This is an interesting notion. I couldn't say what was true one way or the other. I did find this:
"Most Americans are spending far more than they can truly afford on their vehicles."
and
"A lifetime of advertising has turned this purchase into an emotional decision that tells the world how successful we've been or how hip we are. Every salesperson knows how to profit from that by touting the priciest possible models."

See article here: Build financial security with a truly affordable car - Interest.com

But it's still a leap in logic to say that those who overspend do so to enhance their social status, right? I don't doubt for a minute that is a reason for some. But could it not be due in some cases to the consumer being no match for the salesperson? Even the article above suggests this. And some people just have financial management issues, so they run out and overspend for whatever reason. Then there's just plain ignorance, as in ignorance of what is truly necessary. And I'm sure there are other reasons as well.

I'll wager there's a lot of people who do the same kind of foolish things with bicycle purchases.

As I said, it's an interesting assertion, but I am having trouble with the idea that it is "most Americans" rather than most Americans who overspend.