Growth as Status Signaling

Economic growth and the drive to increase consumption are often less about absolute welfare gains and more about status competition: governments, firms and individuals pursue larger incomes and output because larger material footholds confer comparative social rank. Treating growth primarily as a status signal changes how we evaluate policies (e.g., whether GDP growth or redistribution best improves well‑being). — Recasting growth as a signalling problem implies different policy levers — from status‑reducing institutions to direct well‑being interventions — and shifts debates about priorities for taxation, housing, and work time.