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The Velvet Rope Economy
Book

The Velvet Rope Economy

How Inequality Became Big Business

Doubleday, 2020 plus...


Editorial Rating

9

Qualities

  • Analytical
  • Eye Opening
  • Concrete Examples

Recommendation

New York Times economic specialist Nelson D. Schwartz explores the “velvet ropes” that businesses – and, increasingly, public institutions – erect to separate haves from have-nots. The have-nots suffer long lines and shabby treatment. The haves get fast lanes of such improved circumstances that they don’t notice or care about the dilapidation of services for everybody else. These socioeconomic fault lines isolate groups of people from one another – based on ability to pay – and fray the social cohesion that binds communities and creates broad support for their institutions.

Take-Aways

  • “Velvet Rope” divisions pervade the economy, separating consumers into tiers according to how much they can pay for extra services.
  • Marketers encourage “benign envy” to drive customers to aspire for higher status and to spend more on perks. 
  • Sports and music events have their distinct versions of velvet ropes.

About the Author

Nelson D. Schwartz covers economics for The New York Times.


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