General Discussion
In reply to the discussion: I'm still trying to wrap my head around Oprah's purse. [View all]hfojvt
(37,573 posts)the thing is, that $38,000 does not just evaporate when it hits the purse. The author says that $36,000 could have been used to help somebody, but when you spend money anywhere, any time, you ARE helping somebody, several somebodies in fact.
For example, in this case, you would be helping - the purse designer (and by extension, their suppliers), the store clerk, the store owner, the owner of the building where the store is, the government that collects a sales tax, a VAT tax, and income taxes from the business and/or store owner. If those people were not getting income, then they too would be homeless.
Luxury items provide income and employment to people too.
Oh, and it was 38,000 Swiss Francs, which would be $41,000 at the current exchange rate.