A Quote by Adam Smith
Consumption is the sole end and purpose of all production; and the interest of the producer ought to be attended to only so far as it may be necessary for promoting that of the consumer. The maxim is so perfectly self-evident that it would be absurd to attempt to prove it. But in the mercantile system the interest of the consumer is almost constantly sacrificed to that of the producer; and it seems to consider production, and not consumption, as the ultimate end and object of all industry and commerce.
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Consumption is the sole end and purpose of all production; and the interest of the producer ought to be attended to, only so far as it may be necessary for promoting that of the consumer.
Consumption is the sole end and purpose of all production.
I shall argue that it is the capital stock from which we derive satisfaction, not from the additions to it (production) or the subtractions from it (consumption): that consumption, far from being a desideratum, is a deplorable property of the capital stock which necessitates the equally deplorable activity of production: and that the objective of economic policy should not be to maximize consumption or production, but rather to minimize it, i.e. to enable us to maintain our capital stock with as little consumption or production as possible.
Smith, as we have said, was not the proponent of any one class. He was a slave to his system. His whole economic philosophy stemmed from his unquestioning faith in the ability of the market to guide the system to its point of highest return. The market — that wonderful social machine — would take care of society's needs if it was left alone. "Consumption is the sole end and purpose of all production," he wrote.
It is too narrow an understanding of production which confines it merely to the making of things. Production includes not merely the making of things, but the bringing of them to the consumer. The merchant or storekeeper is thus as truly a producer as is the manufacturer, or farmer, and his stock or capital is as much devoted to production as is theirs.
Consumption is also immediately production, just as in nature the consumption of the elements and chemical substances is the production of the plant.
It was only in the late nineteenth century and then the twentieth century, with the maturation of consumer capitalism, that a shift was made toward the cultivation of unbounded desire. We must appreciate this to realize that late modern consumption, consumption as we now know it, is not fundamentally about materialism or the consumption of physical goods. Affluence and consumer-oriented capitalism have moved us well beyond the undeniable efficiencies and benefits of refrigeration and indoor plumbing.
According to the International Institute for Environment and Development, the annual amount spent globally on advertising aimed at increasing consumption topped $430 billion in 1998.Consumer capitalism is dedicated to the proposition that production is good in itself, no matter what is produced. The net effect is the massive production of absurd, empty and useless items which are nevertheless utterly serious since we earn our living from them, and dedicate our leisure time to them.
People are hungry for community. They're hungry for meaning in a society that is oriented around the production and consumption of consumer goods.
Developed and benefited from the unsustainable patterns of production and consumption which have produced our present dilemma. It is clear that current lifestyles and consumption patterns of the affluent middle class-involving high meat intake, consumption of large amounts of frozen and convenience foods, use of fossil fuels, appliances, home and work-place air-conditioning, and suburban housing-are not sustainable. A shift is necessary toward lifestyles less geared to environmentally damaging consumption patterns.
The model of the consumer society is something that will one day end. My personal view is that too much consumption is wrong.
Production for sale in a market in which the object is to realize the maximum profit is the essential feature of a capitalist world-economy. In such a system production is constantly expanded as long as further production is profitable, and men constantly innovate new ways of producing things that will expand the profit margin.
Even today you can look through almost any consumer or professional publication and find headlines that possess not a single one of the necessary qualities, such as self-interest, news, or curiosity.
The system has for its object an increase of persons that are to intervene between the producer and the consumer, living on the product of the land and labour of others, diminishing the power of the first, and increasing the number of the last.
The customer will become so integrated into the production process that we will find it more and more difficult to tell just who is actually the consumer and the producer.
Likewise, the world of action, of politics, is reduced to a conflict of views about how to keep the cycle of production and consumption going. Questions of ultimate purpose are excluded from the public world.
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