In contemporary society, a large sum of individuals find themselves falling into debt, due to unnecessary purchases of unaffordable items. This phenomenon can be attributed by social and economical standards. This essay will elaborate on the reasoning and prevention of such behaviour.
First and foremost, individuals can find themselves in such financial burden due to influence of the modern world. Social media and advertisement of luxurious clothing, bags and vehicles can create a pressure within themselves to own high-end products to project an image of wealth. For example, a recent study showed that products that are promoted and advertised on social media by famous personals has a higher chance of being sold out in store and online compared to products of similar use. Furthermore, the access of credit cards and loans has become effortless for consumers. This thereby leads to impulsive purchases, over looking the financial burden it may cause in the long run.
To prevent this trend, many strategies can be implemented. Firstly, financial programs should be provided to learners in education, for essential money managing skills. Learning about budgeting, saving, investing and consequences of debt will help them reconsider spending habits. For example, business classes are beginning to become a compulsory subject rather than an optional subjects for GCSE across the nation. Finally, financial advisers and the government should emphasis on the outcome of debt or launch new regulations on credit card usage which would minimise the chances of getting trapped in debt. For instance, a recent survey indicated that credit card holders with appropriate financial advise as made better choices in saving their money.
To conclude, a lion share of our society has a tendency to over consume and purchase lavish items due to social pressure and a lack of financial education. Both these issues can be resolved by giving appropriate guidance to grown-ups and introducing educational classes to students. This will promote the society to make healthier financial decisions.