Most people will spend more money if they have more money to spend. The old apartment was adequate — good condition, great location, nice neighbors — but the new one is located in a more exclusive neighborhood. Despite the fact that the original living arrangement was fine, he traded up to a more expensive apartment — not because he needed to, but because he. When a person advances into a more profitable position at work, his or her monthly expenses typically rise correspondingly. This is a phenomenon known as lifestyle inflationand it can present a problem, because even though you might still be able to pay your bills, you are limiting your ability to build wealth. People have a strong tendency to spend more if they have .