Originally Posted by eponymous_coward

This is all well and good until you realize that first class on an airplane is priced and marketed as a Veblen good.

A lot of people in the world don't have the ability or inclination to buy Veblen goods. They don't buy Bugatti Veyrons or SQ Suites tickets. In fact, there's a decent amount of research that indicates that millionaires do NOT go for Veblen goods- it's often people who spend as much as they make who get into the "I must have the fancy car and the first class tickets" status symbol trap that prevents them from accumulating wealth.

And that, simply put, is why some people in this community and in the blogger world think that 3000 AMEX points and $2.50 USD that turn into a $500 coach fare is actually a good deal- because they wouldn't dream of ever shelling out $10,000 or more for :-:FIRST CLASS!!!!:-: when they could pay a child's private school tuition for a year with that money, but they have to pay $500 for plane tickets all the time.