This rings very true to my own experience. I've watched repeatedly as struggling, low-income families purchase huge TVs. I find it comical to walk into a trailer home to see a brand new Bravia barely able to fit on the disheveled TV stand.
On the flipside, this phenomena is emulated in developing nations as well. Even the poorest of poor feel a need to be connected to the outside world. Research validates it. Wish I had time to put a link to it. Google around.