Tag / ikea

by Edward Champion

IKEA’s Billy Bookcase: The Real Story

Reports of the Billy bookcase’s death are greatly exaggerated. We talk with IKEA to clarify misinformation spread by several news outlets.

On September 10, 2011, The Economist published a story suggesting that IKEA was changing its Billy bookcases because of decreased demand in books. The news spread like wildfire on Twitter, causing additional alarm as irresponsible reporters further fanned the flames without bothering to call anybody. But in a Tuesday afternoon telephone conversation with IKEA public relations manager Marty Marston, Reluctant Habits learned that the Economist‘s story is false and exaggerated.

“We are not removing the original Billy,” said Marston. “It’s interesting that everybody has jumped on this.”

The Billy bookcase with the 11 inch depth will still be stocked. Production will not be curtailed. An additional Billy bookcase, with a 15 inch depth, will be introduced in all countries — an effort to respond to how customers are presently living their lives.

“Billy has gone through transformation since it started in 1979,” elaborated Marston. “This is just one additional transformation. And we’ll probably see some other ones.”

Marston observed that Billy has been adapted numerous times to keep up with lifestyle developments. Ten to twelve years ago, there were new versions of the shelves introduced after customers required new methods of storing their CDs and DVDs. Much like those adaptations, the new 15 inch bookcases are being introduced to “give more flexibility” to consumers.

Are Scandinavian bigwigs aware of current developments in the book market?

“In speaking to people in Sweden,” said Marston, “they are certainly aware of ebooks. That was not part of their consideration when they considered the deeper option.”

As it turns out, not only had the 15 inch bookcase been in development for a period of eighteen months to two years. Ebooks didn’t factor at all into the decision.

“It really was to accommodate those people who wanted to use Billy as a display case.”

If Billy is being modified to store other items, is it still a bookcase? Does the firm truly reckon that “customers will increasingly use them for ornaments, tchotchkes and the odd coffee-table tome—anything, that is, except books that are actually read,” as The Economist claimed? Not at all.

“Its number one purpose is to hold books,” said Marston. “It is a bookcase and that’s how we describe it.”

Marston told me that ebooks were less of a concern to IKEA than other dazzling doodads taking up more of a market share. The biggest concern was how customers used furniture. And ebooks, while a modest factor, was hardly the whole enchilada. “We’re more focused in say a laptop or how they’re using an iPad,” said Marston. “How would that change the way a living room is configured? Or how people are taking their media?”

She suggested that the Swedish furniture giant was more interested in how people might use their flat screen TVs than ebooks.

“I hate to dispel those who think the bookcase is dead,” said Marston. “We do not see it that way. We really see books as decorative. Books will still continue to be something used to adorn. They’re rich and they’re textured.”

I considered telling Marston that a book was possibly more enticing after you cracked it open. But I stayed silent. Marston had, after all, been very helpful and was kind enough to answer all of my questions.

Perhaps the most alarming part of this story — aside from the silly idea that a Swedish furniture chain could unilaterally put a stop to the many woodworkers and designers who are still building robust bookcases despite this flimsy hysteria — is how quick so many alleged professionals jumped on the Economist‘s lead without bothering to check it out with IKEA. Indeed, cultural journalism has become so lazy in recent years that The Los Angeles Times, The Christian Science Monitor, The Wall Street Journal, The Week, Time, The Daily Mail, and The Consumerist all ran stories repeating this misinformation without bothering to investigate. Not less than a decade ago, such unpardonable amateurism would have earned at the very least a knuckle rap from the ombudsman.

Only The Village Voice‘s Rosie Gray thought to raise a skeptical flag. NPR, at least, thought to contact a spokesman for a short clarification.

The Billy bookcase is not going away. It is not being changed because of the book market. Now go drink your Lingonberry.

by Edward Champion

Ellen Ruppel Shell’s CHEAP — Part Four

cheaprt4(This is the fourth of a five-part roundtable discussion of Ellen Ruppel Shell’s Cheap: The High Cost of Discount Culture. Other installments: Part One, Part Two, Part Three, and Part Five.)

Edward Champion writes:

I’m going to attempt to address as many of these interesting points as I can, even as we await Levi’s answer with book before him and take up Miracle Jones’s sensible advice on how to live cheap.

Early into the discussion, Peggy mentioned that she thought Ruppel Shell hadn’t entirely considered the idea of community-based commerce.  I’d like to go further and suggest that the fault doesn’t entirely lie with Ruppel Shell, but with Nicholas Kristof’s blunt sentiment (quoted in the book) that “anyone who cares about fighting poverty should campaign in favor of sweatshops.”  For anyone who’s curious, and to partially answer Whet’s question, Kristof’s entire piece can be read here.

kirstofIn her endnote, Ruppel Shell points out that Kristof’s been pro-sweatshops since the late 1990s, co-authoring articles titled “Two Cheers for Sweatshops: They’re dirty and dangerous.  They’re also a major reason Asia is back on track.”  (Rather interesting, this attention-seeking and extremely callous subhead appears to have been expunged from the New York Times’s archive.  But it’s also worth observing that Ruppel Shell is careful to call Kristof “a generally insightful and sensitive reporter.”)

The workers who toil for long and dangerous hours in such hidden economies are very much on my mind, for I am presently doing my best to work my way through William T. Vollmann’s massive Imperial.  It isn’t just a matter of time always being reframed as a monetary value.  It’s the way in which we defend our lifestyles, whether it’s assuming that a book attempting to plunge deeper into an important issue is “telling us what we already know.”  And it’s evident in the way Kristof writes such pat summations as:

This is not to praise sweatshops. Some managers are brutal in the way they house workers in firetraps, expose children to dangerous chemicals, deny bathroom breaks, demand sexual favors, force people to work double shifts or dismiss anyone who tries to organize a union. Agitation for improved safety conditions can be helpful, just as it was in 19th-century Europe. But Asian workers would be aghast at the idea of American consumers boycotting certain toys or clothing in protest. The simplest way to help the poorest Asians would be to buy more from sweatshops, not less.

Our enviable lifestyles would appear to trump any and all inquiry into those who toil to sustain it.  We think that, if we mention a sweatshop, we can purport to comprehend what it is like to toil and suffer in that sweatshop.  But how are we any better than Kristof in our assumptions?  To what degree does contributing to the labyrinthine network of cheap cut-rate goods produced in exploitative situations actually help the Third World?  Should we be concerned with our Faustian bargain?  And did Ruppel Shell, as Peggy has suggested, not adequately represent these many labor categories by degree?  No, the Walmart worker can’t afford to shop at Whole Foods.  But then the sweatshop worker can’t afford to shop at Walmart.  Does consumer confidence help the worker who is below us?  Or is this all part of the same Shell game?

Which brings us to the issue of necessity, both real and fabricated, initially raised by Colleen and expanded upon by several others.  Like Miracle Jones, I too admire Ruppel Shell’s personal honesty.  And I think that understanding and vocalizing the ways in which we spend money are just as important in understanding the bigger economic picture.  If such an approach amounts to “telling us what we already know,” then I would say this:  If I asked each of you to publicly report the annual income that you entered into your 1040, then chances are you wouldn’t do it.  That would be an invasion of your privacy.  If I asked each of you to tell me precisely how you spent your money over the last week, complete with an itemization of costs and expenses for each day, chances are that you probably haven’t kept track.  And yet, thanks to those dependable Gruen transfers, we’re happy to cling to a remarkably shifting sense of the deep discount deals we’re getting.  To the point where Amazon consumers have been tagging eBooks with $9.99 tags because that’s the price they now want to pay.  Never mind that, as Publishers Weekly reported back in May, Amazon actually loses money at that price point.  Does Amazon get a fair pass, as Miracle Jones suggests?  Yes and no, I think.  One could make a similar case for Starbucks.  On one hand, I wish that Ruppel Shell had delved into Amazon’s parasitic stranglehold on the industry.  But at the possible risk of comparative oversimplification, I think it could be argued that IKEA’s ubiquity falls into more or less the same rub.  As documented by Ruppel Shell, like Amazon, IKEA spends a tremendous amount of time framing the message, whether in the form of a twee Spike Jonze commercial or a slick and colorful catalog.  More questions to the group: Should we look at discount culture on a case-by-case basis?  Or is this all monolithic?  (Yes, Amazon is online and caters to convenience.  IKEA, on the other hand, is a big box store.  Should it matter whether we physically or virtually participate in these Gruen transfers?  The labor is still unseen, whether it’s Amazon workers being exploited, as the London Times reported back in December, or IKEA’s illegal cutting.)

nikeoutletTo address Erin’s track suit dilemma, after thinking about this a bit, I’m inclined to agree — particularly in light of Our Man in Boston’s provocative remarks about elites and elitism.  But I’m wondering if Ruppel Shell’s stereotypical descriptions are somewhat defensible, because outlet stores, discount stores, and shopping malls are, by way of their respective designs, spaces that prey upon our cognitive abilities to process numerous aesthetics.  I don’t want to let Ruppel Shell off the hook on this point — and certainly Janet Maslin didn’t by suggesting that Ruppel Shell needed to “bring a professor of marketing to a Nevada outlet mall to tell her that bargains are phony,” although I think this anti-intellectual assessment isn’t entirely fair to what Ruppel Shell dug up.  Much as casinos are specifically designed to keep us gambling (no clocks, no windows, lots of lights, free drinks), I’m wondering if outlet stores might be working in a similar way.  Consider this 1998 article from Retail Traffic, which outlines very specific design decisions to convince the customer that she’s getting a good deal.  It’s quite possible that this may be just as vital, if not more so, as brand name manipulation.  And so I ask some of the pessimists in the peanut gallery this: If the book “tells us what we already know,” then just how aware are you of a store’s aesthetics when you go shopping?  Bargain hunting may very well be a harmless American pastime for some, but if we’re more concerned with price and acquisition (instead of say the human souls who work at the store or the way the store is designed), then it would seem to suggest that we don’t know as much as we think.

Good Christ, I’ve been a wordy bastard.  And I’ve only just begun to address all the interesting thoughts on the table.  So I think I’ll stop for now, see what others have to say about all this, and return later, possibly after Levi has offered his informed answer to Colleen’s question (which I certainly look forward to hearing!).

Colleen Mondor writes:

I did want to point out one thing about bargain hunting. A lot of people bargain hunt at garage sales and thrift stores (I have seen some amazing things scored this way), which is another deal altogether and not at all related to bargain hunting at IKEA or Walmart. There can, in fact, be different types of bargain hunters and I don’t think they should all be grouped together in one large mass.

There’s one other interesting idea to think about as we consider poor in this country: how you live poor depends on where you live. Miracle’s rules would certainly not work in Alaska where poor folks eat King Crab and catch wild salmon, shrimp etc. — food that would be considered beyond the reach of the poor and/or middle class in the Lower 48.

And many middle class and rich folks love their pit bulls too. I’m just saying.

Robert Birnbaum writes:

Books like Cheap, et al raise the question that subsumes the pretext for the traditional liberal education (i.e., “knowledge is power”). By the way, David Foster Wallace’s Kenyon College 2005 oration is worth looking at on this point.

The relentless (some might use the banal modifier “24/7”) chimes of commerce create such a shitstream of noise that whatever we think we know is disabled in the face of the symphonic chord (think Mahler’s 10th): BUY THIS, BUY NOW.

Some of you all sound like you think you are immune. Good for you. I’m not. Not that I am siting on a pile of junk. But I am sitting on a pile. Did I mention the hoodies, the socks, and the caps?

The only antidote I have found effective is exhibited here:

Also, for those of you unaware of John Crowley, his new opus Four Freedoms should, if there is a modicum of reward for good works in this disinterested universe, gain him a proper audience.

Erin O’Brien writes:

(1) “Sex, conversation, art, and games are what actually make people happy.”

“Become cheap. Don’t fight it. Go so deep into cheap that you become competition for these eeeeeevil discounters. Become so cheap that you are affordable to everybody in all your favorite activities (sex, conversation, games, art), both rich and poor alike. You will have a good life.”

Miracle, I see that you are a genius like me. Remind me to send you my zucchini soup recipe. And as a side note: DO NOT purchase inexpensive marital aids. Just trust me on this one. Contact me off-list for more specific information.

A related Erinism: Buy your plates for $0.50 a piece at a garage sale. You’ll never have a matching set, but, once in a while, you may be able to afford to plop lobsters on them.

pokerchips2(2) Ed, regarding casinos, the poker chips are a trick as well. Your money has been subtly taken from you from the get go and you’re left with piles of inane plastic disks that go up and down with each spin of the wheel.  To me, credit cards are a not-too-distant relative: a thin piece of plastic that magically gets you stuff, stuff stuff!

(3) Her Amazon comments aside, Ruppell Shell didn’t poke very hard at the implication of the Internet price comparison and the way it’s changed price shopping forever.

(4) On bookshelves:

So I’m on one of my endless walks and I pass some guy’s garbage pile. There’s two bookshelves in it.

“Shit,” I say, because they’re pretty good books shelves.

I keep walking, hoping that the bookshelves will be there after I’ve walked the 2.5 miles back home and returned with my Mini Cooper in order to heist the cast-off loot. As luck would have it, a buddy of mine is drives by and pulls up next to me to say hello. He’s in his pickup.

So, yeah, I have cheap bookshelves.

IKEA? I’ve never been to IKEA. Why would I drive all the way to Pittsburgh to go to someplace called IKEA?

Levi Asher writes:

I’ve now carefully reread the IKEA chapter, and I’m ready to respond to Colleen’s question from last week.

First, I think Janet Maslin scooped my answer when she wrote this in her mostly negative review of Cheap:

At the end of a chapter largely devoted to the horrors of Asian shrimp farming, she describes being in a Red Lobster restaurant with friends and being enlightened enough to eschew cheap shrimp in favor of chicken. Yet cheap chicken-farming isn’t any less ghastly. It just doesn’t happen to be addressed by this book.

I consider myself a very socially aware person. And I definitely think it’s important for me to make personal choices that are not harmful to others, or to the planet’s ecosystems.  Of course, this is easier said than done.  We each have our own ways of dealing with this uncomfortable truth.  My own brand of social awareness places heavy emphasis on issues of global politics, war, and genocide. These are probably my own “pet topics,” and I think it’s interesting that the last time Colleen and I disagreed about a book, we were discussing Nicholson Baker’s Human Smoke.  I felt Baker’s book presented a very powerful argument that the Roosevelt-Churchill strategy in World War II led to far greater death, destruction, and genocide than was required to defeat Hitler, while Colleen (I hope that I am remembering correctly) did not feel the book presented a solid argument.

I also vividly remember one of the biggest disagreements I’ve ever had with Ed Champion.  I thought Naomi Klein’s The Shock Doctrine presented a solid and important argument about the insidious underlying purpose of the American misadventure in Iraq, whereas Ed had nothing but criticism for Klein’s work.  So it’s funny that now Ed and Colleen seem to be bowled over by the arguments in Ellen Ruppel Shell’s Cheap, while I stand here saying, “What?”.

cabinI don’t think Cheap is a bad book, and I like Ruppel Shell’s basic mission in making us aware of the choices we make when we shop.  But her case against IKEA, like many of the cases presented here, feels underdeveloped.  She writes of declining forests and environmental sustainability problems, but this is a problem for all woodworking industries.  She ends the chapter by swooning over a heavy (non-IKEA) oak bookshelf, but this bookshelf was also made by cutting down a tree. And even though it will last longer, Ruppel Shell knows there are not enough antique bookshelves around to furnish the world. Sure, if IKEA is committing environmental offenses, then these ought to be addressed and stopped. But Ruppel Shell only hints (and never establishes) that these offenses take place more at IKEA than at any smaller furniture provider.  She also shows us that IKEA does try to be environmentally conscious, that they “use every part of the tree”, monitor their suppliers, etc.  I see innuendo weaved into these sentences. But I find no clear case, no smoking gun.  And Cheap is not a book about the environment or about the problems of an overpopulated world. So the environmental points especially come off as half-baked and incomplete to me. 

What I was trying to point out in my earlier post here is that IKEA has an appeal beyond dumb cheapness.  It is a positive lifestyle choice for people like me — mobile adults who like to travel light.  If IKEA has problems — environmental problems, labor problems, quality problems — than these problems should be addressed and solved.  But nothing I read here seems to add up to a call for a wholesale rejection of everything IKEA represents. I could take Robert Birnbaum’s suggestion and build bookshelves out of spare planks and bricks — but, Robert, have you ever seen photographs from the Chinese and South Indian infernos where bricks are produced?  It’s not a pretty picture.

Finally, I have to complain about some shoddy work on Ruppel Shell’s part in this IKEA chapter.  On pages 126 and 127 she goes on at some length about the Spike Jonze commercial that reminds consumers that furniture has no feelings, and then points to the irony that IKEA tries to create an emotional attraction to furniture by giving its pieces pet names.  Then, on page 140, she repeats the exact same point, as if we’d never heard it before.  “Doesn’t a name connote intimacy? Of course it does, and IKEA knows well the power of intimacy to move us.”  It’s hardly such a powerful point that she needs to fully develop it twice in two separate parts of the book.

Often, when I read Cheap I felt as if I was being filibustered.  Going on about the trivial issue of IKEA giving cute names to its objects, Ruppel Shell specifically mocks the store for “naming a wok after a girl”.  But, reading the notes for the chapter, I discover that the wok in question is called “Pyra”.  Clearly, this wok is named after the Greek term for fire, as every consumer who sees a wok named “Pyra” will understand. Ruppel Shell couldn’t find a better example than this?  I don’t understand why she didn’t at least pick a better example (say, a bookshelf named “Billy”).  It’s ironic that a polemic against “cheap” should have such problems with quality control.

I also feel personally put off after reading and rereading Ruppel Shell’s lush paean to the sturdy oak bookshelf “groaning with books” that her friend bought after rejecting the IKEA lifestyle.  My cheap bookshelves “groan with books” too.  Ruppel Shell’s poor friend will spend the rest of her life lugging that heavy piece of furniture around. This book absolutely fails to inspire me to want to follow her example.

Nina MacLaughin writes:

In response to Robert’s point about immunity to the chimes of commerce. It’s impossible to be immune; even if you’re a conscious shopper, sensitive, responsible, the siren song (or “shitstream of noise”) penetrates.

pricegougeA quick example (and I’m on the side of folks who appreciated Ruppel Shell’s personal anecdotes): There was a Whole Foods located less than a 10 minute walk from my house in Cambridge, Massachusetts. I passed by the store on my walk home from work. It was where I bought my food. I knew it was more expensive, but it was a matter of convenience. Time and money. It was worth it to me to spend the extra bucks to save myself some out-of-the-way trip to a cheaper spot. About three months ago, I moved to Somerville, and the closest supermarket is an expansive, always-crowded Market Basket. It’s got all the same brands as Whole Foods. My first time inside the store, buying the same combo of foods, and more or less the same brands that I would at Whole Foods, I was staggered at how much less it cost. What would’ve been $18 at Whole Foods was a little over $7 at Market Basket. Unbelievable. There is definitely a delight in that. And yet, somewhere in the back of my head, there’s been a gnawing sense that the veggies are saturated with pesticides, that the yogurt is rife with hormones, and that it’s cheaper at Market Basket because the food is poisoned (obviously a little overstated, but you get the idea). And I’ve been sort of wowed about this, in the sense that, holy shit, Whole Foods has done a pretty powerful job marketing themselves. It also speaks to the the complications of price and worth and quality and value that Ruppel Snell explores. Would I rather pay $3.49 for a pint of cherry tomatoes at Whole Foods? Or $2.10 for the same pint at Market Basket? I’d rather pay less, but it does put a doubt — a completely irrational doubt — in my head. Am I getting something that isn’t as good (or, in the case of food, something that isn’t as safe)? Is this doubt borne from the power of Whole Foods’ marketing (and my action buying into it) or the mysteries of price and quality? Or a combo that is hard to know? Whatever it is, it’s certainly interesting to consider.

Edward Champion writes:

To respond quickly to Levi:

(1)  Maslin actually got that detail wrong.  She was never in a Red Lobster restaurant with friends. I’m surprised that not a single fact checker at the supposed Paper of Record got off his ass to grab the book, flip to the “Red Lobster” entry in the index, and confirm that Maslin was indeed quite wrong.  (Damn those bloggers sitting in basements in Terre Haute!)

(2)  My problems with Naomi Klein’s The Shock Doctrine had more to do with her assumptive approach to the subject — specifically, tying nearly every one of her investigations to the “shock doctrine” brand name after the fact.  As Richard Flanagan suggested in his novel, The Unknown Terrorist, journalism is not a sudoku puzzle. It was not unlike Gladwell’s “tipping point” or Anderson’s “long tail.”  Ruppel Shell’s book, on the other hand, demonstrates substantive journalism, as can be gleaned from the solid and often detailed endnotes.  (I mentioned, for example, the fairness she gave to Kristof.)  I do have problems, as others have pointed out, with some of Ruppel Shell’s quasi-elitist descriptions.  But if we look to the facts, the findings, the quotes, and the data, I believe that there’s much here in this book to consider, whether you think you know where you stand or not.  And as Birnbaum said a few messages back, some of you think you are immune.  (I’m sure as hell not.)

booksandbookshelves(3)  The many problems with IKEA, and it is all thoroughly documented in the “Death of a Craftsman” chapter (and I would suggest consulting the endnotes), is that it represents one of greatest manifestations of discount culture.  IKEA’s founder is Ingvar Kamprad. He is the seventh richest man in the world, but he still haggles with vegetable vendors and he still flies coach. IKEA has single-handedly altered Western ideas of interior design, perhaps to the same degree of Postrelian plaudits rightly derided by Jackson.  Let me tell you a story.  When I moved from San Francisco to Brooklyn, I had to leave behind all of my bookcases.  These bookcases were hand-built by a team of craftsmen in the Castro.  A place I highly recommend, if you’re ever in the market for bookcases in San Francisco, called Books and Bookshelves.  The guy would custom-design them for you.  And these shelves were built like houses.  They wouldn’t wobble or fall apart like the IKEA bookcases.  I was able to store a considerable amount of books, while ensuring that I had some wall space in my apartment that wasn’tt occupied by books. When I moved cross-country, I was forced to get rid of these shelves. I initially put up a Craig’s List ad for $50 a pop, which was a little less than one-third of the price that I paid for them.  Very few people wanted them. And some people emailed me thinking they were IKEA bookcases.  They literally hadn’t experienced bookcases built out of real durable wood.  When I couldn’t get any buyers for the last few, I gave them away on the street.  And again, people came up to me — in a seemingly civilized city like San Francisco, no less — asking where I had obtained these bookcases.  They pounded the sturdy wooden sides.  And I told people that they could store their DVDs in there if they wanted to. 

The upshot is this.  These people were mystified by real oak bookcases.  Yes, the bookcase was made by cutting down a tree.  But the difference is this.  These bookcases last decades.  An IKEA bookcase, by contrast, falls apart within a few years (at best) and the amount of wood is wasted.  Furthermore, the discount culture keeps IKEA running around the world and engaging in illegal and decidedly non-eco friendly cutting practices.  You tell me how that’s a positive lifestyle.  Would you rather spend $200 on a sturdy bookcase that will hold thick Vollmann books and last a lifetime?  Or $90 on a Billy bookcase that will fall apart because its not made to hold anything other than thin mass-market paperbacks (at best)?  If your main complaint, Levi, is that Ruppel Shell’s poor friend is going to be lugging around a heavy piece of furniture every couple of years, well, that’s a specious position to take, given all the interim years of sturdy quality.  But if you’re happy with your paper-thin particle boards, Levi, by all means, sing a song to IKEA.  At the end of the day, we’re all singing hymns to the corporate empire.

Robert Birnbaum writes:

A quick question: Are the IKEA shelves actually made of wood or particle board?

By the way, in between Eddie’s elitist custom book shelves (suitable also for CDs) and the IKEA items,  are the inexpensive unfinished pine shelves that I’m sure are available in every city in the mainland USA. You can even paint them colorfully so as to distinguish your self as artsy. Or is it craftsy?

Erin O’Brien writes:

“But her case against IKEA, like many of the cases presented here, feels underdeveloped.”

And when you consider that some event references in Cheap happened just a few months ago, it’s obvious that book was turned around at lighting speed. I couldn’t quite put my finger on it as I read it, but Cheap felt dense and rushed at the same time, perhaps because Ruppel Shell is very smart and Penguin wanted her to write very fast. I suspect Penguin didn’t want to wait around too long only to see the recession cool its heels, along with the sales of this book.

Peggy Nelson writes:

I will have to strongly disagree with the voices who argue that books like this are hypocritical luxury items, preaching to the converted readers who have enough disposable income that they can indulge themselves in a little passive system-bashing before bed.   I disagree.  The work of demystification is lengthy, heterogeneous, and necessary. And it has taken, and will take, many books, many websites, and a significant amount of talking so that we can see clearly what we are dealing with.  This work does not take the place of social/economic activism, but doesn’t delay it or prevent it.  Demystification runs parallel to activism, and is just as necessary.  Empowering people without a clear analysis of exactly where they are in the system only paves the way for greater misery, and perhaps does more harm than good as people become discouraged, decides that the culprit is greater awareness itself.  
 
I have been trying to stay abreast of the economy and our respective places in it, ever since I was a labor activist in the late ’80s. But there are still things I do not know — for example, the historical trajectory of retail commerce, its philosophy, and its pervasiveness — that I learn from books like this one.  Cheap doesn’t go as far as some other books, either in reportage (like Ehrenreich’s Nickel and Dimed) or in systemic analysis (like Rushkoff’s Life, Inc.), but it does occupy its role well.  My only qualm was the book jacket. That fast-food yellow is repellent.  I know it’s about cheap, but does having it look cheap further its aims?
 
In terms of Kristof’s pro-sweatshop arguments, we heard a lot of those arguments in my union days too.  “Well, they’re better off than they were.” Or words to that effect.  This was not made to justify a $12 hoodie purchase, but as part of a global labor discussion. Should we be reaching across national borders to organize? (Yes.) And did we? (No.) (I was with the UAW organizing clericals during that time.) 
 
profitmagI think that this is a difficult argument to combat within the framework of a growth economy.  Companies need to get bigger. Companies need not only profit, but profit that’s greater than the last quarter, and a profit rate that’s continually increasing.  Buy more, spend more, acquire more, consolidate more, grow more, more, more.   This philosophy of “More” (maybe that’s the next catchy title in this series!) does not align itself well, if at all, with other values — like preserving and maintaining limited resources on the planet — and accommodating, perhaps even promoting, other types of values, such as community, creativity, being loved, and playfulness (with kids or just generally).
 
I credit the environmental movement with giving this analysis greater scope by demystifying systems on Planet Earth, including global and regional and micro, and showing not only the interconnectedness of natural systems, but the interconnectedness of natural, economic and cultural systems.  Without a general framework of sustainability (instead of “More”), I think the way out is not possible.  But within sustainability, I think discussions like this can be actively fruitful.   Levi, you are right in pointing out that, despite following the IKEA supply chain back to China and Romania, Ruppel Shell does not fully explore or incorporate the environmental angle here, and that she needs to.  I think that’s part of her not addressing the larger overarching points, as I’ve mentioned before.   Even smaller, more spotlight-style books like Cheap need to set themselves up correctly in relation to the larger themes, indicating where they fall within a larger spectrum of analysis and action.
 
(Re: my personal experiences with IKEA. I too move around a lot and don’t want some giant antique monster as a bookshelf.  But I also dont’ want to support clear-cutting even in places I can’t see.  I’m going to have to do some investigating of my own when it comes time to get my stuff out of storage again.)

Levi Asher writes:

Ed, you’re correct that Janet Maslin slipped up in describing Ruppel Shell in a Red Lobster when she decided to solve the problems of the world by ordering chicken instead of shrimp.  It was a seafood restaurant, not a Red Lobster.  BUT … the spirit of Janet Maslin’s point remains completely valid.  The only reason Rupell Shell was able to feel comfortable ordering chicken instead of shrimp is because she had been studying the problems with shrimp instead of studying the problems with chicken. 

And, Ed, that’s nice that you like heavy furniture so much.  I also know that you like heavy hardcover books, and that you don’t mind lugging around heavy video equipment book conferences.  Milan Kundera wrote eloquently of the choices we make between “heavy” and “light” lifestyles.  I am decidedly a “light” person, and I will indeed continue to sing songs of love to IKEA.  We haven’t even talked about the great Swedish meatballs and lingonberry jam yet.

Jackson West writes:

Well, apologies for my strident tone.  Ed has a way of managing to time these roundtables to my mood and frame of mind rather ruthlessly. Last time, with the Human Smoke roundtable, I was literally in the process of losing my last family link to the era described in the book with the death of my grandmother.  This time, I’m essentially living with my parents off in the hinterlands after finally drowning under the cost of living in San Francisco and figuring I needed to get out of the pool long enough to let some invoiced checks arrive for a breath of fresh financial air. (Good news. It seems I’ll be selling microwaves for General Electric soon, if a tad indirectly. But I digress.)

I think what I was trying to get across is that in a book like this, which attempts to elucidate a history to explain contemporary reality, a teleology is implied.  In this case, the implied argument is this: In a society where everything is easily commodified and competition becomes one of quantity over quality, invariably there will be a race to the bottom in terms of both pricing and marginal profits. Environmental and social degradation hijinks ensue.

This is, in Ruppel Shell’s estimation (and many of our estimations), a bad thing.  Of course, there was a guy way back in the industrial revolution, a student of capitalism if you will, who also noted the trend.  What was his name again?  Something German.  Got a lot of people worked up. Led to some bloodshed (though, of course, not nearly as efficiently as that wrought by capitalism). Now he’s pretty much persona non grata in the wake of a bunch of nationalist revolutions that ended in autocracy, but cloaked their intent in his ideology.

Hence, like the Kristof example above, there are those who would defend the depredations of a sweatshop because they believe, “Hey, at least it ain’t feudalism!” (And of course, they’re not the ones sweating.)  This is a sentiment which, oddly enough, the likes of Lenin, Friedman, Trotsky, and Rand would agree. It’s like the Ku Klux Klan and the Black Panthers getting together on the issue of gun control.  Counterintuitive, but true.

The problem is, when an industrial capitalist society bent on growth at all costs essentially runs out of room to grow — as it has now that it is truly global — then what’s next?  Well, for starters, it seems that wages stagnate even as productivity grows.  Because “sweatshops for all!” really means just that — an equilibrium in which which the working class works for crappy wages to produce cheap shit to sell to the rest of the working class, with the difference accruing to the owners of the means of production.

Progress!

But in America we still have the luxury of sitting on the fat side of the trade balance, meaning our working class can maintain the delusion that they’re actually middle class because just look at this sweet bedroom set I just bought on my credit card even though I’m underemployed and lack health insurance.  A delusion that we’re only too happy to perpetuate, to misquote Dick Cheney as Malcolm X, by any means necessary.  Again, Ruppel Shell lays this all out (and succinctly so). I’m just paraphrasing.

In all this aspirational class alienation, however, a petit bourgeois strain of thought persists. And I felt that this impulse formed the crux of Ruppel Shell’s concluding arguments.  Namely, that if we return to the somewhat sentimental capitalism of our forefathers (and they were all fathers), we can turn back to a Jeffersonian ideal of libertarian utopia.  The argument goes something like this: “Capitalism isn’t bad, per se. Just industrial capitalism. And if it weren’t for the state colluding with certain corporations to corrupt the market, we wouldn’t be in this unsustainable clusterfuck that we’ve now found ourselves in.”  Also: Sex slaves.

The funny thing is that my homelessness brought me to the family cabin as very much the prodigal son. I’ve actually found myself in what I imagine to be something near the image of postindustrial capitalist utopia that Ruppel Shell and her peers seem to be pining for — a small scale organic paradise with broadband Internet.  A sort of info-agrarian mash-up of self reliance, sustainability, and all the free porn you can stand.  For those who’d like to stay in the cities, well, you’ll be making the porn (natch) and selling the advertising in order to pay for the delicious goats and tomatoes that rural types bring to market.

Perfection!

To go back one last time to my original entry, the question that’s bedeviling me (and, to Ruppel Shell’s credit, it would probably not be so damn devilish if I hadn’t read her book and instead was rubbing myself sore with the porn and such) is whether there are enough cabins to go around, or whether this enlightened and entrepreneurial information age that our best and brightest are so eagerly striving for will simply be crushed under the weight of peak oil and slums and drought and war and all the sins of the industrial age which we (and I mean we, us here, and presumably Ruppel Shell’s intended audience) love to hate.

But I think trying to answer that is my book to write, in which case I may milk the middle class for my piece of the pie and buy a garden of my own to tend. And maybe a shotgun to keep the hungry hordes off my garden. The freeloading Commie bastards.

by Edward Champion

Ellen Ruppel Shell’s CHEAP — Part Three

(This is the third of a five-part roundtable discussion of Ellen Ruppel Shell’s Cheap: The High Cost of Discount Culture. Other installments: Part One, Part Two, Part Four, and Part Five.)

Jackson West writes:

cheaprt3Sadly, like Kathleen, I wasn’t particularly surprised by many of the examples used in Cheap.  However, unlike Kathleen, I’m a bit of a bargain hunting hobbyist — mostly in the realm of clothes, food and media.  Because, as many of you know, writing isn’t exactly the quickest way to riches these days (if it ever was).  Maybe if I wrote something to shake the moral and ethical foundations of your typical NPR-listening, Prius-driving IKEA and Whole Foods shopper I’d have more money lying around to spend on handmade furniture, bespoke suits, grass-fed beef and sustainably grown potatoes.

I’d certainly like to consider Cheap in the context of other well-meaning, non-fiction journalism. It’s likely to find itself sharing “Customers who bought this book also purchased” space on Amazon with a number of books.  Barbara Ehrenreich comes to mind, as does Michael Pollan, whom I’ve been devouring of late.  What all of them do is essentially describe the symptoms of the illness called “industrial capitalism,” but none of them seem willing to take their critiques quite that far.  And, unfortunately, the suggested reforms do seem backward looking.

Contrast that approach with the pro-capitalist arguments put forward in Chris Anderson’s Free and Virgina Postrel’s The Substance of Style.  Anderson naturally celebrates the creative destruction Ruppel Shell laments, even though I’d love to see his face when his publisher decides that, if free is good enough for everyone else, it should be good enough for Anderson. Therefore, no checks will be forthcoming.

targetchairPostrel argues that the despicably produced furniture from the likes of Target is valuable, because of the aesthetic thought that went into the plastic mold.  She goes on to write that a world of disposable plastic luxury in bright colors and pleasing curves is a beautiful and dynamic one; that the clever packaging and marketing that surrounds a fast-food hamburger and the medical technology developed to cure the heart attacks or the diabetes it gives you are both boons. To suggest otherwise makes you hopelessly backward.

That’s what frustrated me so much about Cheap‘s ending.  While it wasn’t a Pangloss like Anderson or Postrel, Ruppel Shell had a chance to draw a conclusion that indicted the philosophy of industrial capitalism, but instead quoted Adam Smith — and in so doing, seemed a tad the naive Candide.  Because the essential problem with all the cheap crap which these markets bring us and the depredations that it took to get them here formed an ecology in which we, the working (or, these days, maybe working) class, are trapped.

Which belies any of Ruppel Shell’s advice to make the personal choice of “opting out” of the system by changing my shopping habits.  Because I must “buy in” to have any purchasing power at all.  Now that capitalism is truly global, there is nowhere to escape — except, of course, into wealth.  And the only way to get there is by wholly embracing the ideology that got us here in the first place.  Namely, to put private profit and property above all, and damn the torpedoes.

Now Ruppel Shell is right in that Smith’s self-interest was supposed to be an “enlightened” one — not necessarily strictly rational, as he is usually misquoted, or the more naked self-interest which it has devolved into with practice.  But Smith lived in a time and a place wholly different from our own. And as Ruppell Shell rightly points out, ours is a time in which we’ve made our ignorance of the true costs of our goods willful. We’ve hidden these costs behind trans-continental shipping and propaganda quite literally engineered through mind mapping, helping to fool our senses and reason.

Present Smith with the blinding fluorescent and neon light come-ons, and I bet he too would fail to perceive the dark age that lurks behind what lies just outside his field of vision.

What I’ve gathered from the likes of Cheap is yet another indication that, until there is a way to account for such externalizations like environmental degradation and human suffering, there’s no end in sight.  Capitalism by its very nature seeks to commodify through efficiencies of scale, quantify through market pricing, and exact measurement and monopolize by granting private ownership of anything and everything — from DNA to the very air we breathe.  So I find it ironic that a book that revels in the revelations of excess and hubris would return to the words of the system’s moral benefactor and apologist.

Apologies to Peggy, but I’m going to have to disagree that all revolutions end poorly — after all, as we were all so loudly reminded yesterday, July 4th, ours was a nation born of fire and steel and “Death to Tyrants.”  Though, naturally, that revolution ended with us right here debating this. So maybe you’re right after all.

frenchrevolutionBut at least revolutions happen at the time and choosing of the revolutionaries.  What worries me about the current spate of liberal hand-wringing in books like Cheap is that in not calling for a wholesale rethought of our political and economic organization, in only urging personal responsibility and institutional reform, we’re simply not going to act fast enough to avoid a catastrophic reckoning.  Because I have a bad feeling that all the “hidden costs” we’ve been charging to the bank of the future are being added up on some terrible ledger, and we will all have to pay for them eventually.

Call me a pessimist, but I just don’t see the kinder, gentler postindustrial capitalism Ruppel Shell calls for ever materializing.  At least not until the oil runs out and the climate changes and we’re all totally fucked, regardless.

Colleen Mondor writes:

You know, when I signed up for this round table I never thought the discussion would totally suck the life out of me. And yet it is. I just don’t agree that the situation is that bad – or that it is has crossed a line to prevent positive change. At least we are all now talking about cheap products and fast food and agribusiness, etc. Twenty years ago these topics were not part of the national conversation. When I grew up in the ’70s, TV dinners were good. So were plastic bags and Styrofoam. Twenty years before that, spraying DDT on crops was good. Heck, in the ’60s, my husband went to an elementary school with asbestos in the walls. But we learn. We discuss. Books are published. Studies are completed. And change does come. Does Cheap go far enough for everyone? Probably not. But it does go far for the general reader. Hopefully, just as we all embraced Fast Food Nation and other titles (Pollan included), we will find something of value in Ruppell Shell’s work as well.

It’s easy to say that things will never change. I give the author credit for pointing out reasons why she thinks change should happen and for writing a book that does not intimidate readers from asking themselves questions about why they think it should. Getting general readers curious about the economy is no simple task and while many members of this roundtable might already know what Cheap is about, I’m sure there will be a lot of readers who find something new in her discussion.

Sarah Weinman writes:

Let’s keep this in mind: One person’s “I’ve heard it all before” is another person’s mind being blown when hearing such ideas for the very first time. One person’s bitter pessimism is another person’s stubborn optimism. And maybe, just maybe, we’re talking more about class division in terms of how we’re approaching Ruppel Shell’s approach? But I admit, those are fighting words. Just as Jackson’s tipoff to the “moral and ethical foundations of your typical NPR-listening, Prius-driving IKEA and Whole Foods shopper” might be as well.

But let me backtrack a bit, since I haven’t really delved into my thoughts on Cheap more readily. Unfortunately, I don’t have the book in front of me. So I’m going to have to rely on memory. My take falls a lot closer to the mind-blown newbie than the jaded repeat listener, largely because, to misquote the Passover Seder in gross fashion, “in every generation you must act as if you personally had been brought out of Egypt.” Point being, Ruppel Shell’s examples aren’t new. Certainly not to me. But isn’t there some power in her having gone to Sweden to visit IKEA headquarters, or personally experiencing Vegas outlet mall shopping, and so on and so forth? Examples are just a means of finding the right way to frame an idea, a thesis, or an investigation. And while I had some of the same problems about Ruppel Shell’s conclusions, because the end of Cheap felt more than a bit rushed and frantic compared to the cool-as-cucumber research and investigation of earlier chapters, I was more than convinced by her own discoveries, her own personal approach to supposedly common problems, and, most of all, the questions that formed in my mind, independently, in agreement or disagreement — as a result of what she wrote.

corvairAs Colleen said, we’re talking about issues now that wouldn’t have registered in the slightest during the advertising boom of the ’60s, the gas guzzling years of the ’70s (crisis notwithstanding), the Me Generation ’80s, and even the ’90s, which sure look like a happy boom period from 2009. Maybe Cheap isn’t Silent Spring or Unsafe at Any Speed or even Fast Food Nation, but so what? For me, it passed many smell tests: There was (a) well-thought out, sourced, journalism of originality, (b) a clear, distinct voice, and (c) at least some attempt at problem-solving. And ultimately, there is absolutely no harm in repeating ideas you “know” about from a different angle or a new slant. Because maybe, just maybe, it will register and resonate and hit home. Need I bring up the adage about how many times we have to see an ad before it registers? Or other market research stats on the branding and corporate mentality propping up the lowest-price-is-best mantra? I know I’ve read any number of articles on any number of subjects and all it takes is one read at one time in one place for something to “click” in place, to get me thinking at a deeper level. Such are the goals of a book like Cheap and, as a result, it succeeded for me.

But I want to talk about the book itself and specifically, a topic that wasn’t addressed but which I thought about constantly as I read it: digital books and how to price them. I too wish Amazon had been given larger shrift, but figured Ruppel Shell didn’t have the space or felt she had to restrict herself to a given number of examples for narrative purposes. But since she didn’t, I could fill in my own blanks. $9.99 is just as mythical a set point as any number of cheaper or expensive prices are for goods, and when someone is willing to pay much more for an iPhone or a Kindle or the device that you’d read a digital book on, but the book itself is too “costly” when it’s more than $10 (consider the Amazon message board petition to boycott eBooks priced higher! I wish I had the link handy but others have found it) and we run into dangerous territory. I think eBooks should be cheaper than hardcovers for sure, just like mass market paperbacks should be cheaper. But what of the cost of producing a book, the advance/author payment, the editorial and production work? Should that always be a money-losing venture? And if eBooks are cheap and there is no physical value and they disappear because of DRM issues, then what? Is there value? Is it an object or a work of art or commercial pap or all of the above? I want my books to have value, but maybe the folks who sold to the pulps wanted them to as well, but had to settle for being paid at a penny a word or for signing away the rights for a few thousand bucks to lose control over everything but the words on the typewritten page, if that.

Cheap, to me, is a jumping off point, not the last word. I sure hope it’s not the last word, because then Ruppel Shell would have failed in her mission, but judging by the word count of this roundtable so far, I’d say it’s anything but.

Whet Moser writes:

Apologies for taking so long to write. I was on the road for the 4th, which is never as unstressful as it’s intended to be.

furniturebuildI remember the first time that I went to IKEA, thinking, “My family would kill me if they knew.” My dad used to work in the southern furniture industry (which is getting killed by imports), before getting laid off. His father had a part-time business making custom furniture, which took months or years to make and cost tens of thousands of dollars, as well as another part-time business making custom wood powerboats. His father ran a furniture business that specialized in expensive, handmade, archetypal southern furniture.

So the book hit me in a personal way, and made me question whether I’m part of the problem. But I had to weigh that against the realities of my life, as compared to the generations that preceding my own. Virtually no one in my family moved out of the state they were born in. Not only did I move to a big city for college, but I’ve lived in four different apartments since I graduated six years ago. Most of my family, if they went to college, went to state schools. I went to an expensive private school in another state, and will be paying for it well into middle age, in order to make an entry-level salary with less purchasing power than my family had back in the day. IKEA, for better or worse, has been a godsend in some ways, as it was to Levi Asher above.

I’d love to be able to support the sort of craft that Ruppell Shell describes, but it’s a slow process: Between declining purchasing power, an increased debt load, a longer workday, and my locally peripatetic lifestyle, the “cheap” products that Ruppel Shell describes are appealing for reasons beyond price, which is something to factor in (and she does a fine job of it in the IKEA chapter).

Along those lines, here are responses to discussion points that I thought were interesting:

“What worries me about the current spate of liberal hand-wringing in books like Cheap is that in not calling for a wholesale rethought of our political and economic organization, in only urging personal responsibility and institutional reform, we’re simply not going to act fast enough to avoid a catastrophic reckoning.” (Jackson West)

As an editor/blogger/etc., I’m really only good at thinking about these concerns in terms of how they’re discussed within that realm. So I can’t offer much help on wholesale rethought. But one area where I do think progress is being made is in food, as evidenced not only by Pollan/Food Inc./etc., but also just in terms of local food. Here in Chicago, it’s a big thing, as you’re probably aware. And it’s a shame that other forms of craft aren’t discussed in the same terms, e.g., people freaking out over a local furniture maker in the way they do over Moto or a new restaurant from the people behind Lula (if you’re in Chicago on a Monday, Lula’s farm dinner is the best thing in town).

People in my not-particularly-impressive financial demographic are willing to pay a premium for craft in terms of food – but not a lot of other things. I don’t have an explanation. I think it’s just one of those things. But I think it’s a good model.

Here’s one honorable example in a related field: Lifehacker may be my favorite blog. Give it a shot, if you haven’t. It’s mostly computer-oriented, but the bloggers also touch on food, time management, etc. It’s about how to do things efficiently and wisely, particularly getting the most out of expensive electronic gadgets. There isn’t a lot pertaining to the subject at hand, but I’d like to see Lifehacker’s philosophy get picked up by other bloggers and newspapers.

“How do we get from our current system, in which the hidden costs are catching up and twisting us into a vicious downward spiral in all areas, to a more equitable system, in which price reflects real cost, and local/sustainable is the more economical option? In other words, how do we get to Utopia?” (Peggy Nelson)

This is one hell of a hard question that the book doesn’t really ask or answer. Short of making the production process part of your advertising campaign (after reading Cheap, I bought some $14 American Apparel undies — they are quite comfortable), it’s difficult to tell whether a high price is a brand premium, the actual cost of something made honorably, or just an insane profit margin.

Part of me thinks consumers need better informational resources. But the local papers seem more interested in whatever scheme McDonalds has cooked up (they are Oak Brook based, but c’mon). Again, I turn to Lifehacker: If you want more wisdom about consuming and using what you consume. I know a lot of stuff. But if I need new shoes, I have no idea where to begin if I want to take some care in surveying their origins.

My biggest beef with the book: She picks up and drops Nick Kristof’s argument about how you should buy sweatshop-produced goods because it represents an improvement for the laborers over the alternative. Unfortunately I haven’t read Kristof’s own argument. So I don’t know how glib his argument or Shell’s description of it is.

But I think it’s a question that deserves some serious thinking. As a Virginian well-versed in Appalachian history, I’m painfully aware that the guaranteed “living wage” that Americans were promised isn’t that far removed from the economic exploitation that made things cheap back in the day. Demands for non-exploitative labor, at least in the U.S., are a comparatively new thing. We had to go through a long, bloody labor history to even get where we are now.

Here’s a related book that’s awesome: Free Lunch by the great David Cay Johnston. It really fleshes out the governmental advantages that “cheap” big box stores receive. It’s not just that they have structural advantages. They also lobby like hell.

Miracle Jones writes:

Whet, I brought up some of IKEA’s sins over dinner with my roommate over the weekend, and she put her fork down and glared at me.

“Without IKEA, it would be impossible for a single woman to move without help.  They make disposable furniture for disposable living arrangements.”

I shrugged and mentioned something about trees, but she knows I don’t give a shit about trees.  So maybe you are right.

***

Sarah, I don’t know if this book will be eye-opening at all.  It feels like the kind of soothing head massage that actually shuts eyes.  Much of this book instead felt like a letter from a fretful, middle-class parent to their affable, cloistered child just entering adult life, a letter about the real value of things.  The sort of letter you would hear read aloud in a Wegmans commercial. 

***

HOW TO LIVE CHEAP
by Miracle Jones

1.  Admit you are poor.  It’s easiest to admit this to another poor person.  Chances are they live next door to you.  Maybe this is a good time to meet your neighbors.

2.  Get cool with being poor.  Realize that what you are is actually “normal.” Go outside.  Let a pit bull lick your hand, take a deep breath, and say:  “I make under a thousand dollars every month just like most human beings on this planet, if not America.  The true human condition is to make under a thousand dollars a month and still live, fuck, breed, laugh, create, eat, dance, bleed, and die.  There is nothing noble about this and nothing wrong with it either.  How can it be anything other than baseline?”
 
beardedhomeless3.  Most of the money you make every month will go to rent.  This is a necessity. If you are homeless, you will get fired from your “job” or you will get jumped so often that you will become a paranoid wreck.  Try to get more roommates, if you can’t hack rent.  Learn to live with couples.  Don’t listen to bearded weirdos who tell you homelessness is the true freedom.  Being homeless feels “free” for exactly three days, and then you start to hate all of humanity, including yourself, which is more stressful than a full-time job.

4.  Get a job for at least six months working in the kitchen of a restaurant where you like the food.  Learn how to cook cheap shit using cheap ingredients.  Learn how to run your own household with the same tightwad attention to inventory management as a short-order line cook.  Treat yourself as both tyrannical boss and a tyrannical customer when you start cooking for yourself at home.  Hopefully your roommates are also experimenting with this form of culinary school and you can pool knowledge to make endless, fascinating feasts.  NOTE: It is much easier to get laid by cooking for somebody than taking them to a restaurant.  You are already in a private place with a bed. 

5.  Get a job for at least six months in the service industry where you have to sell something to people, preferably something that you like but that you don’t really need.  Get the job for the discount and stock up!  Sell the item using every sleazy sales trick you can think of.  Become immune to these tricks.  Make friends with other people in service industry jobs in order to learn the true value of the products you sell.  Step sideways from the consumer mentality by taking the Devil into you and learning how the Devil gets souls.  HINT: It’s not by lies, it’s by false correlation.

6.  Steal things if you know you will not get caught.  Go ahead.  You have my permission (this will not hold up in court).  “Get hold of portable property!”  Property acquires possessions, not people.  Steal from where you work.  Steal a lot from where you work.  It’s called “shrinkage.” It’s all insured.  Don’t get caught.  Learn how not to get caught, even if you have morals that preclude actual crime.  Give free shit to your friends and roommates when they come visit you.  Visit them where they work.  Get free shit from them.  

killtv7.  Get rid of your television.  Forever.  Watching rich people whine is no kind of entertainment for a normal person such as yourself.

8.  Sex, conversation, art, and games are what actually make people happy.  All advertising points back to these free phenomena and tries to tap into their power.  If you are thoroughly modern and you start to see items as information instead of as special physical curios, you will start to get bored by everything you can’t steal easily or produce yourself.  Handmade goods are only meaningful when the hands that make those goods are your own.  The internet has recipes for everything, from delicious marijuana cookies to beautiful homemade books.  Learn to value things by the amount of time it would take you to make them yourself at home.  Egg McMuffins =  EXPENSIVE.  Crepes and blueberries = CHEAP. 

Become cheap.  Don’t fight it.  Go so deep into cheap that you become competition for these eeeeeevil discounters.  Become so cheap that you are affordable to everybody in all your favorite activities (sex, conversation, games, art), both rich and poor alike.  You will have a good life. 

Eat gross-ass blood shrimp, but only have a handful as you scrape someone else’s plate in the back of a restaurant and then wash it.  That is truly “affordable luxury.”

by Edward Champion

Ellen Ruppel Shell’s CHEAP — Part Two

(This is the second of a five-part roundtable discussion of Ellen Ruppel Shell’s Cheap: The High Cost of Discount Culture. Other installments: Part One, Part Three, Part Four, and Part Five.)

Kathleen Maher writes:

cheaprt2I am not quite finished reading Cheap, but I have to admit that I’m finding it more interesting than I expected, seeing that I generally don’t read non-fiction and can’t stand shopping — especially for bargains.  

I enjoyed the quick history of American department stores and such trivia as the invention of the price tag.  But it’s hard to imagine this book will capture the popular imagination in the way that other quasi-academic books have (Malcolm Gladwell, et al). The sum of all these anecdotes and quasi-scientific studies seems like a great big “Well, duh. Cheap? You get what you pay for.” 

Miracle Jones hit the nail on the head with his preliminary preoccupations: First, that there is some downright weird stuff in Cheap that weakens Ruppel Shell’s argument, like the masturbation studies and the flying excrement neighborhoods.  And second, as Miracle so aptly put it, I suspect most of America lives in a perpetual “Gruen transfer,” mindlessly wandering in search of the next siren call.  I live in a cheap shopping district in Manhattan and I’m seeing shoppers walk by my window right now.

So I am stuck with a feeling that I know all this already. Ruppel Shell portrays our culture with a certain perspective that most of us may not have appreciated before, but it’s still the same old picture. A culture of mass consumerism in which intelligence, wisdom, quality, and beauty are devalued and degraded.

The depressing fact is that Ruppel Shell is preaching to the choir. We readers, the shrinking “elite” who take the time to actually read, know what she’s talking about. But can we possibly have any effect on the global corporations who are ramming the culture of cheapness down our throat?  I doubt it very much. Global capitalism is brutal, ruthless, and backed by overwhelming military might. Ruppel Shell may be right in her assessment, but Cheap probably won’t make an impact. (Of course, the pertinent question here is: Will it sell?)

Colleen Mondor writes:

Levi: I’m curious. Does reading Ruppel Shell’s sustainability argument about IKEA change the way you perceive your shelving units? Since you are someone who is aware that you are getting a “cheap” product and you’re fine with it because it works best for your purposes, did her discussion of its larger cost come as any surprise? And does it affect how you feel about the product or company?

Edward Champion writes:

I’ll have a lot more to say in response to the many interesting points offered so far. But I wanted to reply very briefly to Levi’s remark on not seeing the problem or the ethical violation of fixing prices. I’m wondering what he (and others) think of the following episode from Jonah Lehrer’s How We Decide. The book is a tad too popular science for my tastes, but it does feature a very interesting profile of Herman Palmer, a Bronx financial counselor who helps working-class people manage their debts for a nonprofit organization.  One of Palmer’s chief strategies is to cut up a debtor’s credit card and place the plastic remnants in a large jar containing other shards.  Here’s the excerpt outlining the pernicious pitfall:

When Herman talks about the people who have been helped by his financial advice, his face takes on the glow of a proud parent.  There’s the plumber from Co-op City who lost his job and started paying rent with his credit card.  After a few months, his interest rate was above 30 percent.  Herman helped him consolidate his debt and get his expenses under control.  There’s that single mother who couldn’t afford daycare.  “We helped her find other ways to save money,” he says.  “We cut her expenses by enough so that she didn’t have to charge everything.  The trick is to notice whenever you’re spending money.  All that little stuff?  Guess what: it adds up.”  There’s the schoolteacher who racked up debt on ten different cards and paid hundreds of dollars every month in late fees alone.  It took five years of careful discipline, but now the teacher is debt free.  “I know the client is going to be okay when they start telling me about the sweater or CD they really wanted but they didn’t buy,” Herman says.  “That’s when I know they are starting to make better decisions.”

Most of the people who come to see Herman tell the same basic story.  One day, a person gets a credit card offer in the mail.  (Credit card companies sent out 5.3 billion solicitations in 2007, which means the average American adult got fifteen offers.)  The card seems like such a good deal.  In big bold print it advertises a low introductory rate along with something about getting cash back or frequent-flier miles or free movie tickets.  And so the person signs up.  He fills out the one-page form and then, a few weeks later, gets a new credit card in the mail.  At first, he doesn’t use it much.  Then one day he forgets to get cash, and so he uses the new credit card to pay for food at the supermarket.  Or maybe the refrigerator breaks, and he needs a little help buying a new one.  For the first few months, he always manages to pay off the full bill.  “Almost nobody gets a credit card and says, ‘I’m going to use this to buy the things I can’t afford,'” Herman says.  “But it rarely stays like that for long.”

According to Herman, the big problem with credit cards — the reason he enjoys cutting them up so much — is that they cause people to make stupid financial choices.  They make it harder to resist temptation, so people spend money they don’t have.  “I’ve seen it happen to the most intelligent people,” Herman says.  “I’ll look at their credit card bill and I’ll see a charge for fifty dollars at a department store.  I’ll ask them what they bough.  They’ll say, ‘It was a pair of shoes, Herman, but it was on sale.’  Or they’ll tell me that they bought another pair of jeans but the jeans were fifty percent off.  It was such a good deal that it would have been dumb NOT to buy it. I always laugh when I hear that one.  I then have them add up all the interest they are going to pay on those jeans or that pair of shoes.  For a lot of people, it will be around twenty-five percent a month.  And you know what?  Then it’s not such a good deal anymore.”

These people aren’t in denial.  They know that they have serious debt problems and that they’re paying a lot of interest on their debts.  That’s why they’re visiting a financial adviser.  And yet, they STILL bought the jeans and the pair of shoes on sale.  Herman is all too familiar with the problem: “I always ask people, ‘Would you have bought the item if you had to pay cash?  If you had to go to an ATM and feel the money in your hands and then hand it over?’ Most of the time, they think about it for a minute and then they say no.”

Levi Asher writes:

Colleen, I want to give this a well-thought out answer, but I’m away for a few days without the book in front of me.  I want to reread those sections of the book and then respond in a few days.

Erin O’Brien writes:

We readers, the shrinking “elite” who take the time to actually read, know what she’s talking about. (Kathleen Maher)

I drink shitty beer. Does that affect my newfound “elite” status?

I live in a suburb just south of Cleveland. The Walmart I shop at is about 6 miles away. It’s adjacent to Parmatown Mall, which you can visit vicariously here.

walmartI only go to Walmart when I need to buy Suave shampoo, Saran wrap, Q-tips (I buy the generic ones) and two or three dozen other really irritating things. I usually put said purchases on my credit card, which I pay off monthly in order to earn the one percent rebates.

There used to be another Walmart about 8 miles away. It was built on a landfill. The landfill started leaking noxious gasses that were finding their way into the land of Low Prices. They had to close that Walmart.

In each of the older toilet tanks in our home, you’ll find plastic bottles filled with water and sand that displace some of water therein and lessen the volume of every flush. We put these bottles in right after we moved into this house almost 17 years ago. We conserve everything where we can, but neither my husband nor I would ever leave less than a 20 percent tip. Since we do not want our kid to have to take out a college loan, there is no AC in our house. Vacations are long weekends to places like Mammoth Cave. And if you think my beer is shitty, you should try a cup of my coffee. I drink it with a smile.

Life. Is. Beautiful.

Peggy Nelson writes:

Ed, I’m glad you brought the credit card angle up, which is totally insidious. Ruppel Shell doesn’t get into it much, perhaps because she’s so focused on discount retail.  If anyone has time, I highly recommend the documentary Maxed Out. (You can watch it online via Amazon and also on Instant Play on Netflix.) [EDITOR’S NOTE: With great respect to the lovely Ms. Nelson, I’m afraid I must note the discount culture irony. The film is also available on DVD, but at a higher price. Do the filmmakers get more of a cut through the DVD or the cheaper on-demand option?]

familycreditcardCredit card companies target the poorest, and least credit-savvy, segments of the population to make their money.  They do not make money on you if you use the card responsibly and pay in full every month, or if you hold it in reserve only as an emergency fund.  They do make money off you if you run it up to the limit and then only pay the minimum, or, better yet, miss payments and run up fees and penalties.  

Providian anyone?  Capital One?  MBNA, who is one of the top contributors to the Republican Party?  These predatory lenders have a business model that’s just like the check cashing places out by the strip mall. Once you’re in their system, you will pay and pay and pay.  Elizabeth Warren, the Harvard bankruptcy lawyer interviewed in Ruppel Shell’s book, plays a large role in Maxed Out too, explaining how this works.  It is counterintuitive. How can they make money off the little people who have almost none?  And yet, they do.  Lots of it.

This all plays into something in us that is very difficult to resist. And I’ve been there, as have some of you. Hey, a little extra for free!  Just for now.  This will so help me out, get me over the hump, and I need some stuff.  Yeah, I have to pay it back, but only eventually. And I can do so in little bits.  Meanwhile, the total climbs higher and higher. Until things are worse than at the beginning. And now you don’t need a little help. You need a lot.  And they’ve started calling your family. And your boss.

There is one more insidious thing about credit cards (well probably more than one) — you need one for your social reputation.  I don’t mean that as some abstract thing.  You need one to rent a car, to buy an airline ticket, to stay in a motel, to rent an apartment (in some places), and, in some places, even to get a job.  You need one as a second ID, the “real” ID, that validates your active membership in society.  Without a credit card, you have no reputation (or worse, a bad one).  You cannot do things.  You are suspect.

Kathleen Maher writes:

Erin, so maybe you’re not elite — it’s my problem. The truth is, I’m so elitist that I don’t even like fireworks. Even as a child, they impressed me as bombs bursting in air–more martial than anything else. We’re free to accept or reject superficial labels like “down to earth” vs. “elitist.” I certainly didn’t mean to insult anyone.

I did think, however, that this book — which so carefully describes the lengths that shoppers will go (the outlet malls, for one) to score a designer label or a brand name — was referring to the “elitist” that runs rampant in so many psyches. Or maybe not. I don’t shop at outlet malls. It’s not worth the time and trouble. And here again, I can be called an elitist for not joining the outlet crowd.

To me, elitism is not a soul-sickness. It’s not a vice. It’s more a matter of not being able to get with the big group. Not belonging; not joining. I know there’s the connotation that real elitists think they’re better. I do not think I’m better. I do think I’m different. And admitting that sets me up for criticism, as if by different I mean special. I don’t necessarily mean special. Just different.

Erin O’Brien writes:

suaveadKudos to Peggy’s “great unasked question” and the subsequent points she raises. Life Inc. sounds like a book I need to visit. But I need to bellyache about the government for a bit anyway. As Ruppel Shell copiously notes in her book, many of us are hard-wired to find a good value or a good price. To that end, I shop at a discount grocer and Walmart.  But I also ride pretty far left of center for a reason. I just don’t think that enough people will shop responsibly or self-regulate to make a difference. I try to be conscientious and I try to conserve. Many others do. But it is simply not enough. This is why we need government. I want legislation that supports fair minimum wage. If the best price around is a few cents more in order to pay that wage, I have no problem shelling out $1.25 for my Suave shampoo instead of $0.99. Furthermore, I’m happy to pay taxes that support Medicaid and food assistance. I’d love to see Medicare gradually expanded to relieve the private sector of the choking health care/health insurance behemoth. I’m all for college becoming part of the public school system. I’m for a government that supports effective regulation and inspection of imported food and goods. The list goes on and on. Yes, I know all this means more taxes. I’m okay with that. I am happy to have a little less in order to live in a society that respects and values human dignity. Sorry about the flag-waving, but somewhere along the way, taxation became a dirty word and unfettered capitalism/consumerism became the new golden idol. Call it the bastard child of Ronald Reagan’s trickle-down economics coupling with eight years of Bush’s crazed deregulation.

I am not naive. I know the lobbyists, the big corporations, and the big money are all staggering entities. There’s also plenty of regular red-blooded Americans who would decry every assertion in my previous paragraph. They usually vote Republican. All I can hope for is that the blue push which we saw in the last two elections starts the juggernaut moving slowly but surely leftward.

A few more notes:

I thought Ruppel Shell’s recounting of discount retailing history was interesting, but that she devoted too much space to it.

Sarah: Point well taken about publishers wanting books such as Cheap to be personalized. Unfortunately for me, Ruppel Shell’s brand of personalization did not necessarily warm this subject matter.  For instance, when she references people “wearing T-shirts emblazoned with slogans” on page 97, the tone felt condescending. That’s purely subjective on my part, but there it is.

Regarding the notes, I did find them valuable, but also distracting. I always knew they were lurking back there. Whenever I came upon something that intrigued me (the liquified manure for instance), I had to decide whether or not to interrupt my read and see if there was more to be had in the back of the book. When there was worthy content, I had to wonder why Ruppel Shell didn’t just incorporate it in the general text.  The notes also struck me as just one more reason that we should be reading ebooks. We all seem to be able to handle embedded links online. Books like Cheap beg for the convenience of a click and a shift of the eyes instead of the intrusive page fumbling begged by the elaborate notes. But all that said, 232 pages of text followed by 63 pages of acknowledgments, notes and bibliography was stunning to me. Of course, had this been an eBook, I wouldn’t have been comparing the thickness of pages devoted to text to the thickness of pages devoted to explaining said text, now would I?

Colleen Mondor writes:

Honestly, while we could pick out certain points we wish were expanded upon or not, I think the purpose of the book was to make the general reader think before they buy. We haven’t talked much about the social history Ruppel Shell presents here on department stores and malls. This was all very interesting — especially how outlet malls in particular are designed to keep people moving and to a certain degree uncomfortable (no covered walkways, etc.). I also thought that her passages on pricing and the example of the mattresses was very well done — we don’t want an inexpensive mattress; we want an expensive mattress that is priced inexpensively (even though the prices are all, to some degree, made up).

One thing I was worried about was that this would be a big Walmart bashing book. But it’s not. I appreciated that Ruppel Shell even framed Whole Foods in a less than flattering light. It’s not as if people need to aspire to go there for the good stuff. Ruppel Shell makes a point that the expensive stores are just as culpable as the dollar stores in manipulating the public.

wholefoodsTo me, that was rather key in the book. It also addresses this “elitism” issue. (That is a word that I think will be a lightning rod for some time due to the election.) Ruppel Shell’s point seems to be that the bargain idea crosses socioeconomic lines. While a bargain for some folks might seem crazy expensive to some (the Whole Foods example), it is still another person’s bargain. But then, as she explains in various ways, the bargains are revealed not to be bargains at all — either in their value to you (they won’t last long or flat out aren’t worth it) or in the true cost to others (or the environment, etc.). Levi is right that, for some items and some people, a cheap price for a short-term purchase may be worthwhile. But as Ruppel Shell shows, there is still the fact that the true price isn’t being exposed to the American consumer. It’s like how some of us are enjoying cheap energy while West Virginia and Kentucky pay with environmental destruction, health problems, etc.

I think Ruppel Shell did a very good job of writing a thinking person’s book that will appeal to anyone who shops — in essence, to pretty much anyone. You could argue that folks who have to buy cheap because they don’t have much money wouldn’t bother reading this book. But I don’t think that’s true. As I stated earlier, that’s the life I was brought up in. And I know that both my parents would be very interested in this book. No one likes to be manipulated. And at its heart, this is what Ruppel Shell is exposing.

I thought the endnotes were excellent also. But as a historian, that’s something I look for in a book like this one.

Robert Birnbaum writes:

Here’s the OED (that’s the Oxford English Dictionary for you non elitists)

elite noun & adjective. Also élite. L18.
[ORIGIN French élite, use as noun of fem. of obsolete pa. pple of élire, †eslire from Proto-Romance var. of Latin eligere elect verb.]

► A noun.
1 The choice part, the best, (of society, a group of people, etc.); a select group or class. L18.

K. M. E. Murray Oxford still catered…for the social elite, who could afford to go to the University as a…luxury. R. Rendell She…spoke of her family and its immediate circle as of an élite.

social elite: see social adjective.

► B attrib. adjective. Of or belonging to an elite; exclusive. M19.

 elitism noun advocacy of or reliance on the leadership or dominance of a select group elitist adjective & noun (a person) practising elitism 

Here’s American Heritage:

e·lite or é·lite 
n. pl. elite or e·lites
A group or class of persons or a member of such a group or class, enjoying superior intellectual, social, or economic status: “In addition to notions of social equality there was much emphasis on the role of elites and of heroes within them” (Times Literary Supplement).
The best or most skilled members of a group: the football team’s elite.

e·lit·ism or é·lit·ism 
n.
The belief that certain persons or members of certain classes or groups deserve favored treatment by virtue of their perceived superiority, as in intellect, social status, or financial resources.
The sense of entitlement enjoyed by such a group or class.
Control, rule, or domination by such a group or class

I am pretty certain that I am an elitist — and people, I think that all of you are too.

This pow wow, as such things are inevitably driven to, has devolved into a cross-hatching of confusions and personal defenses. That’s all understandable, as examining human behavior reveals all manner of anomalies, illogics, and base behavior; none of which we are comfortable admitting are parts of our own persona (in the spirit of [sort-of- ]full disclosure, I own more socks, baseball caps and hoodies than anyone should).

Bad boy Eddie introduced the subject of our behavior around credit (cards). That’s a whole other ball of wax— and whatever irrationalities are manifest you can bet that the shylocks and the money changers have worked out an elaborate rigging of the system so that we (you and me) can’t win. Remember: The House never loses.

Levi talked about the practicality of IKEA. Which makes sense. Except you can, for example, do bookshelves for less (cement blocks and lumber and unfinished pine shelves). May be that’s too much work. Personally I think IKEA and such outlets contribute to a stultifyingly dull sense of habitat.

jimmychoobahTo me, the big unaddressed issue is how we perceive value. Price is not about value. And I don’t think it ever really has been. What determines the price of a Hermes scarf, a Brioni suit, and Jimmy Choo shoes? Workmanship? Quality materials? Or the campaign that convinces some people that $5,000 or $6,000 is okay? Or that $25 or more is the price of a good cigar? (By the way, with workers, farmers at the bottom of the pyramid of production of luxury goods don’t fare better than the those making whatever products end up in Walmart, which, by the way, is no great bargain past a select number of items that are promoted.) And apropos of nothing, Whole Foods is vastly overpriced and oddly managed. (Did you read about the Whole Foods worker who was fired for planning to eat a tuna fish sandwich? Then Whole Foods tried to impede his collection of unemployment comp.) But Whole Foods is apparently well branded. I work part time at a Trader Joe’s and I can declaim on this subject at length if prodded.

Anyway, there will not be a revolution — certainly not by consumers. (By the way, Cheap is part of a long line of books about (us) dumb and benighted consumers going back to Vance Packard’s Nation of Sheep in the early ’60s.) Nope, the correction that will dismantle the mass market will be the slippery downward slope of peak oil and the reconstitution of society circumstantially deprived of energy to sustain the oil-based industries and products. Which is to say that James Howard Kuntsler (The Long Emergency) has me convinced.

For those of you who believe that reading these types of book make us smarter consumers, well, good luck.

P.S. One thing that continues to bother me is the rapid decline in the price of books (clearly an example of the disparity of price and value). Go to Amazon and see what some recently published books are being offered at. And remainders! There’s a surefire way for the book publishers to commit suicide.

Nina MacLaughlin writes:

Janet Maslin has some dismissive things to say about Cheap in the New York Times, where she pairs it with Chris Anderson’s Free: The Future of a Radical Price. “Neither author is entirely to be trusted,” Maslin writes. “And neither author has written a book that is as sharp as its one-word catchy title.”

I wonder about Robert’s most recent point about whether these sorts of books can actually be effective tools of change, and whether these books can serve in making us “smarter consumers.” I think I may tilt more towards Robert’s pessimistic take. Being more aware is one thing. We know now that we should care whether our apples were flown all the way from Argentina, and we know that it’s not a good thing to pay $4 for a T-shirt if it means that 11 year-old kids were involved in making it. But being able to care about the backstory of a product — the circumstances it was made, how far it had to travel to arrive on the shop’s shelf, &c — and being able to make choices based on those facts are two completely different things.

But this feels like a pretty obvious point, and so did many of Ruppel Shell’s examples. Some of her examples were mildly illuminating (the shrimp discussion, for example, if only for its gross-out factor). But as Janet Maslin points out in her response to the book, Ruppel Shell boasts that she decides to opt for chicken over shrimp at a Red Lobster dinner. As Maslin writes, “Yet cheap chicken-farming isn’t any less ghastly. It just doesn’t happen to be addressed by this book.” It’s all about picking your battles, I guess.

I have been thinking a lot about what Levi has said about IKEA and disposable shelves. It makes some sense, and, not to overstate the case, perhaps it helps in making us less attached to actual things (even if they do have cute Swedish monikers). For me, though, as someone who loathes shopping to an extreme, I think I’d rather pay a little more for the shelves, if only to avoid having to go back to IKEA to buy replacements.

Kathleen Maher writes:

I’ve finished reading the book, and I enjoyed reading the history of buying and selling stuff in this country and just how we got to the grotesque place we are today. Many of Ruppel Shell’s investigations into cognitive psychology either confirmed my intuitions or struck me as obvious. For example, I am already acutely aware that the “Winner Takes Nothing.” I know about deforestation, the pitiful working conditions, and these policies the world over. I’ve tasted that muddy, medicine-tinged shrimp. And while I may have been naive about that one word, I know full well that nobody around here is a “worker.” They’re associates and representatives with whom I’ve shared three-hour there and three-hour back bus rides. Except they get off the bus at the Woodbury Mall while I continue to the next stop to visit a friend who rents a bungalow outside Monroe, NY during the summer.

In the evening, the same passengers join me on the bus returning to the city. They’re now weighed down with glossy Dolce and Gabba shopping bags, along with (and there’s no real way not to notice) Coach, Tommy Hilfiger, and Versace shopping bags. And aside from whatever name brand clothing and leather goods these people may have bought, they’ll carry those high-end, name brand shopping bags around on the subway until it’s time for their next day trip to the designer outlet mall.

Overall, this book made me as anxious and as unhappy as shopping does. Count me an extreme case of HNFC: If I happen to hit upon a “bargain,” I do not enjoy it. I do not feel richer and frankly it would amaze me if the pleasure paths in my brain lit up. For I am all too aware that my personal bargain means another person’s loss. Yet I’m no happier knowing I’ve lost money in an institutionalized swindle.

When I’m feeling tougher, I don’t have time to figure gains and losses in percentages of pennies. As I’m more apt to see it, I indulge myself in that luxury — without counting pennies. For if I were truly poverty-stricken, I would need to empty trash bins, as people are doing right now outside the Dunkin Donuts across the street. My shopping cart would be the one I’d somehow procured in order to spend my days and nights accumulating recyclable waste and other junk. Scrounging for “bargains” feels like the high-end version of that activity. And as Ruppel Shell says, it’s work.

The extinction of craft and creativity for the sake of “smarts, drive, ambition, and speed” depresses me. A world without appreciation for craft, skill, and patience is not a happy one for me. Give me fiction and I’ll get out of here.

P.S. Nina’s remark about “cheap chicken” awoke a horrifying description I once read about how corporations breed poultry so that their beaks are barely existent. The birds’ throats are then wired open and liquefied feed, antibiotics, and hormones are poured into them, propelling the already genetically engineered birds to grow up faster and fatter in dirtier quarters.

by Edward Champion

Ellen Ruppel Shell’s CHEAP — Part One

(This is the first of a five-part roundtable discussion of Ellen Ruppel Shell’s Cheap: The High Cost of Discount Culture. Other installments: Part Two, Part Three, Part Four, and Part Five.)

Since present economic developments have caused nearly all of us to reconsider just how we spend our money, I selected Ellen Ruppel Shell’s Cheap for our latest roundtable discussion. For those readers who aren’t familiar with the roundtable discussions, this website will be devoting the entire week to discussing Ruppel Shell’s book, and we’ll be serializing the conversation in five chunky installments from Monday through Friday. The discussion, as you’ll soon see, got quite spirited at times. But the hidden costs of “cheap,” as it turned out, proved to be quite complicated. Be on the lookout for cameo appearances, some unexpected revelations, and a lengthy podcast interview with the author. And feel free to leave any additional thoughts or personal experiences in the comments. Your communications will help many of us to understand and rethink a very important topic.

Edward Champion writes:

“Remember, time is money. He that can earn ten shillings a day by his labor, and goes abroad or sits idle one half of that day, though he spends but six pence during his diversion or idleness, ought not to reckon that the only expense; he has really spent, or rather thrown away, five shillings besides.” — Benjamin Franklin

cheaprt1There’s a bodega that opened up in my neighborhood with a bright and muti-hued awning reading GOURMET DELI. But I’ve examined the goods. The owners are using the same Boar’s Head meat found at nearly every place packing hero sandwiches in the five boroughs. But what this deli has done is undercut the competition. Another deli, situated just one block south, sells a turkey hero for $4.50. About three months ago, this deli had raised its price by a quarter. The regulars still grumble.  After all, everything’s going up.  Metrocards, milk, beer.  But they slide over their four paper George Washingtons and their two copper-nickel George Washingtons.  The hero remains a “good deal.”

But the new “gourmet deli” now offers the same sandwich for $4.25. The old price. The cheaper price.

And after reading Ellen Ruppel Shell’s fascinating book, I now find myself acutely curious about whether this “gourmet deli” is making the proprietors any money. I find myself morally compromised when purchasing a hero sandwich. And I’m wondering how many of you have experienced similar feelings. I want to know if every ingredient has been obtained through equitable labor. But unless I spend a good deal of my time asking about wholesalers and suppliers in the neighborhood, I’m probably not going to get even half of the answer.

benfranklinThe great irony with the Ben Franklin quote (which is dredged up in the book when Ruppel Shell mentions Ben & Jerry’s Free Ice Cream Day, which I’ll get to in a minute) is that we’ve become so dependent upon getting the best bang for our buck that all other time-based considerations fall by the wayside. Ruppel Shell brings up the telltale consumer who is willing to drive 75 miles out of their way to an outlet store to buy inferior goods for a cheaper price. She even describes a personal example: a man who drove up 75 miles to check out her car (on sale), noticed a few scratches, and then drove right back home. This is a curious trade-off, running contrary to Franklin’s wisdom. (Then again, we also live in a nation in which our thrifty founding father appears on one of our most expensive dollar bills.)

While Ruppel Shell presents a number of convincing developments that partially explicate this mentality (to name just three, the fixed price introduced with John Wanamaker’s price tags, Victor Gruen’s use of social space to develop the “shopping towns” that are now ubiquitous and that keep shoppers hanging around, and the “affordable luxury” seen with Coach discount leather), I’m wondering if you folks feel that Ruppell Shell is being too hard on the consumer. I mean, we can’t all be mindless sheep, can we? Is it not possible that our trips to outlet malls or our determination to spend endless amounts of time searching for the best deal may not be entirely tied into discount culture? There is such a thing as window shopping. And maybe we want to waste our time finding odd or unusual things. (I will confess that one reason I like to check out some of these dollar stores is to marvel at the shoddy merchandise. I mean, how often do you see bubble gum from 1972 that’s still on the market? Very rarely do I buy anything.)

billlybookcasetruBefore we plunge into Ruppel Shell’s IKEA Billy Bookcase example, which to my mind (and sadly my personal experience), truly reflects a pernicious reliance upon discount culture over quality, I want to first establish whether Ruppel Shell may be inadvertently suggesting that “bargain hunting” might be the new way of wasting time. Does discount culture and consumerism maintain such a hold on American culture that this is now how we spend most of our leisure hours? Should we pin the blame on corporations such as Wal-Mart for injecting capital into small towns and suburbs and establishing a town center? Preexisting local economies may not have been able to do this. Then again, how much of this is illusory? (Ruppel Shell cites a fascinating study from Emek Basker. Basker investigates the so-called “Wal-Mart effect” of prices lowering throughout community stores whenever a Wal-Mart moves into a community. His findings suggest that not all prices fall. Are there other “effects” beyond pricing that create such conditions? And should we blame Wal-Mart or the people who want a Wal-Mart?)

Citing Ricardo’s theory of comparative advantage is always a good idea to explore in a book of this type – seeing as how free market advocates often dust off this 200-year-old idea and cling to its possibilities like an AIG executive braying for another government bailout. But I’m wondering if comparative advantage is a viable application when we’re talking about consumers who want more than what a local economy might be able to give to them.

I’m also wondering if it’s fair to chide customers for standing in line for Ben & Jerry’s Free Ice Cream Day. Sure, the flavor options are limited. But it’s not as if you’re lining up for melted vanilla ice milk. And, yes, you can always go to another Ben & Jerry’s, slap down three bucks, and get an ice cream immediately. But are people lining up because bargain hunting and consumerism have replaced less conspicuous ways of frittering away our time? Is it the consumer or the corporation who is guilty of letting discount culture and bargain hunting dominate our culture like this? Have we lost the ability to let time simply be time? Why most every action have a monetary value? (That last question may involve bringing up Chris Anderson’s book, which I’ll let the others bring up, for obvious reasons.)

That may be a lot to throw into the fray, but I think I’ll close this opening sally by returning back to my neighborhood. In the past nine months, my neighborhood has seen numerous mom-and-pop stores close their doors due to the economic downturn and the unsustainable rents. In fact, last summer, a bodega was forced to close its doors. It seemed highly successful. It was the place where everybody went, largely because it had more space than the other bodegas and the prices were cheaper. But as it turned out, the owner couldn’t pay the rent on the place for three months and was forcibly evicted. What does it say about our reliance on discount culture when a man will enter into default because the customer is always right, even when he insists on an unsustainable price in an unsustainable economy?

Robert Birnbaum writes:

The recent spate of social science books doting on and then purporting to explain our irrationality in all manner of behaviors (especially consuming) is somewhat interesting and amusing (Gladwell excepted). The examples and case studies range from compelling anecdotes to something less. But if the intention was to blind us with science — well, no dice.

This will no doubt be viewed as simplistic. But given the preexisting gap between various regions of our cognitive faculties, the incessant message droning in the back and foregrounds of our lives to consume, to acquire, to converse about our acquisitions, write about them, devote publications and books to them and, to top it off, to be told in the midst of a national crisis that it was patriotic to shop, this very much guarantees senseless consumption behavior.

As far as I have read, I suppose the history of retailing does provides revelations but the conclusion I am heading toward is that, when retailing moved to large and then gigantic organizations, shopping became an adversarial contest in which consumers were bound to lose.

More TK

Peggy Nelson writes:

Some initial thoughts, building on what Ed and Robert have begun.

I think Ruppel Shell is trying to get at more than wasting time.  I think she’s posing the stronger argument that bargain hunting blinds us to the hidden costs of bargains because of the psychological thrill (at the individual level) of getting more than what you paid for — in some sense.  She’s making a two-pronged attack on the structure of discount economy and culture — that the consumers have their part of the bargain to uphold (or dismantle) as much as the corporations and the government have their part to be forced into acknowledging and changing — at the behest of the consumers, qua citizens.
 
dougrushkoffI just finished Douglas Rushkoff’s Life Inc., which speaks to many of these points as well.  “Big” has a market advantage in our economy; it’s not a level playing field.  Big corporations have easier access to money. The corporations can get bigger loans, at lower rates, than the little guys.  They can also afford big-time lobbyists, and there are any number of instances where lobbyists go back and forth between their lobbying jobs and the industries they were lobbying for.  Government is, in many crucial ways, out of our hands at this point.   But what remains very much in our hands is our own buying habits.
 
I am normally not a fan of the “pick up your own litter” school of thought. It’s not that I think that picking up your own litter is bad. I think it deflects attention and analysis from the larger and more systemic causes of trash.  But in this case, I think Ruppel Shell does a good job tallying the problems on both sides of this tricky equation.  There is something that the individual needs to do here.
 
I know that, if you make very little money as a cashier at Wal-Mart, you’re not going to be able to shop at Whole Foods.  But that’s exactly part of the problem too and part of the hidden costs Ruppel Shell brings to light: discount pay scales, on both the supplier and the retail ends, are a huge cost that is not reflected in the item’s price.  It’s all connected.  Decent-paying, somewhat-meaningful labor, with local, community-based commerce, is more affordable than the behemoth we have now.

I think Ruppel Shell’s a little weak on this final point. She does mention it, but I think it needed a little more ink.  My main qualm with this book was its overreliance on very similar studies by all these B school profs. They are not the B-all and end-all!  Had she not felt the need to underline every claim with a study as a sort of preemptive strike, Ruppel Shell would have had more pages to draw out the final links in the chain a little more strongly.

Also, Ed, I think you’re making a really important point about time, and how it need not/should not always be reduced to money.  There is a tendency to focus on homo economics when talking about the economy, that comes from both the right and left, that we need to guard against.  You’re right to point out that we’re more than just consumers, that our habits, even in the marketplace, are about more than the bottom line.  We’re more than the money!

Colleen Mondor writes:

The one thing I thought Ruppel Shell conveyed quite effectively is that “bargain” no longer equates to quality in our culture. She used the IKEA example well here when she noted that we buy the cheap shelves, knowing that these shelves won’t last more than a few years. But because these shelves are cheap, we think that’s fine. So it’s as if we’ve forgotten (in a cultural sense) what the word “bargain” truly means. It’s not just about the price; it’s about getting a good deal, if you spend money on something that won’t do the job for long. But are you really getting a good deal?

oldteePersonally, I grew up on cheap culture out of necessity. My parents just didn’t have much money and we lived paycheck to paycheck. We couldn’t see the big picture because we couldn’t afford it. Period. But what’s interesting is that, as my parents grew older and could afford to invest in things that would last, neither was able to change their thinking. My mother still struggles to spend more than $15 on a shirt even when she knows that it will likely stretch, fade, etc. She just has certain price points in her head and she just can’t let them go.

Overall, I thought Cheap was fascinating. The book provides readers with much food for thought.

Miracle Jones writes:

Here are some preliminary preoccupations I had while reading this book:

1.  The startling and unironic revelation that Ruppel Shell would rather eat horses than go without meat (taken from the “Note to Readers”).  I admire her honesty, and it’s a brave assertion to make, considering the potential market for this book.

2.  The startling free pass that Amazon receives from Ruppel Shell, despite Amazon being a corporation currently profiting from the economic collapse like no other and raking in ludicrous profits that look a good deal like blood to me.  She mentions Amazon once when she talks about unfair pricing models, and, once again later, when she refers back to that passage.  Evidently, Amazon got caught charging the old customers more than the new ones. Jjust like a drug dealer.  Why wasn’t there any further analysis of this pricing impact? Ruppel Shell knows for a fact that her audience consumes the commodity of books.  Doesn’t Penguin have some “most favored nation” status with Amazon?  Questions abound. 
 
3.  “A similar scenario is played out by urban street vendors today who claim that the Rolex and Cartier watches lining their jackets are not counterfeits but somehow ‘fell off a truck’ on their way to Neiman Marcus.”  I have not seen this “scenario” since cartoons from the 1950s.  Lining their jackets?  Are they also wearing Hamburglar masks?

4.  I wanted to read an entire chapter about what Daniel Ariely discovered when he had male college kids masturbate and then asked them sexually charged questions to determine the exact point when their “reason” disappeared and they could no longer be convinced to wear a condom. What questions did he ask?  Were the college students paid after they came?  Can I do this experiment? Or do I need a degree?

5.  “A psychological state known as the ‘Gruen transfer’ has come to signify when a ‘destination buyer’ shopping for a specific purchase loses focus and starts wandering in a sort of daze, aimless and vulnerable to the siren call of come-ons of every sort.”  I suspect that most of America lives in a perpetual “Gruen transfer.”

6.  “Two feedlots outside Greeley, Colorado, together produce more excrement than the cities of Atlanta, Boston, Denver, and St. Louis combined.  Trucking the stuff off is impractical.  One alternative popular among big companies is to spray liquefied manure into the air and let it fall where it may, coating trees and anything else that happens to be in its path.”  What?!?

Erin O’Brien writes:

I agree with much of what Miracle said. There are no less than 21 pages in my copy of Cheap that I’ve flagged.

If anything, I thought Ruppel Shell was too soft on the consumer. The book is a dense brew of numbers and statistics, but it mostly served to prove what I already knew: that the American dream has rotted to its core. I suppose this could be globally extrapolated, but I’ll keep my comments in my own backyard.

The idea that parents worked hard because they wanted better for their children maxed out years ago, perhaps in the ’70s. Somewhere along the way, the definition of high quality life became “More More More.” We have so much stuff that our stuff has stuff. We can’t get to the stuff we need because the stuff we don’t need is in the way. We rack our brains trying to think of gifts for our loved ones because they already have everything they want or need.

People who amass the most junk are the ones filling emotional and intellectual voids. That’s always been the case. The happier and more balanced people are, the less likely they are to rely on mountains of things. And if the American Dream is reduced to “More More More” stuff, the less money you have, the harder you’ll try to get as much of the stuff as you can for it (read: The Dollar Store). And as far as the junkiness of the junk is concerned, the cliché “you get what you pay for” got old and tired for a reason.

Sure, everybody wants to do right by their dollars. But how do you really tell if someone’s cheap? Watch how they tip the waiter.

I wanted more on cheap culture’s implications from this book, more on how a two-by-four has shrunken over the years and how drywall has become thinner and thinner. Not surprisingly, the most successful parts of Cheap for me were the ones that detailed the true cost of “cheap,” wherein we visit the shrimp farms and consider the implications of China’s labor practices.

This book represents a stunning amount of work, but I must say that I thought the “slot jockeys in track suits and sneakers” on page 88 was just plain mean. Why does Ruppel Shell include this description? This sort of commentary is particularly off-putting when just a few pages later, Ruppel Shell fawns over Prof. Naylor in her “Diane Van Furstenberg-style wrap dress accented with a stunning Plino Visona handbag.” That was the sort of thing that elicited flags from me. Unfortunately, it also eroded the book’s credibility.

The other day, I saw a woman with four small children foraging through a Goodwill drop box. She was pulling out clothes and putting them on the kids, who soon all had on multiple shirts and sweaters in the summer heat. Welcome to the cheapest shopping spree of them all. But I got the distinct feeling that this woman was no bargain hunter. This was a woman doing what she had to do. Although I understand and appreciate all the studies and arguments in Cheap, I wonder how much that woman would care about any of them. Who would tell her not to shop at The Dollar Store in order to delight those kids with a silly little toy?

There are lots and lots of people on this earth. Whether they’re clothed in “track suits,” Goodwill cast-offs, or they’re toting Plino Visona handbags, they all want food and shelter, which presents us with immense and complex problems. We won’t find the answers within the inviting aisles of a Wegmans.
 

“She even describes a personal example: a man who drove up 75 miles to check out her car (on sale), noticed a few scratches, and then drove right back home.”

That was from one of Ed’s comments.

I found Ruppel Shell’s anecdotes weak, such as that story about selling her used car. How extensively did she interview this fellow? Is there any guarantee that he didn’t have additional business in that area? A man comes and looks at her used car. Maybe he was lying about why he declined to purchase it. None of it really matters. But when I see a writer putting forth a serious nonfiction effort, and including this type of chatty personal anecdote, it’s dodgy to say the least. At worst, it can make a reader feel manipulated. All that story told us was what one guy had to say about one used Honda. To extrapolate it as commentary on how and why people spend their money is a fool’s game.

Here is another detail I flagged: On page 133, Ruppel Shell describes an IKEA table. “It looked just the right size to host a child’s tea party.” Why didn’t she go online and find the exact dimensions and let me judge the size of the table for myself? I’m a big girl. I can decide if a piece of furniture is appropriately sized or not. I realize this is a tiny quibble, but the text is inundated with these types of brush strokes. Every one risks making me feel manipulated, which in turn dulls the sharper points in the book.

dollarstoreAs far as your hero sandwich is concerned, Ed, I did feel morally dirty about the frozen shrimp in my freezer after reading Ruppel Shell’s description of the shrimp farms, which is why I found that section so successful. But even here, Ruppel Shell recalls a time when shrimp was a wild and expensive delicacy. There’ a bit of wistful nostalgia in her description. But as she says herself, the good old days weren’t always so good and now wild fish populations are in grave danger al over the globe. Here’s one story to that end by Johann Hari for the Independent:

The harder society cracks down on irresponsible farming, the greater the pressure on wild oceanic populations. Once again, there’s no easy answer.

Throughout all of this, I feel privileged to discuss and read about these issues. People who are cold and hungry couldn’t care less about whether or not a warm plate of food was ethically produced. If all you have is one dollar and a loaf of bread is $1.73 at the discount grocer, it ceases to be cheap. That’s the most mandatory and difficult part of this entire topic, the subjectivity of it.

Sarah Weinman writes:

I have much to say on Cheap and will do so soon. But I wanted to counter Erin’s point about the potential for manipulation when personal anecdotes are included in serious nonfiction. Part of that is publisher-driven; they want the serious medicine washed down with some degree of contextual personalization, if not entertainment. It’s not enough to be treated to the facts, backed up scrupulously (and Ruppel Shell impressed the hell out of me with her endnotes, in large part because this type of research is too often left on the cutting room floor — I’m thinking of the unclear endnotes in David Michaelis’s Schulz and Peanuts, which was a very good biography that could have been stellar with clear and comprehensible references!); the serious nonfiction writer has to have a great voice and answer the pivotal question of “Why should the reader be reading your book?” Too much of the author is a problem, but just a little bit seasons it just right.

Which is to say, I didn’t have a problem with that personal example. It passed my believability test and brought home the point that people will add needless costs in order to find the lowest price, thus negating the price reduction in the first place.

Peggy Nelson writes:

I’d like to look at the book’s great unasked question, which is the reason she was compelled to write it (and to have us read it): What to do about hidden costs?  Ruppel Shell spends significant time tracing and exposing the hidden costs of “cheap”: personal, social, environmental, systemic.  What if these hidden costs were incorporated into the price?  “Cheap” would suddenly become prohibitively expensive.  

But then what?  Okay, so this plastic toothbrush from China is $47.50. Or maybe even $899.99!  Well, I’m not buying it, and neither is my neighbor who doesn’t have the financial luxury of buying a nice local sustainable wooden one at Whole Foods for $26.95.  But suppose there are no local small manufacturers around, no weekly farmer’s market that could serve the entire community, and no place that doesn’t depend on the vast oil-based chains of import/export.

How do we get from our current system, in which the hidden costs are catching up and twisting us into a vicious downward spiral in all areas, to a more equitable system, in which price reflects real cost, and local/sustainable is the more economical option?  In other words, how do we get to Utopia?  What are the practical or general steps?  Do we need The Revolution?  Because we all know how well that’s worked out each time.

Levi Asher writes:

I find myself less excited by this book than the others so far, and less convinced about its arguments. I do admire Ruppel Shell’s mission. I like the type of psychological investigative journalism this book represents. I have a feeling I’d relate to her first book (about modern eating habits) more than I did to this one.

I can’t relate to Cheap because, while Ruppel Shell writes as if every single modern American is caught up in the Kmart Syndrome, I think I’m immune to it in the first place.  I don’t feel any emotional attraction to consumer goods and I wouldn’t cross a street to get a bargain.  I do like stores like Kmart and Target for their practical simplicity, and I don’t think I ought to be considered part of a brainwashed bargain-hunting horde because of this.

Ruppel Shell is especially on thin ice with me when it comes to IKEA.  I have tended to move every few years in my life, and IKEA furniture is exactly what I need.  Long term value?  Who cares!  I don’t need to carry around a cherished antique.  I want to pay $70 for a bunch of pressed wood with screws and pre-drilled holes and a funny Swedish name that I can put up in an hour and throw away when it comes time to move again.  Maybe I’m crazy, but I always considered IKEA furniture to be an example of Zen perfection in home furnishing.  Ellen Ruppel Shell’s book does not make me want to change my ways.

I’ve written in the past about why I think it’s essential for the publishing industry to give up its sick addiction to expensive hardcover publishing and begin releasing new titles in affordable paperback. Here again, my philosophy seems to head-butt directly against Ruppel Shell’s, though really it’s not the hardcover prices that I despise so much as the size. Even as I read some of Ruppel Shell’s better and more intriguing passages in this book — and there are many of these — I wonder how to reconcile Ruppel Shell’s arguments against “cheap” with my own impassioned past arguments against “expensive.”  I’m simply at a loss.

What I like best about this book is its psychological contradictions — the fact that people will spend money to get a bargain and then consider that they “won”, the fact that a homeowner will cherish the memory of a couch bought on a “good deal” decades earlier, as if this really mattered at all.  This is pointed stuff and I enjoyed reading it.

But it occurs to me that this kind of bargain-hunting, for those who engage in it, must be simply a sport, a hobby.  Would Ruppel Shell deny people a hobby they enjoy? Sure, people can spend a ridiculous amount of time hunting pointlessly for bargains.  But they can also spend a ridiculous amount of time collecting stamps, or studying baseball statistics, or posting to blogs.  Maybe it’s just fun.

bottled-waterI remember once having an argument with a friend at an outdoor rock concert on a summer day.  I was about to pay $8 for a bottle of Poland Spring water from an amateur price-gouger, and my friend said I was crazy and the price-gouger was unethical.  I didn’t see the problem or the ethical violation.  The price-gouger had done the work to truck a Styrofoam container of ice and water bottles into our stadium, and that effort certainly seemed to me to be worth an $8 reward. 

The fact that I didn’t mind paying $8 for this water bottle probably means I’m not the target audience for this book.  Or should I say the “Target audience”, if you’ll pardon the pun …