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Economists often discuss consumption as if it is necessarily an individual if not always a private activity. There is, however, as the sociologist Per Otnes has emphasized, “such a thing as public, shared, common or collective consumption” (Otnes 1988, p. 161). Collective consumption refers to the many goods and services that tend to be produced and consumed on a collective level. It includes products, services, and institutions such as roads, bridges, public transportation, schools and libraries, health care, waste disposal, public housing, welfare, fire and police protection, and parks and recreational facilities. When consumption is viewed in this way, there is an obvious connection between collective consumption and what economists call collective or public goods—those goods that are essential to consumers but which the market will not supply and which consequently government has to provide. Some of these are products that the market itself could not sensibly provide, for example, government itself, or such services as defense of the nation. Others, such as education, housing, or transportation services, are goods and services that the market could supply and usually does to some extent. The degree to which a society's goods and services are collectively consumed, that is to say, supplied by government rather than through the market, is a traditional index of how socialist the government is. For this reason, collective consumption is also sometimes called socialized consumption.

Manuel Castells and Collective Consumption

This link between collective consumption and government was a central feature of the neo-Marxist approach of urban sociologist Manuel Castells. His work, which came to prominence in the mid to late 1970s, set out to explain the precise location of the boundary between private and public (or collective) consumption in Western capitalist societies. He tried to understand the reasons for the limits of state or government intervention. Basically he argued that the state was forced to intervene in order to provide those goods and services “whose organisation and management cannot be other than collective” (Castells 1976, p. 45) because of the size and complexity of the problems they address. Since those services are typically located in urban areas, Castells also used the term collective consumption to help define the nature of the city in advanced capitalist societies, asserting that urban areas were basically organized around collective rather than individual consumption. Consequently, he defined city as a “unit of collective consumption corresponding more or less to the daily organisation of a section of labour power” (Castells 1976, p. 148); in other words, all of the arrangements, such as transportation, necessary for those people who work in the public sector to do their jobs. It is urbanites' shared consumption processes that create for them a common set of experiences that then lead to the development of political action. Political action follows because, although the goods and services collectively consumed are ones that the state must provide (given that capitalism cannot or will not do so), the reality is that typically the state is unable to meet their cost. Hence there is a tendency toward crisis in their provision, a crisis that precipitates urban social movements.

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