price discrimination — posts — EconoGIST

We all hate surge pricing, but it's a great way for Uber and its drivers to capture more value. What if GrubHub, Starbucks, etc. charged customers more during peak hours in order to pay service workers better? Could we ever break the cycle of reliance on cheap labor?

PostedApril 1, 2015

AuthorIsabel Munson

Categories30-60, Food, Food For Thought, Long-Form, Social Issues, Tech

Tagssurge pricing, price discrimination, willingness to pay, starbucks, cheap labor, economics of cheap goods, Uber

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Price discrimination is a way that companies can make more money by understanding how much different consumers will pay for the same good. Here's how it works.

PostedApril 1, 2015

AuthorIsabel Munson

Categories30-60, Economics Explained

Tagsprice discrimination, elasticity of demand, consumer surplus, producer surplus, price discrimination explained, first degree price discrimination, perfect price discrimination, second degree price discrimination, inter-temporal price discrimination

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