You open your phone,
scroll through Instagram, and tada! The Ambanis are throwing yet another
grand wedding. Everyone’s decked out in designer clothes, dripping in luxury,
and flaunting a level of extravagance that feels otherworldly. Then you switch
to a movie, and there it is—a random actress declaring, “If I get married,
it’ll only be in the Katrina wala lehenga.” Price tag? Just 2 lakh. A few
days later, you're back on Instagram, and your feed is flooded with aesthetic
wedding reels. Udaipur, Tuscany, Maldives—you name it, it’s there. Suddenly,
every little girl dreams of having a “fairy-tale” destination wedding, complete
with those dreamy Pinterest vibes. Let’s not play the blame game here. Sure,
people want to spend on their weddings, and that's their choice. But imagine
this: if the same hype were created over buying a PS5 or the latest gaming rig
after binge-watching reels, every Indian parent would flip out. There’d be
lectures, guilt trips, and a lot of “We didn’t raise you like this!” But
somehow, spending 50 lakhs on a wedding venue or 2 lakhs on a lehenga doesn’t
raise the same eyebrows. Why?
The issue isn’t with the
lehenga or the extravagant venue—it’s about utility. What are we really
achieving by wearing designer outfits or hosting million-dollar events? Oh,
you’ll say, “Happiness!” Sure, happiness is important. But does it
always have to cost you your peace of mind—or worse, your last two strands of
hair? Isn’t it possible to find joy within boundaries instead of pushing
ourselves to the brink of financial ruin? But no, boundaries don’t exist
anymore. We’re striving to show off, to prove a point. And sometimes, the price
is far more than money. Take the heartbreaking story I recently read from a
small town in Rajasthan: a father sold his kidney to pay for his daughter’s
wedding dowry. A kidney. Let that sink in. This isn’t a one-off story.
It happens all the time, in different shapes and forms. And that’s why I can’t
help but question this consumption pattern. On what basis are we doing all
this? Are we really okay putting our present, our health, and even our future
at stake just for one day? Yes, weddings are meant to be memorable. But
when did they become a competition? When did we start associating love and
happiness with the cost of a lehenga or the grandeur of a venue? Happiness
shouldn’t come with a price tag that leaves us broke financially or
emotionally.
A false higher standard
of living sneaks in when individuals or governments start spending beyond their
means. It’s like a ticking time bomb, fueled by consumer loans, credit card
swipes, and governments borrowing left, right, and center for flashy infrastructure
or social schemes. All of it adds up to one thing: debt. And over time, this
debt-driven economy starts to crumble under its own weight. High debt servicing
costs eat away resources that could’ve gone into something productive. The
result? Economic instability, rising inequality, and, if things go south,
full-blown financial crises. But the damage doesn’t stop there. This whole
facade is also stretching the rural-urban divide even further. People are so
caught up in chasing an image of success that they forget the price they’re
paying—literally. Take cars, for example. SUVs are the new status symbol, and
buying one, even if it’s way out of budget, has become a trend. Never mind that
it’s a depreciating asset; loans are taken, EMIs pile up, and people willingly
trap themselves in a cycle of debt. All for what? To prove they’ve “made it”?
Expensive hobbies like
golf or splurging on online gaming setups—these aren’t just pastimes anymore;
they’ve become markers of a higher cost of living and, by extension, a higher
standard of living. And it doesn’t stop there. We walk into malls and suddenly
forget all limits. Anything that catches our eye? We grab it. It’s like we’re
willingly falling into the traps of clever marketing and “mall culture.” Some
people even go to malls just for fun—where basic food and clothing are
ridiculously overpriced, thanks to the fancy infrastructure of the place.
But the problem doesn’t
end at personal spending. Let’s talk about infrastructure stagnation at a
national level. Look at countries like Pakistan or Sri Lanka, burdened by
economic struggles that have brought development to a standstill. Add to that
the growing list of scams—like Nirav Modi and Kingfisher—which only pile on
more pressure. These scandals aren’t just headlines; they’re cracks in the
foundation of our economy, making recovery even harder. The shadows of
financial strain loom large across various facets of society, with
repercussions that are both alarming and far-reaching. The burden of student
loans, exacerbated by stagnant wages, unemployment, and the heartbreaking rise
in suicides, paints a grim portrait of a generation trapped in a cycle of debt.
Equally harrowing is the plight of farmers, whose struggles with denied loans,
relentless droughts, and devastating crop failures have led many to tragic
ends.
Unproductive loans—taken
for grand weddings, rituals, and personal celebrations at exorbitant interest
rates—add yet another layer of economic distress, often pushing families into
long-term financial instability. Meanwhile, the allure of promoting tourism,
despite crippling national debts, showcases a misplaced prioritization that
only compounds existing fiscal woes. Sudden and poorly strategized farmer loan
waivers, while well-intentioned, create ripples of economic imbalance, offering
temporary relief at the cost of long-term sustainability. Together, these
challenges reflect a society grappling with systemic economic fractures,
demanding urgent and thoughtful solutions. The modern economic landscape is a
labyrinth of challenges, where individuals and nations alike grapple with
mounting financial pressures. External debts, accrued through borrowings from
foreign nations and global institutions like the IMF and World Bank, have
become heavy chains limiting economic freedom. On a personal level, the
"pink tax" continues to disproportionately increase the cost of
living for women, eroding purchasing power in an already inflation-stricken
world. Adding to the turmoil is currency devaluation, as seen in Argentina,
which diminishes the value of savings and wages, leaving economies vulnerable.
While digitalization and
technological advancements—such as the shift from books to iPads—offer
innovation, they often come at a steep price, further widening the gap between
aspiration and affordability. On the individual front, the allure of "Buy Now,
Pay Later" schemes and credit card conveniences have trapped many in
cycles of debt, while failed startups and ill-fated business loans add to the
heap of bad loans in banking systems. Medical debts further drain household
finances, exacerbating a culture of dwindling savings amidst soaring inflation.
Together, these factors highlight a precarious economic reality, urging both
systemic reforms and financial prudence. The global economic fabric is
increasingly fraying under the weight of both personal and national financial
challenges. The specter of a housing bubble looms large, threatening to
destabilize economies, while the mounting costs of environmental and climate
debts highlight the long-term consequences of unsustainable practices. Higher
taxes and persistent budget deficits further strain nations, pushing them
closer to the edge of fiscal instability. The looming risk of recession casts a
shadow over global markets, underscored by striking examples like the United
States' staggering $35 trillion in unpaid debts and Bangladesh's external debt
of $103 billion, which constitutes 36% of its GDP as of 2023.
In contrast, India offers
a silver lining, with its external debt reaching a 13-year low of $663.8
billion as of March 2024—one of the lowest debt-to-GDP ratios among the top six
economies, reflecting fiscal prudence. However, on the individual level, the
pursuit of higher social standing drives many to borrow heavily to maintain a
desired lifestyle, even as income levels stagnate. While this behavior may spur
short-term economic growth, it invariably leads to long-term liabilities and
heightened fiscal fragility. Adding to the complexity, monetary policy shifts
like quantitative easing inject temporary liquidity but risk exacerbating
imbalances over time. The result is a delicate economic tightrope, where
efforts to stimulate growth often come at the cost of sustained financial
stability, urging policymakers and individuals alike to tread cautiously.
While concluding, let us
study an analogy… when I am living in a 2 BHK flat on a top floor building in
Dadar, having a BMW parked in the building’s common area, I am still
struggling. I must have got a loan to get that BMW. But if I have a mansion in
Mumbai and my BMW is parked in my garage, then it’s the higher standard of
living we are talking about. Here, the fake it till you make it attitude will
put you in debts and not in mansions.
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