I’ve heard this question myself a few times. What would happen if everyone become a minimalist. You wouldn’t have anyone to borrow things from, there wouldn’t be enough small houses for everyone, and even that the whole economy could crash if we stopped buying things.
Joshua Becker at Becoming Minimalist wrote an amazing article addressing this question. The core of it is that, yes, in the short term the economy might suffer. But in the long term, businesses would adjust, services offered would change, and everything would level out.
The new economy would be one of quality over quantity, and experiences over stuff. If there is one thing you read this week, this should be it. A New, Minimalist Economy