Veblen Effect (or Veblen Good) is the desire to achieve social status by signalling wealth through conspicuous consumption that shows a positive relationship between price and demand. A Veblen Good is a type of luxury good for which the demand increases as the price increases, in apparent contradiction of the law of demand, resulting in an upward-sloping demand curve that was named after American economist Thorstein Veblen. The Veblen Good generally is considered a high-quality exclusive product and a status symbol.
Related Definitions in the Project: The Commercial Definitions; Project Management
