In economics, the law of exaltation of needs is extremely important. In this article we will analyze what it is. The history of mankind is a constant development in social, social and industrial fields. Items used in production and in everyday life are becoming more advanced and better. In turn, human needs are becoming more complicated and multiplied. That is, this process is quite harmonious and logical, and depends mainly on the historical development of society.
The law of exaltation of needs has some distinguishing features. Let's consider them in more detail. Human needs are not only growing, but also changing. What was relevant yesterday is today outdated or completely gone. In the 21st century, humanity is developing at an unprecedented pace, so the process under consideration is faster and more noticeable. Here is a simple example. At the moment, a large percentage of young people do not watch TV. This is not so surprising, because a more convenient and modern analogue has appeared - the Internet. That is, the TV pretty quickly becomes a thing of the past. One more example can be given. Even 15 years ago, people did not even hear about cell phones. Now these convenient devices can be included in the basic needs of a modern person.
The law of exaltation of needs states that the circle of objects necessary for an individual is constantly expanding. This happens not only vertically, but also horizontally. That is, the needs of the highest degree of order appear in a wide range of individuals, and it is expanding. Now a modern person takes care not only of vital things, but also of social and intellectual needs.
Considering the law of exaltation of needs, one can notice one interesting vicious circle. The main motivation of a person to work is the need to satisfy their needs. The individual works more and better, and this, in turn, increases the overall level of productivity. This is followed by accelerated development in all areas, which leads to even greater expansion of needs. It is noted that the increase in human needs is ahead of the level of development of production. Consequently, needs are a driving force for development in all sectors.
Considering the law of increasing needs, one cannot but mention that human needs not only increase quantitatively, but also change qualitatively. The most adequate example of this statement will be the famous Maslow pyramid. The scientist deduced 5 categories of existing needs. An important distinguishing feature of the pyramid is that a person gradually moves from one step to another. That is, until the first category of needs is satisfied, the second for the individual will be insignificant. Consider all the steps of the pyramid.
The first category is physiological. That is, a person needs food, protection from the cold, and so on. These are the basic needs of the individual, upon dissatisfaction of which he dies.
The second category is the need for security. A person cannot live in constant stress. He is trying to protect himself from dangers through laws, law enforcement, ethical standards. Such needs are closely related to the survival instinct.
The third category is the need for interaction with people. That is, each person needs friendship and love.
The fourth category is the desire for self-affirmation. It should be noted that the true satisfaction of this need has nothing to do with materialism. The person at this stage must affirm who he is, and not what he has.
The fifth category is the desire for self-expression. That is, the individual needs the constant development of his abilities.
In conclusion, it can be noted that the system of economic laws gives an important place to axioms in the field of increasing the needs of the individual.