We’re talking about irrational behaviour by customers and you’re surprised that it happens? Why do you think entire industries routinely use hidden fees that dramatically raise the final price above the advertised price?
Because it works! You may not like it, I certainly don’t like it, but I can’t dispute it because it does in fact work.
Any difference in behaviour between North Americans (who do tip) and foreigners (who don’t) is by definition economically irrational behaviour, because economics predicts that a rational consumer would seek to pay as little as possible. The actual behaviour may be rational from a social perspective (social pressures, signalling, etc) but it is economically irrational to pay more than required.
Tipping in this way functions no differently from hidden fees in that consumers do not accurately take them into account when purchasing, even when the information is publicly available and widely known. That foreigners do not tip is a cultural (irrational) difference, not a calculated difference. In some sense it’s no different than other cultural differences that annoy locals, such as public spitting or littering.
As for broader trends in terms of how often people eat out, those tend to be economically rational. People don’t tend to go deeply into debt to continue eating out when they can’t afford it, though there is likely a small percentage of exceptions. In general though, the existence of tipping means people eat out less often than they otherwise would.
Honestly, it’s not even worth talking to you. You’re intent on interpreting everything I say in the most uncharitable way possible in order to elevate the toxicity of the discussion and win points for your imagined side, rather than learn anything.
The saddest thing is how common people like you are on lemmy. My block list grows ever longer…
deleted by creator
We’re talking about irrational behaviour by customers and you’re surprised that it happens? Why do you think entire industries routinely use hidden fees that dramatically raise the final price above the advertised price?
Because it works! You may not like it, I certainly don’t like it, but I can’t dispute it because it does in fact work.
deleted by creator
Any difference in behaviour between North Americans (who do tip) and foreigners (who don’t) is by definition economically irrational behaviour, because economics predicts that a rational consumer would seek to pay as little as possible. The actual behaviour may be rational from a social perspective (social pressures, signalling, etc) but it is economically irrational to pay more than required.
Tipping in this way functions no differently from hidden fees in that consumers do not accurately take them into account when purchasing, even when the information is publicly available and widely known. That foreigners do not tip is a cultural (irrational) difference, not a calculated difference. In some sense it’s no different than other cultural differences that annoy locals, such as public spitting or littering.
As for broader trends in terms of how often people eat out, those tend to be economically rational. People don’t tend to go deeply into debt to continue eating out when they can’t afford it, though there is likely a small percentage of exceptions. In general though, the existence of tipping means people eat out less often than they otherwise would.
deleted by creator
Honestly, it’s not even worth talking to you. You’re intent on interpreting everything I say in the most uncharitable way possible in order to elevate the toxicity of the discussion and win points for your imagined side, rather than learn anything.
The saddest thing is how common people like you are on lemmy. My block list grows ever longer…
deleted by creator