Di, Wenhua; Su, Yichen - In: Journal of economic behavior & organization 224 (2024), pp. 895-914
Lower-income consumers who seek to increase their perceived social status or to emulate their wealthier peers may be … more expensive vehicles than they otherwise would. The preferences for prestige are driven both by status signaling and … peer emulation motives. Furthermore, we show that larger vehicle purchases financed by auto loans lead to worse loan …