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For Gen Z, quiet luxury is dead—they’re packing lunch at home while shelling out on conspicuous consumption

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When economist Thorstein Veblen coined the term “conspicuous consumption” in 1899, he was describing a new kind of social display: one where people bought goods not out of need but as “trophies of success.” To Veblen, the emerging “leisure class” proved its superiority not by labor or contribution but by its seeming exemption from work and its power to waste. The middle class, desperate to prove this distinction too, would spend an outsized portion of their income on glimmering dresses and other purchases meant to be seen by others. 

More than century later, Veblen’s theory hasn’t disappeared. But younger shoppers are increasingly cutting back on small daily indulgences while redirecting those savings toward statement pieces. Chipotle and Cava both reported weaker sales this fall, blaming a slowdown among younger diners who are packing lunches instead. Yet Tapestry—the parent company of Coach—said Gen Z now accounts for roughly 35% of its new customers, helping the brand beat Wall Street expectations and raise its full-year forecast.

“We’re attracting younger consumers at a faster pace,” CEO Joanne Crevoiserat told CNBC. “The Gen Z consumer is highly fashion-engaged, spending slightly more of their budget on fashion.”

This new spending pattern resembles what Veblen once called “vicarious leisure,” displaying discernment rather than wealth. A $400 Coach tote bought instead of a week of takeout lunches becomes both reward and reassurance: proof of self-control and style all at once.

Another example would be the resurgence of Christian Louboutins, the fire-truck-red stilettos once synonymous with 2000s power dressing. Sales on resale sites like The RealReal have surged 82% among new Gen Z buyers, according to the New York Times, driven by influencers like Addison Rae. For many young women, the stiletto’s discomfort is part of the appeal, offering proof that effort and glamor remain in an age of casual sneakers. The red sole is a visible pain endured for the privilege of being seen enduring it.

It’s not just the women. Gen Z men have embraced luxury Swiss watches as status symbols, posting them on TikTok and Instagram. Sotheby’s estimated nearly a third of its watch sales in 2023 went to buyers age 30 and under, giving them priceless social currency.

Affordable opulence

A report last month from Boston Consulting Group and WWD found that Gen Z and Gen Alpha, who are 1  to 13 years old today, will drive more than 40% of U.S. fashion spending in the next decade. They already spend 7% more of their discretionary income on clothing and shoes than older adults.

The shift is visible on social media. On TikTok, “Ralph Lauren Christmas” has become this year’s aspirational aesthetic: plaid ribbons, outsized candlesticks, and velvet drapes recreated from dollar-store finds. Searches for the phrase are up more than 600%, and Etsy searches for related décor rose 180%. The trend captures a kind of affordable opulence, a desire to evoke the elegance of wealth without its cost.

Younger consumers are, as Veblen might put it, performing taste with efficiency. They still pursue distinction, but the medium is creative reuse rather than cash flow.

 Influencer culture has supercharged this feedback loop. What Veblen saw as the public exhibition of wealth has become the performance of aspiration, now filmed, edited, and pushed through a recommendation feed. TikTok and Instagram influencers act as both tastemakers and salespeople, offering five-minute testimonials that make luxury feel both attainable and necessary.

According to the BCG report, 65% of Gen Z consumers say social media is their primary source of fashion discovery, more than twice the share of any older generation. Nearly half report buying products directly because they saw them on TikTok or Instagram, and 40% already use AI-powered recommendation tools to compare styles and prices. The result is a generation whose spending patterns are shaped less by brand loyalty than by algorithmic suggestion.

That means the marketing never switches off; it lives on their For You pages, customized by data to spark new cravings daily. Many young consumers, already juggling high costs for food, rent, and education, and crushed by an unsympathetic labor market, are entering adulthood with the self-care budget of a socialite twice their age.

It starts remarkably young these days. Ten-year-olds are saving their allowances for $70 moisturizers and $90 serums, mimicking influencer routines meant for adults. Girls as young as eight have suffered chemical burns and rashes from overusing anti-aging products whose pastel packaging and “glow” marketing make them irresistible on TikTok. Even before adolescence, the youth themselves are performing refinement—an early initiation into the aesthetics of conspicuous consumption.

For Veblen, this constant striving was never about the goods themselves. It was about social reassurance. 

“The end sought by accumulation,” he wrote, “is not consumption of goods, but the evidence of wealth.”



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Epstein grand jury documents from Florida can be released by DOJ, judge rules

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A federal judge on Friday gave the Justice Department permission to release transcripts of a grand jury investigation into Jeffrey Epstein’s abuse of underage girls in Florida — a case that ultimately ended without any federal charges being filed against the millionaire sex offender.

U.S. District Judge Rodney Smith said a recently passed federal law ordering the release of records related to Epstein overrode the usual rules about grand jury secrecy.

The law signed in November by President Donald Trump compels the Justice Department, FBI and federal prosecutors to release later this month the vast troves of material they have amassed during investigations into Epstein that date back at least two decades.

Friday’s court ruling dealt with the earliest known federal inquiry.

In 2005, police in Palm Beach, Florida, where Epstein had a mansion, began interviewing teenage girls who told of being hired to give the financier sexualized massages. The FBI later joined the investigation.

Federal prosecutors in Florida prepared an indictment in 2007, but Epstein’s lawyers attacked the credibility of his accusers publicly while secretly negotiating a plea bargain that would let him avoid serious jail time.

In 2008, Epstein pleaded guilty to relatively minor state charges of soliciting prostitution from someone under age 18. He served most of his 18-month sentence in a work release program that let him spend his days in his office.

The U.S. attorney in Miami at the time, Alex Acosta, agreed not to prosecute Epstein on federal charges — a decision that outraged Epstein’s accusers. After the Miami Herald reexamined the unusual plea bargain in a series of stories in 2018, public outrage over Epstein’s light sentence led to Acosta’s resignation as Trump’s labor secretary.

A Justice Department report in 2020 found that Acosta exercised “poor judgment” in handling the investigation, but it also said he did not engage in professional misconduct.

A different federal prosecutor, in New York, brought a sex trafficking indictment against Epstein in 2019, mirroring some of the same allegations involving underage girls that had been the subject of the aborted investigation. Epstein killed himself while awaiting trial. His longtime confidant and ex-girlfriend, Ghislaine Maxwell, was then tried on similar charges, convicted and sentenced in 2022 to 20 years in prison.

Transcripts of the grand jury proceedings from the aborted federal case in Florida could shed more light on federal prosecutors’ decision not to go forward with it. Records related to state grand jury proceedings have already been made public.

When the documents will be released is unknown. The Justice Department asked the court to unseal them so they could be released with other records required to be disclosed under the Epstein Files Transparency Act. The Justice Department hasn’t set a timetable for when it plans to start releasing information, but the law set a deadline of Dec. 19.

The law also allows the Justice Department to withhold files that it says could jeopardize an active federal investigation. Files can also be withheld if they’re found to be classified or if they pertain to national defense or foreign policy.

One of the federal prosecutors on the Florida case did not answer a phone call Friday and the other declined to answer questions.

A judge had previously declined to release the grand jury records, citing the usual rules about grand jury secrecy, but Smith said the new federal law allowed public disclosure.

The Justice Department has separate requests pending for the release of grand jury records related to the sex trafficking cases against Epstein and Maxwell in New York. The judges in those matters have said they plan to rule expeditiously.

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Sisak reported from New York.



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Miss Universe co-owner gets bank accounts frozen as part of probe into drugs, fuel and arms trafficking

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Mexico’s anti-money laundering office has frozen the bank accounts of the Mexican co-owner of Miss Universe as part of an investigation into drugs, fuel and arms trafficking, an official said Friday.

The country’s Financial Intelligence Unit, which oversees the fight against money laundering, froze Mexican businessman Raúl Rocha Cantú’s bank accounts in Mexico, a federal official told The Associated Press on condition of anonymity because he was not authorized to comment on the investigation.

The action against Rocha Cantú adds to mounting controversies for the Miss Universe organization. Last week, a court in Thailand issued an arrest warrant for the Thai co-owner of the Miss Universe Organization in connection with a fraud case and this year’s competition — won by Miss Mexico Fatima Bosch — faced allegations of rigging.

The Miss Universe organization did not immediately respond to an email from The Associated Press seeking comment about the allegations against Rocha Cantú.

Mexico’s federal prosecutors said last week that Rocha Cantú has been under investigation since November 2024 for alleged organized crime activity, including drug and arms trafficking, as well as fuel theft. Last month, a federal judge issued 13 arrest warrants for some of those involved in the case, including the Mexican businessman, whose company Legacy Holding Group USA owns 50% of the Miss Universe shares.

The organization’s other 50% belongs to JKN Global Group Public Co. Ltd., a company owned by Jakkaphong “Anne” Jakrajutatip.

A Thai court last week issued an arrest warrant for Jakrajutatip who was released on bail in 2023 on the fraud case. She failed to appear as required in a Bangkok court on Nov. 25. Since she did not notify the court about her absence, she was deemed to be a flight risk, according to a statement from the Bangkok South District Court.

The court rescheduled her hearing for Dec. 26.

Rocha Cantú was also a part owner of the Casino Royale in the northern Mexican city of Monterrey, when it was attacked in 2011 by a group of gunmen who entered it, doused gasoline and set it on fire, killing 52 people.

Baltazar Saucedo Estrada, who was charged with planning the attack, was sentenced in July to 135 years in prison.



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Elon Musk’s X fined $140 million by EU for breaching digital regulations

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European Union regulators on Friday fined X, Elon Musk’s social media platform, 120 million euros ($140 million) for breaches of the bloc’s digital regulations, in a move that risks rekindling tensions with Washington over free speech.

The European Commission issued its decision following an investigation it opened two years ago into X under the 27-nation bloc’s Digital Services Act, also known as the DSA.

It’s the first time that the EU has issued a so-called non-compliance decision since rolling out the DSA. The sweeping rulebook requires platforms to take more responsibility for protecting European users and cleaning up harmful or illegal content and products on their sites, under threat of hefty fines.

The Commission, the bloc’s executive arm, said it was punishing X because of three different breaches of the DSA’s transparency requirements. The decision could rile President Donald Trump, whose administration has lashed out at digital regulations, complained that Brussels was targeting U.S. tech companies and vowed to retaliate.

U.S. Secretary of State Marco Rubio posted on his X account that the Commission’s fine was akin to an attack on the American people. Musk later agreed with Rubio’s sentiment.

“The European Commission’s $140 million fine isn’t just an attack on @X, it’s an attack on all American tech platforms and the American people by foreign governments,” Rubio wrote. “The days of censoring Americans online are over.”

Vice President JD Vance, posting on X ahead of the decision, accused the Commission of seeking to fine X “for not engaging in censorship.”

“The EU should be supporting free speech not attacking American companies over garbage,” he wrote.

Officials denied the rules were intended to muzzle Big Tech companies. The Commission is “not targeting anyone, not targeting any company, not targeting any jurisdictions based on their color or their country of origin,” spokesman Thomas Regnier told a regular briefing in Brussels. “Absolutely not. This is based on a process, democratic process.”

X did not respond immediately to an email request for comment.

EU regulators had already outlined their accusations in mid-2024 when they released preliminary findings of their investigation into X.

Regulators said X’s blue checkmarks broke the rules because on “deceptive design practices” and could expose users to scams and manipulation.

Before Musk acquired X, when it was previously known as Twitter, the checkmarks mirrored verification badges common on social media and were largely reserved for celebrities, politicians and other influential accounts, such as Beyonce, Pope Francis, writer Neil Gaiman and rapper Lil Nas X.

After he bought it in 2022, the site started issuing the badges to anyone who wanted to pay $8 per month.

That means X does not meaningfully verify who’s behind the account, “making it difficult for users to judge the authenticity of accounts and content they engage with,” the Commission said in its announcement.

X also fell short of the transparency requirements for its ad database, regulators said.

Platforms in the EU are required to provide a database of all the digital advertisements they have carried, with details such as who paid for them and the intended audience, to help researches detect scams, fake ads and coordinated influence campaigns. But X’s database, the Commission said, is undermined by design features and access barriers such as “excessive delays in processing.”

Regulators also said X also puts up “unnecessary barriers” for researchers trying to access public data, which stymies research into systemic risks that European users face.

“Deceiving users with blue checkmarks, obscuring information on ads and shutting out researchers have no place online in the EU. The DSA protects users,” Henna Virkkunen, the EU’s executive vice-president for tech sovereignty, security and democracy, said in a prepared statement.

The Commission also wrapped up a separate DSA case Friday involving TikTok’s ad database after the video-sharing platform promised to make changes to ensure full transparency.

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AP Writer Lorne Cook in Brussels contributed to this report.



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