuits. But business did not support such a trajectory, and it was not until the Great Depression that hours were reduced, in response to overwhelming levels of unemployment.

In 1930, the US cereal manufacturer Kellogg adopted a six-hour shift to help accommodate unemployed workers, and other forms of work-sharing became more widespread. Although the shorter workweek appealed to Kellogg’s workers, the company, after reverting to longer hours during WWII, was reluctant to renew the six-hour shift in 1945. Workers voted for it by three-to-one in both 1945 and 1946, suggesting that, at the time, they still found life in their communities more attractive than consumer goods. This was particularly true of women. Kellogg, however, gradually overcame the resistance of its workers and whittled away at the short shifts until the last of them were abolished in 1985.

Even if a shorter working day became an acceptable strategy during the Great Depression, the economic system’s orientation toward profit and its bias toward growth made such a trajectory unpalatable to most captains of industry and the economists who theorised their successes. If profit and growth were lagging, the system needed new impetus. The short depression of 1921–1922 led business leaders and economists in the US to fear that the immense productive powers created over the previous century had grown sufficiently to meet the basic needs of the entire population and had probably triggered a permanent crisis of overproduction. Prospects for further economic expansion were thought to look bleak.

The historian Benjamin Hunnicutt, who examined the mainstream press of the 1920s, along with the publications of corporations, business organisations, and government inquiries, found extensive evidence that such fears were widespread in business circles during the 1920s. Victor Cutter, president of the United Fruit Company, exemplified the concern when he wrote in 1927 that the greatest economic problem of the day was the lack of “consuming power” in relation to the prodigious powers of production.

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