$1K for a palm hat? A quote from PT Barnum springs to mind.
see: https://www.brentblack.com/montecristi-panama-hat-prices-exp...
It's a joy to read because he writes well about something he loves.
1) Crafting some of these hats require an incredible level of human skill and time - i.e., a sort of fixed cost in time for someone to reach that level, and then a variable cost in crafting one hat with that skill. This page lists, for example, "18 Master Weavers who could actually weave one, and it would take months to do it." for the category of Super Fino. Thousands of dollars for such a hat sounds quite reasonable.
2) These are actual physical items with real function and form. Some of the function is in the form. Some of the function is in the intangible "status symbol" realm that nevertheless has a direct impact in the real world. Whether cultural, subconscious, etc., individual "presentation" can make a difference in business dealings (getting a contract vs. not), attracting the interest of desirable partners for romance &/ family formation, etc.
3) Our economics are always screwy ... the drive for efficiency is a mixed bag. On the one hand, it's great (focusing purely on provision for humans, in needs and perhaps a bit further along in, say, "Maslow's hierarchy") to be able to produce more goods and services (perhaps, there are further issues there I'll avoid for now) less expensively, so more people can have needs and wants and all that met. But, of course, the flip side is that there are fewer jobs available (at some point, another complexity I'll sidestep going into non-germane to primary point depth on). This can drive a more extreme "bimodal distribution" to prices - those who continue to use "traditional methods" have to charge not only more, comparatively (and in light of general inflation), but, more in a more absolute sense due to lower volumes, etc.
4) Of course, some of this is also likely getting into the realm of items like NFTs, iPhones, etc. - the purposeful (market) positioning by those selling as "luxury" or "status" items. I.e., more intentional, where, of course, comparisons to Barnum and general derision by people "on the outside" is a normal sort of "organic" byproduct that perhaps seemingly paradoxically can actually further the symbolism and strength of marketing / "story".
5) Apparently, these types of hats bear some resemblance to trees. Next time I see someone wearing one, I might cut their head off so I can "count the rings" (inside the hat). ;)
J/k on the last point.
Probably. Kek.
Edit: my random number generator (aka, "brain") informed me in the past several minutes that it is required (as regards "the service") for me to add this take on marketing from the great Bill Hicks: https://youtu.be/tHEOGrkhDp0?si=TPnIwP0HymFYZZkC - which, of course, gave the universe another opportunity to give me the finger (why yes, I DO want to know about how I can meet the one for me "on Bumble", ugh). 'And thus ends the lesson' and general kvetching session, with this video that fairly well captures my feelings these days. Enjoy!
A good-quality panama wears much better than a cheap one. Cheap ones crack.
With that frame of reference, I'm finding I'm buying fewer items, but willing to spend a bit more on them, because I expect many of my clothing items to last decades because they are well-made, quality garments. Other items, such as for yard work, etc I buy cheaply because I know they are going to get destroyed anyway.
So, that's a long way of saying - if someone can afford what are essentially heirloom pieces, I can't really call them a sucker if they believe the item is worth that to them.
It is not clear how much of the time is just waiting time for materials and shipping or a suitable weaver becoming available to do the job, but I would not be surprised if someone would actually spend half a year working on that hat. With that in mind, $40k no longer seems an unreasonable price. Whether you really need a hat that takes that much time to make is another question, but then again the things one really needs are very few and most things we buy are for convenience or aesthetics, so why not?
"Need" probably isn't the word that is applicable. Nobody needs a hat that costs as much as a small apartment; if the sun is punishing, you can always get away with a knotted handkerchief.
It's not even a question of showing off; if you drive a Ferrari or a Roller, everyone knows they're expensive. But it's hard to tell without close inspection whether some guy's panama cost £200, or "if it's really the expensive kind"[0]
[0] Bob Dylan, /Brand New Leopardskin Pillbox Hat/