100% agree with this. Reminds me of a quote from the book, The Psychology of Money by Morgan Housel.It's interesting how the counterfeit bag industry began as something that offered designer bag replicas for those who couldn't afford the real thing. Now the replicas have become so good that even those who can afford the real thing are willing to buy the fakes.
When a wealthy person buys a counterfeit bag the signal is quite clear: they know the real designer bag is overpriced and not worth it even if they have the money, but they still feel the need to portray themselves as a wealthy person with a recognizable premium designer bag. They're just playing this came of building an image and a facade. It's like the "Emperor's new clothes".
I feel like the next step here should be that the wealthy people realize they don't need to play this (unethical) game. If you don't feel like a real Birkin is worth the price tag, then just don't get one, real or fake! You don't need to get the Rich Person Starter Pack of a Hermès, Rolex and VCA to signal your wealth if you don't want to. Buy authentic things that are worth the price for you.
People should enjoy the luxury of being authentic to themselves.
"Saving money is the gap between your ego and your income, and wealth is what you don’t see."